Mrs. Day structures a transaction to shift income from her 20Y1 tax year to her 20Y2 tax year. This tax planning strategy may be taking advantage of the:

Question

Quizplus · Accepted Answer

Mrs. Day is using a time period variable by structuring a transaction to shift income from her 20Y1 tax year to her 20Y2 tax year. By doing so, she may be able to delay paying taxes on that income until the following year, which could result in tax savings. The other variables listed (entity, jurisdiction, character) do not apply to this scenario.

Mrs Day Structures a Transaction to Shift Income from Her