Publication 4162 Modernized e-File Test Package for Forms 1120/1120S For Tax Year 2006

U.S. Corporation Income Tax Return U.S. Income Tax Return for S Corporation And Form 7004, Application for 6-Month Extension for Extension of Time to File Certain Business Income Tax, Information, and Other Returns Internal Revenue Service Electronic Tax Administration

IRS
Department of the Treasury Internal Revenue Service www.irs.gov Publication 4162 (Rev. 2006) Catalog Number 36146V

WHO MUST TEST?..............................................................................................3 WHY TEST? .........................................................................................................3 WHAT IS TESTED? .............................................................................................3 FORMATTING THE ENTITIES .........................................................................4

POPULATING DATA IN THE TEST CASES .......................................................4 PASSWORDS ......................................................................................................4 WHEN TO TEST...................................................................................................4 TESTING GUIDELINES FOR SOFTWARE DEVELOPERS ................................4 FEDERAL/STATE TESTING FOR FORMS 1120/1120S .....................................4 ELECTRONIC SIGNATURES ..............................................................................5 REVIEWING ACK FILES AND CORRECTING TESTS .......................................6 FINAL TRANSMISSION.......................................................................................6 COMMUNICATIONS TEST FOR THE e-file SYSTEM ........................................7 USING YOUR OWN TEST ...................................................................................7 EXHIBITS LISTINGS............................................................................................7 EXHIBIT 1 POSTAL SERVICE STATE ABBREVIATIONS AND ZIP CODES ....8 EXHIBIT 2 FOREIGN COUNTRY CODE TABLE...............................................10 EXHIBIT 3 VALID EIN AND NAME CONTROL TABLE ...................................14 EXHIBIT 4 TAX YEAR 2006 1120/1120S TEST SCENARIOS ..........................17 EXHIBIT 5 TAX YEAR 2006 7004 TEST SCENARIOS .....................................21 TAX YEAR 2006 1120/1120S TEST SCENARIOS ............................................17 TAX YEAR 2006 7004 TEST SCENARIOS .......................................................19 TAX YEAR 2006 1120/1120S TEST SCENARIO DATA....................................27 TAX YEAR 2006 7004 TEST SCENARIO DATA ...............................................45

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1120/1120S ASSURANCE TESTING TAX YEAR 2006
(INCLUDING 7004) WHO MUST TEST? All software developers are required to perform the tests in this Test Package before they can be accepted into the electronic filing program for the 2007 (Tax Year 2006) filing season. Anyone who plans to transmit must perform a communications test and be accepted. Prior to testing, all software developers and transmitters must have obtained an Electronic Transmitter Identification Number (ETIN), Electronic Filer Identification Number (EFIN) and password through the application process. Refer to Publication 3112, IRS e-file Application Package for Form 8633 procedures. For the On-Line application procedures refer to the http://www.irs.gov/taxpros/article/0,,id=109646,00.html. This ETIN must be included in each message. The ETIN will be set to “Test” until the transmitter passes the required communication testing with the IRS at which time the ETIN will be moved to “Production” status. The transmitter may also request a Test ETIN, which can be used to continue testing once the original ETIN has been moved to Production status. If a transmitter has not revised their IRS e-file application to indicate they will be transmitting 1120 returns, their ETIN will not be valid and their submissions will be rejected. The transmission status (Test or Production) of the ETIN being used must match the Test/Production Indicator in the Message Header or the message will be rejected. For Large Taxpayers: Refer to the LMSB website below for additional information. (http://www.irs.gov/businesses/corporations/article/0,,id=146959,00.html The transmitter must also register the system(s) that will be used to conduct business with MeF to obtain a systemID. If a transmitter and system(s) are not registered, the transmitter cannot access MeF for Fed/State processing. WHY TEST? The purpose of testing prior to live processing is to ensure that: 1. Filers transmit in the correct format and meet the Internal Revenue Service (IRS) Modernized e-File (MeF) electronic filing specifications; 2. Returns have few validation or math errors; 3. IRS can receive and process the electronic returns; 4. Filers understand and are familiar with the mechanics of electronic filing. WHAT IS TESTED? The test package for the 2006 Assurance Testing System (ATS) consists of ten (10) return scenarios for Forms 1120/1120S and five (5) for Form 7004. Software Developers, who support clients that may file the new Form 1120L and 1120PC returns as subsidiaries, need to develop their own test scenarios containing these forms and submit them for testing. The e-Help Desk will also verify these scenarios. The test returns include a limited number of forms and schedules that are accepted for electronic filing. Every conceivable condition cannot be represented
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in the Test; therefore, once you pass the tests, you may want to test any additional conditions you feel are appropriate as long as you use the predefined EINs, Name Controls, Tax Period and Form types as outlined in Exhibits 4 and 5. The scenarios provide the information needed to prepare the selected forms and schedules. You must correctly prepare and compute these returns before transmitting the tests. The IRS strongly recommends each return be run against a parser prior to being transmitted to the IRS. The IRS will run each return against a parser. Also included are five (5) test scenarios for the Form 7004, Application for Automatic 6- Month Extension of Time to File Certain Business Income Tax, Information, and Other Returns that need to be completed and submitted for approval. We have included additional EINs to accommodate all other form types listed on the 7004 for which an extension can be filed. You may use these EINs for testing if you want other form types. Below are some XML resources regarding XML schemas and software tools and parsers (these resources are provided for information only—the IRS is not endorsing any product). You may chose any third party parser toolkit or use your own. • W3C XML Home Page: http://www.w3.org/XML/ • W3C XML Schema Home Page: http://www.w3.org/XML/Schema • XML Spy: http://www.xmlspy.com/ • Apache Xerces parser toolkit: http://xml.apache.org/ • Microsoft Core XML Services: Download details: MSXML 4.0 Service Pack 2 (Microsoft XML Core Services) http://msdn.microsoft.com/XML/XMLDownloads/ FORMATTING THE ENTITIES The business entities presented in the test scenarios are shown in common usage with commas and periods. Refer to XML efile Types for proper formatting for the business name lines and addresses. No commas or periods are allowed. Example: Test Scenario Help For All, Inc. 31 Any Street Anytown, MD 20901 XML Format Help For All Inc (BusinessNameLine1Type) 31 Any St (StreetAddressType) Anytown (CityType) MD (StateType) 20901 (ZipCodeType) POPULATING DATA IN THE TEST CASES We are not providing the forms in the tests in PDF format. Fields where we are
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indicating no entry are shaded. Do not enter zeroes in the fields where you have no entries unless the form or instructions specifically instruct you to do so.

