tax memo

TAX 655 Milestone One Guidelines and Rubric
You will submit a draft of your recommendation for the business entity that you believe will meet the client’s needs, based on your research. You will also select
the accounting method that should be used to interpret the business transactions and for tax reporting. You will also summarize the tax law pertaining to the
entity selected. This assignment will address Section I, Parts A, B, and C of the critical elements of the final project.
Specifically, the following critical elements must be addressed:
I. Memorandum
A. Use logical reasoning based on your tax research to explain why the client should choose your recommended business entity. Consider
referencing appropriate tax code and regulations.
B. Defend your business entity recommendation by describing the accounting method. Consider the advantages and disadvantages of the business
entity based on the following:
1. Cash basis vs. accrual
2. The cost to prep the returns
3. The tax benefits
4. The limited liability protection
5. Employee benefits
C. Interpret the tax law pertaining to the type of business recommended and justify your recommendation using details consistent with tax law,
code, and regulations.
Guidelines for Submission: Your paper must be submitted as a 1–2–page Microsoft Word document with double spacing, 12–point Times New Roman font, one–
inch margins, and at least three sources cited in APA format.
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Memo: Business Entity Explains why the recommended
entity is the most appropriate
choice using logical reasoning
Explains why the recommended
entity is the most appropriate
choice but details either lack
relevance or are cursory
Does not explain why the
recommended entity is the most
appropriate choice
25
Memo: Accounting
Method
Defends the decision to choose the
recommended entity by describing
the accounting method
Defends the decision to choose the
recommended entity but details
are inaccurate or cursory
Does not defend the decision to
choose the recommended entity
25
Memo: Tax Law Interprets tax law pertaining to the
selected business entity using tax
law, code, and regulations as
justification
Interprets and justifies tax law
pertaining to the selected business
entity but details are either
inaccurate or irrelevant
Does not interpret and justify tax
law pertaining to the selected
business entity
25