Rachel paid $1,000 for supplies in 2012.In 2013,the vendor finds a $200 mistake on the invoice and refunds the overpayment to Rachel.Which of the following doctrines or concepts is the least helpful in determining how the 2013 transaction should be reported for tax purposes?

Question

Quizplus · Accepted Answer

The Assignment of Income doctrine would not be helpful in this scenario because it pertains to situations where income is assigned or transferred to another individual or entity for tax purposes. In this case, there is no transfer or assignment of income, only a refund of an overpayment. The other choices, such as Accounting Period and Tax Benefit Rule, are relevant to determining how the transaction should be reported for tax purposes.

Rachel Paid $1,000 for Supplies in 2012