PASSWORDS New or revised applicants who will be transmitting to the IRS will receive an eight-digit alphanumeric password that will be used for testing and production. This password will be mailed to the applicants with instructions on how to acknowledge receipt in order to activate. You will change your password then you log in for the first time after your password has been received. It will be valid at the beginning of ATS, which will begin October 30, 2006. If testing will be done through the Internet, applicants will choose their passwords during On-Line Registration. WHEN TO TEST When you are ready to test call the e-Help Desk at 1-866-255-0654. They will assist you in all preparations necessary to begin testing that includes assigning you a Software ID to use when submitting your returns. TESTING GUIDELINES FOR SOFTWARE DEVELOPERS Software does not have to provide for all forms or schedules, nor for all occurrences of a particular form or schedule. You must advise the e-Help Desk at 1-866-255-0654 of all limitations to your Software package at the time of first contact, before testing begins. You must test the complete form with no field limitations except for the number of occurrences. FEDERAL/STATE TESTING FOR FORMS 1120/1120S For Tax Year 2006, there will not be a separate State ATS. Full ATS for both transmitters and states will be available on October 30, 2006. Any of the test returns may be used if you will be participating in the Federal/State electronic filing program for 1120/1120S. Inform the e-Help Desk of which test you will be using. You should add the appropriate information in the generic state record and transmit the return as part of your regular transmission. Specific instructions are available from the participating states. Fed/State returns must be transmitted through Application to Application, (A2A) or Internet Filing Application (IFA). ELECTRONIC SIGNATURES Tax Professionals who file 1120/1120S have two options of filing a totally paperless return for their clients using the Practitioner PIN method or the Scanned Form 8453 method. The selected signature option must be identified in the Return Header. Tax Professionals who file 7004 have one option of filing using the Practitioner PIN method. MeF validates that a signature is present for each return. If the taxpayer uses a PIN to sign the return, all appropriate PIN information must be present in the return header. If the taxpayer elects to sign a Form 8453x, the scanned 8453x must be attached to the return. If the electronic return does not contain the required signatures, it will be rejected. Large taxpayers filing their own return must use the Scanned 8453x option.
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• Practitioner PIN The Practitioner PIN option can only be used if the taxpayer uses an ERO. It cannot be used if a taxpayer is filing through an On-Line Provider. If the signature option of “PIN Number” is chosen, the taxpayer and ERO will be required to sign the return with a personal identification number (PIN). The Practitioner PIN option consists of two PINs – one for the taxpayer and one for the Practitioner. 1. Taxpayer PIN – The taxpayer chooses the PIN that they wish to use to sign their return. The Taxpayer’s PIN must be 5 numeric characters and cannot contain all zeros. 2. Practitioner PIN – The ERO selects an eleven position PIN to sign the return. The first 6 positions of the Practitioner PIN will be made up of the EFIN of the ERO and the next 5 positions will be made up of 5 numeric characters that the ERO will select. The taxpayer must decide whether they want to enter their own PIN or whether they authorize the ERO to enter the PIN they choose as their signature. This authorization is made on Form 8879-C or 8879-S. The following fields are required for the Practitioner PIN method or the return will be rejected. • Practitioner PIN • PIN Entered By Indicator • Name of Officer • Title of Officer • Taxpayer PIN • Date Signed
• Scanned Form 8453

The scanned Form 8453 method must be used if the taxpayer decides not to use the Practitioner PIN method for signing the return. The Form 8453C or 8453-S will be completed and signed by all required parties and then scanned as a PDF file. The appropriate signature option of “Binary Attachment 8453 Signature Document” must be identified in the Return Header. If this option is chosen, the taxpayer and ERO (if applicable) must sign the paper 8453. The signed Form 8453-C/8453-S must then be scanned into a PDF document and inserted into the electronic return as a binary attachment. The binary attachment must be named “8453 Signature Document.” REVIEWING ACK FILES AND CORRECTING TESTS You may transmit as many test returns as necessary until you receive no error messages. Any Business Rules violations must be corrected in order to pass ATS testing. Please note that the Modernized e-File (MeF) Assurance Testing System (ATS) is not configured exactly the same as the MeF Production system. Therefore,
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a tester should not expect the same response time when testing in the ATS environment versus the Production environment (especially regarding performance or load testing -- this includes testing a single extremely large return in one transmission, a lot of large returns in one transmission, or a large number of concurrent transmissions.

FINAL TRANSMISSION FOR SOFTWARE DEVELOPERS Once you receive no rejects, you will be required to transmit the returns in two separate, same-day transmissions in order to test the ability of your software to increment the transmission ID number that appears in the Transmission Header. Tests 1-5 should be in the first transmission and Tests 6-10 in the second transmission. If you have included the 7004 test scenarios in your testing, include these tests in the second transmission.

COMMUNICATIONS TEST FOR THE e-file SYSTEM IRS allows three means of transmission for MeF: Electronic Management system (EMS), Internet Filing Application (IFA), and Application to Application (A2A). If you are a Transmitter and will be transmitting using the Electronic Management System (EMS), you must pass the communications test with software using the asynchronous (ASC) protocol. The EMS site for communications testing is the Tennessee Computing Center (TCC). If you are a Transmitter using accepted software, you must complete an error-free communications test by transmitting five returns in two same-day transmissions (three returns in one transmission and two in the other) to TCC. Transmitters, who have passed the communications test and want to continue to test, must request a test ETIN. If you will be transmitting through the Internet, you will need to perform the communications test through the Internet. If you will be transmitting through A2A, you will need to perform the communications test through A2A. If you will be transmitting through all portals, EMS, Internet, and A2A, communications tests must be performed through all systems. LARGE TAXPAYER’S COMMUNICATIONS TEST Large Taxpayer’s filing their own returns must perform a communications test through the Internet Filing Application (IFA) prior to submitting their return to production if this is the first year they are participating in corporate e-file. When registering and applying as a Large Taxpayer always request a “Test ETIN” and a “Production ETIN” so that you can test from year to year. Refer to the IRS e-file for Large Taxpayers Filing their Own Corporate Income Tax Return posted on the irs.gov website at http://www/irs.gov/businesses/corporations/article/0,,id=146959,00.html for more information.
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A Software Developer, who will not transmit, need not perform a communications test. USING YOUR OWN TEST If you are a Software Developer, when you have been notified that you have passed the ATS test, you may test with your own data using the same password and ETIN. If you are a Transmitter you will need to get a new Test ETIN to continue testing, as your original ETIN will have been moved to “production” status once you have passed the Communications Test. You will continue to use the same password. Call the e-Help Desk at 1-866-255-0654 using the Andover Service Center prompt to obtain a new Test ETIN. You must use the same taxpayer entity information (Names, EINs, Form Type, and Tax period ending month) that is provided in this test package for your independent tests. DO NOT use any other EINs. See Exhibit 3 for the list of valid EINs and Name Controls. Please contact the 1120 mailbox at 1120@irs.gov for any comments or updates needed to this document EXHIBITS The following exhibits are provided at the end of this document: Exhibit 1: Standard Postal Service State Abbreviations / Zip Codes Tables Exhibit 2: Foreign Country Codes Table Exhibit 3: List of valid EINs and Name Controls Tables Exhibit 4: Tax Year 2006 1120/1120S Test Scenarios Exhibit 5: Entities for 7004 Test Scenarios

EXHIBIT 1 VALID ZIP CODES
STANDARD POSTAL SERVICE STATE ABBREVIATIONS AND ZIP CODES

State
Alabama

Abbr.
AL

ZIP Code
350nn-369nn

Alaska
Arizona Arkansas California Colorado Connecticut Delaware District of Columbia Florida

