1. Know the factors for the being either an independent contractor or an employee.9-3 2.

Be able to calculate mileage that can be deductible.9-6 3. Be able to calculate the business expenses that can be deducted when a trip contains both personal and business portions of it.9-10 4. Know what the conditions are for the time test for moving expenses.9-12 5. Know how to calculate the moving expenses of someone who is reclassified from an employee to an independent contractor.9-12 6. Know what educational expenses can be deducted.9-14 7. Know when section 222 deduction for tuition and related expenses is available.9-16 8. Be able to calculate what expenses can be deducted for entertainment expenses. 9-18 9. Be able to calculate what gift costs can be deducted.9-22 10.Know what expenses are subject to the 2%-of-AGI floor? p 9-37 11.Know the tax advantages of being self-employed vs. being an employee. P -939 12.What is the maximum amount that can be contributed for a 401(k) plans in 2010? Self employed individuals may annually contribute the smaller of $16,500 with an additional catch-up adjustment fo $5,000 p 9-33 13.What is the maximum amount that can be contributed to a traditional IRS in 2010? 5,000 or less /10,000 or less for spousal p 9-28 14.Know what can be deducted as medical expenses. P 10-3 15.Know how to treat medical expenses paid in one year and in the following year the taxpayer receives insurance reimbursement. P 10-8 16.Be able to calculate the itemized deductions from AGI for a self-employed individual. P 10-10 17.Be able to determine what taxes qualify as a deduction from AGI. P 10-10

18.Know how to handle a state income tax refund if the taxpayers live in a state that has income tax. 10-13 19.Be able to calculate the interest that a corporation can deduct if the owners in the corporation loan the corporation some money. P 10-14 20.Know how to calculate the amount of deductable home equity interest. P 1015 & chart on p 10-18 21.Know how to determine the charitable contribution when the taxpayer pays a membership in an athletic council. P 10-20 See 10-23 limitations 22.Be able to calculate a charitable contribution when the taxpayer travels to another state to do volunteer work. P 10-20 see 10-23 limitations 23.Be able to calculate a charitable contribution when the taxpayer makes noncash donations. P 10-22 see 10-23 limitations 24.Know how to calculate the deduction of a LLC when the taxpayer is a material participant. P 11-13 25.Be able to calculate the passive investment when the taxpayer is not a material participant. P 1126.Be able to calculate the gain or loss for a passive investment if there is a suspended loss. P 11-7 27.Be able to calculate the passive loss of a personal service corporation. 11-10 28.Know the rules of passive vs. active income.11-11 29.Know what a refundable tax credit is.12-4 30.Be able to calculate the general business credit and how much can be carryover to future years. 12-6 31.Be able to describe the tax credit for rehabilitation expenditures. 12-7 32.Be able to claim the work opportunity credit. 12-9 33.Know the rules for research activities credit. 12-10 34.Be able to calculate what qualifies for the disabled access credit. 12-13 35.Know how to calculate the disabled access credit for renovation purposes.1214 36.Be able to describe the earned income credit.12-15 37.Be able to calculate the foreign tax credit.12-17

38.Know how to calculate the adoption expenses for the adoption credit.12-19 39.Know how to calculate the amount of the credit for child and dependent care expenses.12-20 40.Be able to calculate the American Opportunity credit.12-22 41.Be able to calculate self-employment tax. 12-32 42.Be able to determine to determine the basis for the land and the improvements.13-4 43.Be able to determine the recognized gain or loss on the sale of the house.1340 44.Be able to determine the basis and recognized gain upon receipt of the common stock dividends. 45.Know what qualifies as a like-kind exchange.13-27 46.Be able to determine the basis in buildings received as gifts.13-12 47.Be able to determine the recognized gain or loss and the basis of the investment land 13-23 48.Be able to calculate the recognized gain and the basis of a building using section 1033.13-34 49.Be able to calculate the gain when a married couple sells their personal residence.13-44 50.Be able to determine capital assets for a sole proprietor.14-4 51.Know what capital assets are for business for buying and selling securities. 52.Know the holding period for worthless security.14-9 53.Know how to handle the short term and long term capital gains and losses.14-17 54.Know what a section 1231 asset is.14-8 55.Know the rules for ordinary and capital gains and loss.14-3 56.Know how to calculate ordinary income. 14-8 57.Know the rules for section 1239 which are relating to the sale of certain property between related taxpayer.