AK
AZ AR CA CO CT DE DC FL

995nn-999nn
850nn-865nn 716nn-729nn, 75502 900nn-908nn, 910nn-961nn 800nn-816nn 060nn-069nn 197nn-199nn 200nn-205nn 320nn-339nn, 341nn, 342nn,
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Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming

GA HI ID IL IN IA KS KY LA ME MD MA MI MN MS MO MT NE NV NH NJ NM NY NC ND OH OK OR PA RI SC SD TN TX UT VT VA WA WV WI WY

344nn, 346nn, 347nn, 349nn 300nn-319nn, 39815, 39834, 399nn 967nn, 968nn 832nn-838nn 600nn-629nn 460nn-479nn 500nn-528nn 660nn-679nn 400nn-427nn, 45275 700nn-714nn, 71749 03801, 039nn-049nn 20331, 206nn-219nn 010nn-027nn, 055nn 480nn-499nn 550nn-567nn 386nn-397nn 630nn-658nn 590nn-599nn 680nn-693nn 889nn-898nn 030nn-038nn 070nn-089nn 870nn-884nn 004nn, 005nn, 06390, 100nn-149nn 270nn-289nn 580nn-588nn 430nn-459nn 730nn-732nn, 734nn-749nn 970nn-979nn 150nn-196nn 028nn, 029nn 290nn-299nn 570nn-577nn 370nn-385nn 733nn, 73949, 750nn-799nn 840nn-847nn 050nn-054nn, 056nn-059nn 20041,201nn, 20301,20370, 220nn-246nn 980nn-986nn, 988nn-994nn 247nn-268nn 49936, 530nn-549nn 820nn-831nn

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STANDARD POSTAL SERVICE STATE ABBREVIATIONS AND ZIP CODES FOR U.S.POSSESSIONS

U.S. Possession
American Samoa

Abbr.
AS

ZIP Code
967nn

Federated States of Micronesia Guam
Marshall Islands Commonwealth of the Northern Mariana Islands Palau Puerto Rico U.S. Virgin Islands

FM GU
MH MP PW PR VI

969nn 9691n, 9692n
969nn 9695n 969nn 006nn, 007nn, 009nn 008nn

Form 1120 and 1120S returns with addresses in the American Possessions are considered to have domestic addresses for processing purposes. The corporate return filer address (1120/1120S) must contain a state abbreviation to be treated as (and processed in Philadelphia) an American Possession.

APO/FPO CITY/STATE/ZIP CODES FOR MILITARY OVERSEAS ADDRESSES City APO or FPO APO or FPO State AA AE ZIP Code 340nn 090nn-098nn

APO or FPO

AP

962nn-966nn

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EXHIBIT 2 FOREIGN COUNTRY CODES

Code AF AL AG AQ AN AO AV AY AC AR AM AA AT AS AU AJ BF BA FQ BG BB BS BO BE BH BN BD BT BL BK BC BV BR IO VI BX BU UV ET

Foreign Country Afghanistan Albania Algeria American Samoa Andorra Angola Anguilla Antarctica Antigua & Barbuda Argentina Armenia Aruba Ashmore & Cartier Islands Australia Austria Azerbaijan Bahamas Bahrain Baker Islands Bangladesh Barbados Bassas da India Belarus Belgium Belize Benin Bermuda Bhutan Bolivia Bosnia-Herzegovina Botswana Bouvet Island Brazil British Indian Ocean Territory British Virgin Islands Brunei Bulgaria Burkina Faso Ethiopia

Code BM BY CB CM CA CV CJ CT CD CI CH KT IP CK CO CN CF CG CW CR VP CS IV HR CU CY EZ DA DJ DO DR TT EC EG ES EK ER EN IR

Foreign Country Burma Burundi Cambodia Cameroon Canada Cape Verde Cayman Islands Central African Republic Chad Chile China Christmas Island Clipperton Island Cocos (Keeling) Islands Colombia Comoros Congo, Republic of the (Brazzaville) Congo, Democratic Rep of the (Zaire) Cook Islands Coral Sea Islands Corsica Costa Rica Cote D’Ivoire (Ivory Coast) Croatia Cuba Cyprus Czech Republic

Denmark
Djibouti Dominica Dominican Republic East Timor Ecuador Egypt El Salvador Equatorial Guinea Eritrea Estonia Iran
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EXHIBIT 2 FOREIGN COUNTRY CODES
(Continued)

Code Foreign Country EU Europe Island Territory FK Falkland Islands (Islas Malvinas) FO Faroe Islands FM Federated States of Micronesia FJ Fiji FI Finland FR France FG French Guinea FP French Polynesia FS French Southern & Antartic Lands GB Gabon GA The Gambia GZ Gaza Strip GG Georgia GM Germany GH Ghana GI Gibraltar GO GR GL GJ GP GQ GT GK GV PU GY HA HM HO HK HQ HU IC IN ID Glorioso Islands Greece Greenland Grenada Guadeloupe Guam Guatemala Guernsey Guinea Guinea-Bissau Guyana Haiti Heard Island & McDonald Islands Honduras Hong Kong Howland Island Hungary Iceland India Indonesia

Code Foreign Country IZ Iraq EI Ireland IS IT JM JN JA DQ JE JQ JO JU KZ KE KQ KR KN KS KU KG LA LG LE LT LI LY LS LH LU MC MK MA MI MY MV ML MT Israel Italy Jamaica JanMayen Japan Jarvis Island Jersey Johnston Atoll Jordan Juan de Nova Island Kazakhstan Kenya Kingman Reef Kiribati Korea, Democratic People’s Republic of (North) Korea, Republic of (South) Kuwait Kyrgyzstan Laos Latvia Lebanon Lesotho Liberia Libya Liechtenstein Lithuania Luxembourg Macau Macedonia Madagascar Malawi Malaysia Maldives Mali Malta
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IM Code RM MB MR MP MF MX MQ MD MN MG MH MO MZ WA NR BQ NP NL NT NC NZ NU NG NI NE NF CQ NO MU OC PK LQ PS PM VC SU NS SV

Man, Isle of Foreign Country Marshall Islands Martinique Mauritania Mauritius Mayotte Mexico Midway Islands Moldova Monaco Mongolia Montserrat Morocco Mozambique Namibia Nauru Navassa Island Nepal Netherlands Netherlands Antilles New Caledonia New Zealand Nicaragua Niger Nigeria Niue Norfolk Island Northern Mariana Island Norway Oman Other Countries Pakistan Palmyra Palau Panama St. Vincent and the Grenadines Sudan Suriname Svalbard

PP Code PF PA PE RP PC PL PO RQ QA RE RO RS RW WS SM TP SA SG SE SL SN LO SI BP SO SF SX SP PG CE SH SC ST SB TV UG UP TC

Papua-New Guinea Foreign Country Paracel Islands Paraguay Peru Philippines Pitcairn Islands Poland Portugal Puerto Rico Qatar Reunion Romania Russia Rwanda Samoa (Western) San Marino Sao Tome and Principe Saudi Arabia Senegal Seychelles Sierra Leone Singapore Slovakia Slovenia Solomon Islands Somalia South Africa South Georgia & The South Sandwich Islands Spain Spratly Islands Sri Lanka St. Helena St. Kitts & Nevis St. Lucia Island St. Pierre & Miquelon Tuvalu Uganda Ukraine United Arab Emirates

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EXHIBIT 2 FOREIGN COUNTRY CODES
(Continued)

Code WZ

Foreign Country Swaziland

Code UK

Foreign Country United Kingdom (England, Northern Ireland, Scotland, and Wales) Unknown Country Uruguay Uzbekistan Vanuatu Vatican City Venezuela Vietnam Virgin Islands (US) Wake Island Wallis & Futuna West Bank Western Sahara Yemen (Aden) Yugoslavia Zambia Zimbabwe

SW SZ SY TW TI TZ TH TO TL TN TD TE TS TU TX TK

Sweden Switzerland Syria Taiwan Tajikistin Tanzania Thailand Togo Tokelau Tonga Trinidad & Tobago Tromelin Island Tunisia Turkey Turkmenistan Turks and Caicos Islands

UC UY UZ NH VT VE VM VQ WQ WF WE WI YM YO ZA ZI

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EXHIBIT 3
VALID EINS AND NAME CONTROLS

Table 1 EIN
11-0000001 11-0000002 11-0000003 11-0000004 11-0000005 11-0000006 11-0000007 11-0000008 11-0000009 11-0000010 11-0000012 11-0000013 11-0000014 11-0000015 11-0000016 11-0000017 11-0000018 11-0000019 11-0000020 11-0000021 11-0000022 11-0000023 11-0000024 11-0000025 11-0000026 11-0000027 11-0000028 11-0000029

Name Control
HELP HIDE ANYW MAIL INTE GREAT WORK GOLD TREE PACK GREE ACME COUN ABCE SHAR DEFF GHIF JKLF MNOF ABCF HANK BIGE CLEA PLAY CARD GAME COOL HOTT

Tax Period Ending Month
12 12 01 01 12 12 12 12 12 03 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12

Form Type
1120 1120 1120 1120 1120 1120S 1120S 1120S 1120S 1120S 1120 1120 1120 1120 1120 1120 1120 1120 1120 1120 1120S 1120S 1120S 1120 1120 1120 1120 1120

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EXHIBIT 3 VALID EINS AND NAME CONTROLS
(Continued)

Table 2 Form 7004 EIN
11-0000030 11-0000031 11-0000032 11-0000033 11-0000034 11-0000035 11-0000036 11-0000037 11-0000038 11-0000039 11-0000040 11-0000041 11-0000042 11-0000043 11-0000044 11-0000045 11-0000046 11-0000047 11-0000049 11-0000050 11-0000051 11-0000052 11-0000053 11-0000054 11-0000055 11-0000056 11-0000057

Name Control
RAMC MODE FRUI FORE UNIT ANYB HOME ANYL NUCL VOTE ANYR ANYS SECO HOTT APPL ANYF ANYC ANYR FLOW REDE LAMP PUTT CAMP SEAT LOOP BLUE ROSE

Tax Period Ending Month
10 10 12 7 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 3 12 12 12

Type of Extension
1120S 1120 1120 (subchapter T) 1120-FSC 1120-A 1120 1120-H 1120-L 1120-ND 1120-POL 1120-REIT 1120-SF 1120-F 1120 affiliate 1120 affiliate 990-C 1120-PC 1120-RIC 1065 1120-C 706-GS(D) 706-GS(T) 1041 1042 1066 3520-A 8804

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EXHIBIT 3 VALID EINS AND NAME CONTROLS
(Continued)

Table 3 Other Forms EIN
11-0000011 001-06-0001 001-06-0002 001-06-0003 001-06-0004 001-06-0005 001-06-0006 001-06-0007 001-06-0008 001-06-0009 001-06-0010 001-06-0013 001-06-0014 001-06-0016 001-06-0017 001-06-0018 001-06-0019 999-06-0016 999-06-0017 999-06-0018 999-06-0002 999-06-0041 999-06-0005 999-06-0042 ELEC DESI BOOK CALV HOBB SALE ORTI TAXM EXEM CLEA STAI LIFT TRIM DOE DOE DOE FUEL DOE DOE DOE BOOK DUDO SALE WIND

Name Control

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EXHIBIT 4 TAX YEAR 2006 1120/1120S TEST SCENARIOS

1. 1120, Sch M-3, 4626, Sch D, 3800, 4562, 5884, 6765, 8594, 8861, 8881, 8882, 8453-C ItemizedOtherIncomeSchedule ItemizedOtherDeductionsSchedule ItemizedAdditionalSection263AcostsSchedule ItemizedOtherCostsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedOtherLiabilitiesSchedule ItemizedOtherIncreasesSchedule ItemizedOtherDecreasesSchedule OtherExpensesDeductionItemsWithDifferencesSchedule Binary Attachment - Scanned Form 8453-C

2. 1120, Sch M-3, Sch N, 851, Sch D, 1122, 4562, 4626, 4797, 5471(3), 5471 Sch J(3), 5471 Sch M(2), 5471 Sch O (1), 8827, 8050 ItemizedOtherIncomeSchedule ItemizedOtherDeductionsSchedule ItemizedAdditionalSection263ACostsSchedule ItemizedOtherCostsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherAssetsSchedule ItemizedOtherDeductionsSchedule2 ItemizedOtherCurrentLiabilitiesSchedule ItemizedOtherLiabilitiesSchedule ItemizedScheduleofOtherIncreases PartnershipInterestSchedule OtherIncomeLossItemsWithDifferencesSchedule OtherExpenseDeductionItemsWithDifferencesSchedule OtherIncomeLossItemsWithDifferencesSchedule OtherExpenseDeductionItemsWithDifferencesSchedule Binary Attachment - (Org Chart for F5471 Sch O)

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EXHIBIT 4 TAX YEAR 2006 1120/1120S TEST SCENARIOS
(Continued)

3. 1120, Sch D, 4626, 4797, 4562, 6198, 8275, 8453-C ItemizedOtherCostsSchedule AnyoneOwned50PctOfCorpVotingStockStatement ItemizedOtherCurrentLiabilitiesSchedule ItemizedIncomeNotRecordedOnBooksSchedule ItemizedOtherDecreasesSchedule Binary Attachment - Scanned Form 8453-C

4. 1120, 4562, 5472 (2), 8833, 8866 ItemizedOtherIncomeSchedule2 ItemizedOtherDeductionsSchedule ItemizedOtherCostsSchedule AnyoneOwned50PctOf”CorpVotingStockStatement ItemizedOtherCurrentAssetsSchedule ItemizedOtherAssetsSchedule ExchangeRateSchedule (2)

5. 1120, Sch N, Sch M-3, 926, 1118, 1118 Sch J, 5471, 5471 Sch J, 5471 Sch M, 5471 Sch O, 8832, 8858 ItemizedOtherIncomeSchedule Owned50PercentVotingStockOfDomesticCorpStatement AnyoneOwned50PctOfCorpVotingStockStatement ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherDeductionsSchedule2 ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentSchedule ItemizedOtherCurrentLiabilitiesStmt OtherLiabilitiesStatement EarningsAndProfitsOtherAdjStmt OtherIncomeLossItemsWithDifferencesSchedule OtherExpenseDeductionItemsWithDifferencesSchedule

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EXHIBIT 4 TAX YEAR 2006 1120/1120S TEST SCENARIOS
(Continued)

6. 1120S, 4562, 4797, Sch K-1(2), 8453-S ItemizedOtherIncomeLossSchedule2 ItemizedOtherDeductionsSchedule2 ItemizedOtherCostsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentSchedule ItemizedOtherAssetsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedIncomeNotRecordedonBooksSchedule2 ItemizedDeductionsNotChargedAgainstBooksSchedule2 AccumulatedAdjustmentsAccountOtherAdditionsSchedule AccumulatedAdjustmentsAccountOtherReductionsSchedule DispositionOfPropWithSect179DeductionsStatement (2)
Binary Attachment - Scanned 8453-S (8453 Signature Document)

7. 1120S, Sch D (1120S), 4562, 4797, 8824, K-1(2) ItemizedOtherDeductionsSchedule2 ItemizedOtherCostsSchedule ItemizedOtherDeductionsSchedule3 ItemizedOtherCurrentAssetsSchedule ItemizedOtherAssetsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedExpensesRecordedOnBooksSchedule2 AccumulatedAdjustmentsAccountOtherAdditionsSchedule AccumulatedAdjustmentsAccountOtherReductionsSchedule

8. 1120S, Sch D (1120S), 4562, 4797, 8082, 8283, 8825, 8881, Sch K-1 (2) ItemizedOtherIncomeSchedule2 ItemizedOtherDeductionsSchedule2(1) ItemizedOtherCostsSchedule CharitableContributionSchedule ItemizedOtherCreditsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedIncomeNotRecordedOnBooksSchedule2 ItemizedExpensesRecordedOnBooksSchedule2 ItemizedDeductionsNotChargedAgainstBooksSchedule2 FairMarketValueStatement QualifiedConservationContributionStmt.
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DispositionOfPropWithSect179DeductionsStatement (2)

9. 1120S, Sch M-3, Sch N (1120), 4562, 5471, Sch J (5471), Sch M (5471), 5472, 8916-A (Attach in PDF until schema is published), Sch K-1 ItemizedOtherIncomeSchedule2 ItemizedOtherDeductionSchedule2 (2) ItemizedOtherCostsSchedule CharitableContributionSchedule ItemizedOtherDeductionsSchedule3 ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedOtherLiabilitiesSchedule USDividendsNotEliminatedInTaxConsolidationSchedule PartnershipInterestSchedule OtherExpenseDeductionItemsWithDifferencesSchedule

10. 1120S, Sch M-3 (1120S), 4562, 4797, 8865, Sch O (8865), Sch K-1 (8865), Sch K-1, 8916-A (Attach in PDF until schema is published) ItemizedOtherIncomeSchedule2 ItemizedOtherDeductionSchedule2 ItemizedOtherCostsSchedule CharitableContributionsSchedule ItemizedOtherDeductionsSchedule3 ItemizedOtherCurrentAssetsSchedule(2) ItemizedOtherInvestmentsSchedule ItemizedOtherAssetsSchedule(2) ItemizedOtherCurrentLiabilitiesSchedule(2) ItemizedOtherLiabilitiesSchedule(2) PartnershipInterestSchedule(2) OtherExpenseDeductionItemsWithDifferencesSchedule ItemizedOtherIncomeLossSchedule ItemizedOtherIncreasesSchedule2

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EXHIBIT 5 TAX YEAR 2006 7004 TEST SCENARIOS
1. Form: 1120S RAM Corporation, Inc. 101 Main Street Downtown, MD 20601 Name Control: RAMC 11-0000030

2.

Form 1120 Modern Technologies, Inc . 11-0000031 301 New Street Newtown, ND 58204 Name Control: MODE Affiliate 1: Hottest Communications 11-0000043 100 Mall Avenue Uptown, OH 45324 Name Control: HOTT Affiliate 2: High-Tech Solutions PENDING 200 Main Street Anytown, NC 27905 Name Control: HIGH

3.

Form 1120-FSC Foreign Business One 2 Rue Street Paris City. France Name Control: FORE Write-In: FILING UNDER REGULATION SECTION 1.6081-5 Affiliate 1: Overseas Imports NONE 123 Wide Street New City, NY 00422 11-0000033

22

EXHIBIT 5 TAX YEAR 2006 7004 TEST SCENARIOS
(Continued)

4.

Form 1065 Flower Store One 3 Bulb Street Somewhere, TX 78621 Name Control: FLOW 11-0000049

5.

Form 1120C RedesignComp, Inc 55 Any Street Anytown, MI 49261 Name Control: REDE 11-0000050

Additional Entities that can be used
Form 990C Any Farmer’s Cooperative Assoc 11-0000045 Box 233 Farmer Lane Farm Ville, NE 68108 Name Control: ANYF ---------------------------------------------------------------------------------------------------------------------

Form 1120 Any Business 11-0000035 11 Any Place Anywhere, VA 20134 Name Control: ANYB

--------------------------------------------------------------------------------------------------------------------Form 1120 ‘SUBCHAPTER T COOPERATIVE’ Fruit Growers Coop. 11-0000032 34 Orchard Street Produceville, SC 29615
23

Name Control: FRUI

Affiliate 1: Apple Growers 11-0000044 100 Gala Avenue Mackintown, PA 15336 Name Control: APPL Affiliate 2: Orange Groves 200 Pulp Street Juicytown, FL 32706 NONE

Name Control: ORAN --------------------------------------------------------------------------------------------------------------------Form 1120A United States Corporation, Inc. 55 Any Street Anytown, MI 49261 11-0000034

Name Control: UNIT --------------------------------------------------------------------------------------------------------------------Form 1120F Second Foreign Corporation 7 Pickle Circus Londontown, England

11-0000042

Name Control: SECO --------------------------------------------------------------------------------------------------------------------Form 1120H Homeowners Assoc. 12 Home Street Hometown, WI 53034 Name Control: HOME Affiliate 1: Your Home Assoc. APPLIED FOR 1 Your Street Yourtown, IL 60033 --------------------------------------------------------------------------------------------------------------------Form 1120L Any Life Insurance Co. 99 Liability Street Anytown, CT 06765 Name Control: ANYL
24

11-0000036

11-0000037

Form 1120ND Nuclear Trust 1 Atom Lane Electronton, TN 37730 11-0000038

Name Control: NUCL --------------------------------------------------------------------------------------------------------------------Form 1120PC

Any Casualty Insurance Co. 100 Coverage Street Anytown, MN 56765

11-0000046

Name Control: ANYC --------------------------------------------------------------------------------------------------------------------Form 1120POL Vote for Anyone P.O. Box 1000 Middle Road Fence Town, NY 00430 11-0000039

Name Control: VOTE --------------------------------------------------------------------------------------------------------------------Form 1120REIT Any Real Estate Investment Trust 11-0000040 88 Main Street Profit, MA 01676 Name Control: ANYR --------------------------------------------------------------------------------------------------------------------Form 1120RIC Any Regulated Investment Co. 123 Main Street Anytown, DC 20075 11-0000047

Name Control: ANYR --------------------------------------------------------------------------------------------------------------------Form 1120SF Any Settlement Funds 23 Easy Street Money Town, NJ 08912 Name Control: ANYF 11-0000041

25

Form 706-GS(D) Lamp N Things, Co 12 Ninth Street Anytown, CT 06765 11-0000051

Name Control: LAMP --------------------------------------------------------------------------------------------------------------------Form 706-GS(T) Putters Corporation 456 Green Lane New City, NY 00422 11-0000052

Name Control: PUTT --------------------------------------------------------------------------------------------------------------------Form 1041 CampKing Technologies 24 Woody Lane Somewhere, TX 78621 11-0000053

Name Control: CAMP --------------------------------------------------------------------------------------------------------------------Form 1042 SeaTeam Electronics 45 Maple Lane Hometown, WI 53034 11-000054

Name Control: SEAT --------------------------------------------------------------------------------------------------------------------Form 1066 Looper Aircraft Co. 124 Airport Lane Profit, MA 01676 11-000055

Name Control: LOOP --------------------------------------------------------------------------------------------------------------------Form 3520A BlueJays Printing Corp 135 Paper Lane Anytown, DC 20075 Name Control: BLUE 11-0000056

26

Form 8804 Rosewood Insurance Services 2 Maple Drive Anytown, CT 06765 11-0000057

Name Control: ROSE --------------------------------------------------------------------------------------------------------------------Corporation Officers: Doug Doe 999-06-0016 President 87 Any Street Anyplace, VT 05382 301-555-1212 Jane Doe 999-06-0017 Chairman of the Board 77 That Street This Town, WA 98378 301-555-1313 Tom Doe 999-06-0018 Agent 1 Right Street Left Town, OR 97838 301-555-1414 Rebecca Book 999-06-0002 Vice President 46 Any Street Anytown, NY 10005 301-555-1515 Jacque DuDoe 999-06-0041 President 2222 French Street Paris City, France 011-44-99999-5555 Sarah Sales 999-06-0005 Treasurer 49 Any Street Anytown, PA 19561 301-555-1616 Ron Windsor 999-06-0042 President 33 Pickle Lane London Town, England 011-99-99999-9990

27

Help For All, Inc. TEST SCENARIO 1

11-0000001

FORMS REQUIRED: 1120, Sch M-3, 4626, Sch D, 3800, 4562, 5884, 6765, 8594, 8861, 8881, 8882, 8453-C ATTACHMENTS: ItemizedOtherIncomeSchedule ItemizedOtherDeductionsSchedule ItemizedAdditionalSection263ACostsSchedule ItemizedOtherCostsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedOtherLiabilitiesSchedule ItemizedOtherIncreasesSchedule ItemizedOtherDecreasesSchedule OtherExpensesDeductionItemsWithDifferencesSchedule

BINARY ATTACHMENTS: Scanned Form 8453-C (8453 Signature Document) HEADER INFO: Tax Period: Calendar Year 2006.

Preparer Firm

Electronic Tax Filers, Inc. 100 Efile Drive Anytown, TX 78621

11-0000011

MultipleSoftwarePackagesUsed: Yes or No Originator: EFIN: Self-select Type: ERO PractionerPIN: None PIN Entered by – N/A Binary Attachment 8453 Signature Document 1120

Signature Option: Return Type:

Filer:

EIN: 11-0000001 Name: Help For All, Inc. Name Control: Help Address: 31 Any Street Anytown, MD 20901 Name: Roger Rabbit Title: Chief Executive Officer Taxpayer PIN: Self-Select Phone: 703-555-1212 Email Address:
28

Officer:

Help For All, Inc. DateSigned: 01/25/07

11-0000001

Preparer:

Name: Johnny Appleseed SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: Date Prepared: 01/20/07 Self Employed: Yes

IRS PAYMENT:

N/A

Details for attachments to Form 1120 Attachment 1, Form 1120, Page 1, Line 10, Other Income (ItemizedOtherIncomeSchedule) Income from Partnerships Total 375,018,745 375,018,745

Attachment 2, Form 1120, Page 1, Line 26, Other Deductions (ItemizedOtherDeductionsSchedule) Dues and Subscriptions Communications Employment Expenses Utilities & Telephone Travel Amortization Professional Expenses Workers Compensation Supplies Postage Transportation Meals and Entertainment Miscellaneous Total 3,932,765 925,702 81,763,530 3,932,765 6,404,749 719,800 4,376,350 8,725,013 4,914,685 212,652 989,391 221,174 112,203,275 229,321,851

Attachment 3, Form 1120, Page 2, Sch A, Line 4, Additional section 263A costs (ItemizedAdditionalSection263ACostsSchedule) Administrative costs Total 19,676 19,676

Attachment 4, Form 1120, Page 2, Sch A, Line 5, Other Costs (ItemizedOtherCostsSchedule) Allocation of Cost of Goods Sold 2,974
29

Help For All, Inc. Cost of Service Total 50,804 53,778

11-0000001

Attachment 5, Form 1120, Page 4, Sch L, Line 6, Other current assets (ItemizedOtherCurrentAssetsSchedule) Beginning Ending Other Receivables 108,721 Prepaids -38,282 Unbilled Revenue 1,794,860 130,717 Other 4,477,350 5,000,000 Total 6,272,210 5,201,156

Attachment 6, Form 1120, Page 4, Sch L, Line 9, Other investments (ItemizedOtherInvestmentsSchedule) Beginning Ending Investments in Affiliates Total 1,170,917,682 1,170,917,682 1,230,810,633 1,230,810,633

Attachment 7, Form 1120, Page 4, Sch L, Line 18, Other current liabilities (ItemizedOtherCurrentLiabilitiesSchedule) Beginning Ending Payroll & Related Accrued Interest Accrued Benefits Accrued Liabilities Total 217,392,209 367,939,212 25,287,715 219,144,766 829,763,902 115,320,352 172,573,825 402,963 181,956,145 470,253,285

Attachment 8, Form 1120, Page 4, Sch L, Line 21, Other Liabilities (ItemizedOtherLiabilitiesSchedule) Beginning Deferred Compensation Total 962,818,384 962,818,384 Ending 1,173,826,771 1,173,826,771

Attachment 9, Form 1120, Page 4, Sch M-2, Line 3, Other increases (ItemizedOtherIncreasesSchedule) Miscellaneous Other Increases Total 1,804,817,786 1,804,817,786

Attachment 10, Form 1120, Page 4, Sch M-2, Line 6, Other decreases (ItemizedOtherDecreasesSchedule)
30

Help For All, Inc.

11-0000001

Other Decreases Total

882,718,261 882,718,261

Attachment 11, Schedule M-3 (Form 1120), Page 3, Part III, Line 35, Other Expense Items with Differences (OtherExpensesDeductionItemsWithDifferencesSchedule)
a Expense per Income Stmt b Temporary Difference c Permanent Difference d Deduction per Tax Return

Employee Benefits Property Tax Miscellaneous Salaries and Wages

10,149 531,751 64,989,159 6,764,571

90,163 47,214,116 -

(5,000) (11,350)

5,149 621,914 112,203,275 6,753,221

Total

72,295,630

47,304,279

(16,350)

119,583,559

31

Help For All, Inc.

11-0000001

Form 1120 Test 1

U.S. Corporation Income Tax

2006

Calendar Year 2006 or tax year beginning , 2006, ending , 2007 Check if: 1,2,3,4 A 4 is checked Employer EIN B 11-0000001 Name and Address: Help For All, Inc, 31 Any Street, Anytown, MD 20901 Date of incorporated C 05/30/1983 Total assets D 3,751,608,959 Check applicable boxes E Line Description Line Amount Write-in / Literal / Attachment Gross Receipts or sales 1a 684,525 Less returns and allowances 1b Balance 1c 684,525 Cost of goods sold (Sch A, line 8) 2 219,245 Gross profit. Subtract line 2 from line 3 465,280 1c Dividends 4 Interest 5 8,018,387 Gross rents 6 265,386 Gross royalties 7 Capital gain net income 8 11,802,202 Net gain or (loss) F4797 9 Other Income 10 375,018,745 See Attachment 1 Total income. Add lines 3 through 10 11 395,570,000 Compensation of officers 12 1,000,000 Salaries and wages (less employment 13 credits) 6,753,221 Repairs and maintenance 14 225,729 Bad debts 15 Rents 16 Taxes and licenses 17 7,621,914 Interest 18 2,716,219 Charitable contributions 19 Depreciation (attach Form 4562) 20 8,961,357 Depletion 21 Advertising 22 Pension, profit-sharing, etc., plans 23 25,701 Employee benefit programs 24 5,149 Domestic production act. 25 Other deductions (attach schedule) 26 229,321,851 See Attachment 2 Total deductions ( add lines 12 – 26 27 256,631,141 Taxable income bfr net operating loss 28 deduction 138,938,859 Less NOL deduction 29a Less special deductions 29b Total NOL deduction 29c Taxable income 30 138,938,859 Total tax 31 44,976,265 Payments: a 2005 overp 32a 2006 estimated tax pymt 32b 45,000,000 Less 2006 refund app for 32c Balance 32d 45,000,000 Tax deposited w/ F7004 32e Credit from F2439 32f (1)
32

Help For All, Inc. Form 1120 Test 1
32f (2) 32g 32h 33 34 35 36 36 Credit from F4136 Credit from tele excise tax F8913 Total Payments Estimated tax penalty Tax Due. Overpayment Credit to 2007 est tax Refund May IRS discuss? Preparer's SSN or PTIN: Preparer Firm's name/address:

11-0000001 U.S. Corporation Income Tax 2006

45,000,000

23,735 23,735 Yes 999-06-0007 Electronic Tax Filers, Inc 100 Efile Drive, Anytown, TX 78621 11-0000011 512-555-1212

Preparer's EIN: Preparer's Phone no.: Schedule A Cost of Goods Sold Inventory at beginning of year 1 75,770 Purchases 2 67,390 Cost of labor 3 97,307 Additional section 263A cost 4 19,676 Other costs 5 53,778 Total 6 313,921 Inventory at the end of year 7 94,676 Cost of goods sold 8 219,245 Cost 9a Checked (i) Lower of cost or market 9a (ii) Other 9a (iii) Check if writedown 9b Check if the LIFO… 9c If the LIFO inventory … 9d Sec 263A rules apply 9e Yes is checked Change in determining quantities, 9f cost, valuations? No is checked Line Description Line Amount Schedule C Dividends and Special Deductions Dividends fm < 20% dom 1 Dividends fm > 20% dom 2 Dividends fm debt-financ 3 Dividends fm certain preferred stock < 4 20% Dividends fm certain preferred stock > 5 20% Dividends fm < 20% frgn 6 Dividends fm > 20% frgn 7 Dividends fm wholly own 8 Total 9 Dividends fm dom corp 10 Dividends fm affl grp mbr 11

See Attachment 3 See Attachment 4

Write-in / Literal

33

Help For All, Inc. Form 1120 Test 1 U.S. Corporation Income Tax

11-0000001 2006

Dividends fm contrl grp FSC 12 Dividends fm frgn corp 13 Income fm contrl frgn crp 14 Frgn dividend gross-up 15 IC-DISC and former DIS 16 Other dividends 17 Deduction for dividends 18 Total dividends 19 Total special dividends 20 Schedule E Compensation of Officers Name of officer 1(a) SSN 1(b) % of time devoted to bus 1(c) % of common stock own 1(d) % of preferred stock own 1(e) Amount of compensation 1(f) Total compensation 2 Comp claimed on Sch A 3 Subtract line 3 fm line 2 4 Schedule J Tax Computation Check if cntrl group mbr 1 Income tax – check PSC 2 Alternative minimum tax 3 Add lines 2 and 3 4 Foreign tax cr – F1118 5a Qualified electric cr 5b General business credit 5c Form 3800 Checkbox Credit from prior year 5d Bond credit from 8860; 8912 5e Total credits 6 Subtract line 6 fm ln 4 7 Personal holding com tx 8 Other taxes – check if.. 9 Total tax 10 Schedule K Other Information Cash 1(a) Accrual 1(b) Other 1(c) Business activity code 2(a) Business Activity 2(b) Product or Service 2(c) Corp own 50% or more? 3 Sub in affiliated group? 4 Indiv own 50% or more? 5 Percentage owned 5 Corp paid dividends? 6 Foreign owned > 25% 7 Percentage owned 7a Owner’s country 7b Number of F5472 attach 7c Issued pub offrd debt ins 8 Tax-exempt interest rcvd 9 Number of shareholders 10

Robert Fleece 123-45-6789 100 10 1,000,000 1,000,000 1,000,000

48,628,601 0 48,628,601

3,652,336 Checked

3,652,336 44,976,265

44,976,265

Checked 313000 Textile Textile No No No No No

34

Help For All, Inc. Form 1120 Test 1 U.S. Corporation Income Tax

11-0000001 2006

Has NOL forego cybk pd 11 Avail NOL cybk fm pr yr 12 Total receipts less than $250,000? 13 Schedule L Balance Sheets per Books Beginning of tax year Assets Cash Trade notes Less allowance Inventories U.S. govt oblig Tax-exempt securities Other current assets Loans to shareholders Mortgage & real estate loan Other investments Bldgs & other deprec assets Less accumulated deprec
Depletable assts

No End of tax year (c) 115,679,010 (2,083) (d) 375,724,013 115,676,927 94,676 Write-in / Literal

(a) 1,675,642 (2,000)

1 2a 2b 3 4 5 6 7 8

(b) 940,348,325 1,673,642 75,770

6,272,210

5,201,156

Attachment 5

9 10a 10b 11a 11b 12 13a 13b 14 15 16 17

1,170,917,682

1,230,810,633

Attachment 6

320,264,517
(115,865,855)

346,364,576 204,398, 662 (138,886,967) 207,477,609

18 19 20

21 22a 22b

Less accumulated depletion Land Intangible assets Less accum amortization Other assets Total assets Liabilities Accounts payable Mortgages, notes, bonds payable < 1yr Other current liabilities Loans from shareholders Mortgages, notes, bonds payable > 1yr Other liabilities Cap stock-Pref Cap stock Common

2,050,521,992 (257,037,784) 1,793,484,208 4,117,170,499

2,078,314,078 (261,690,133)
1,816,623,945 3,751,608,959

(a)

(b) 22,075,720

(c)

(d) 20,596,725

829,763,902

470,253,285

Attachment 7

962,818,384 308,500,000 17,680,774 326,180,774 308,500,000 17,513,891

1,173,826,771

Attachment 8

326,013,891
35

Help For All, Inc. Form 1120 Test 1
23

11-0000001 U.S. Corporation Income Tax 2006

Additional paid 675,611,707 675,611,707 –in capital 24 Retained earnings- Appropria 25 Retained earnings- Unappro 1,300,720,012 1,085,306,580 26 Adjustments to shareholders equity Less cost of 27 treasury stock Total liabilities 28 & shareholders equity 4,117,170,499 3,751,608,959 Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Return Line Description Line Amount Write-in / Literal Net Income 1 Fed income tax per bks 2 Excess of capital loss 3 Income taxed not recrd 4 Expenses recorded on books 5 Depreciation 5a Charitable contribution 5b Travel & entertainment 5c Line 5 total 5 Add lines 1 – 5 6 Tax-exempt interest 7 Income recorded on books (itemize) 7 Line 7 total 7 Deductions not charged against book 8 (itemize) Depreciation 8a Charitable contribution 8b Line 8 total 8 Add lines 7 & 8 9 Income 10 Schedule M-2 Analysis of Unappropriated Retained Earning per Books Balance at beg of year 1 1,300,720,012 Net incm (loss) per bk 2 67,250,945 Other increases 3 1,804,817,786 See Attachment 9 Add lines 1, 2, and 3 4 3,172,788,743 Distributions - Cash 5a 1,204,763,902 Distributions – Stock 5b Distributions – Property 5c Other decreases 6 882,718,261 See Attachment 10 Add lines 5 and 6 7 2,087,482,163 Balance at end of year 8 1,085,306,580

36

Help For All, Inc.

11-0000001

Form Schedule M-3 (1120) Test 1
Name: Help For All, Inc. EIN: 11-0000001

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

Part I

Financial Information and Net Income (Loss) Reconciliation
Line Amount / Information No Yes 01/01/2006 12/31/2006 No No No Write-in / Literal

Line Description Filed SEC F10-K income stmt? 1a Certified audit income stmt? 1b Income stmt for period? 1c Income statement period 2a Income statement restated? 2b Income stmt restated for 5 prds? 2c Voting stock publicly traded? 3a Symbol of pub trd’d stock 3b 9-digit CUSIP of pub trd’d stk 3c Worldwide consol net incm 4 Net income nonincludible frgn 5a Net loss nonincludible frgn 5b Net income nonincludible US 6a Net loss fnonincludible US 6b Net income nonincludible Oth 7a Net loss nonincludible Oth 7b Adj to eliminations of transact 8 Adj to reconcile incm stmt 9 Intercompany adj to reconcile 10a Other statutory acc adj reconile 10b Other adj to reconcile 10c Net income (loss) per stmt 11 Schedule M-3 (Form 1120) 2006 Page 2 Name: Help For All, Inc. EIN: 11-0000001 Consolidated Return checkbox Name of Subsidiary: EIN:

67,250,945

67,250,945

Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return
(a) Income (loss) per Income Stmt 1 2 3 4 5 6 7 8 9 10 11 Incm (loss) fm equ mthd frgn Gross frgn div Subpart F,QEF Sec 78 grossup Gross frgn dist Incm (loss) fm equ mthd US US div not elim Minority interest Incm (loss) US Incm (loss) frgn Incm (loss) oth pass-thru entity (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax
Return

Write-in / Literal

313,415,757

61,602,988

375,018,745

37

Help For All, Inc. Form Schedule M-3 (1120) Test 1

11-0000001 Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More
(a) Income (loss) per Income Stmt (b) Temp Difference (c) Perm Difference
Return

2006

(d) Income (loss) per Tax

Write-in / Literal

12 13 14 15 16 17 18 19 20 21 22 23a 23b 23c 23d 23e 23f 23g 24 25 26 27

28 (108,435,033) 29a 67,250,945 29b 29c 30 67,250,945 Reconciliation tot Name: EIN: Consolidated Return checkbox Name of Subsidiary: EIN:

Reportable transact items Interest incm Total accrual to cash adj Hedging trans Mark-Mkt incm Cost of gds sold Sale vs lease Sec 481(a) adj Unearned/ deferred revenue Incm recogn Org issue disc Incm stmt gain/ loss on sale Gross cap gain Gross cap loss Net gain/loss Abandonment Worthless stck Oth gain/loss Cap loss cf Oth incm (loss) Tot incm (loss) Tot expns/ded Oth incm (loss) w/ no diff Subgroup total PC ins total Life ins total

(199,569)

(19,676)

(219,245)

12,052,997

(12,052,997) 11,802,202

11,802,202

325,269,185 (149,583,207)

61,583,312 (58,076,329)

(250,795) 68,431,726

386,601,702 (139,227,810) (108,435,033) 138,938,859

3,506,983

68,180,931

3,506,983

68,180,931

138,938,859

Part III Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items
(a) Income (loss) per Income Stmt 1 2 3 4 US curr incm tax expense US defer incmn tax expns State local curr incm tax expns State local defer 68,193,702 (b) Temp Difference (c) Perm Difference (68,193,702) (d) Income (loss) per Tax Return Write-in / Literal

7,000,000

7,000,000

38

Help For All, Inc. Form Schedule M-3 (1120) Test 1
incm tax expns (a) Income (loss) per Income Stmt 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 Frgn curr incm tax expense Frgn deferred
incm tax expns

11-0000001 Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More
(b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax Return

2006

Write-in / Literal

Frgn w/hld tax Interest expns Stock opt expns Oth equ comp Meals Entrtmnt Fines penalties Judgements
Parachute pymnt Comp sec 162m Pension profit-sh Oth post-retrmnt Deferred comp Charitable contribution cash tang Charitable contribution intang prop

(11,808,495)

14,524,714

2,716,219

442,348

(221,174)

221,174

26,201

(500)

25,701

Charitable contribution limitita Domestic prod CY acquis or
reorg inv banking

CY acquis or
reorg legal/acct

CY acquis oth costs Amort of gdwill Amort of acquis Other amortizat Sec 198 environ Depletion Depreciation Bad debt expns Corp-own life ins
Purch vs lease

5,399,957

(4,680,157)

719,800

8,033,864

927,493

8,961,357

35 36

Other expns/ded Total expense/ deduction items

72,295,630 149,583,207

47,304,279 58,076,329

(16,350) (68,431,726)

119,583,559 139,227,810

See Attachment 11

39

Help For All, Inc.

11-0000001

Form 4626 Test 1
Name: Help For All, Inc. EIN: 11-0000001 Line Description 1 2a 2b 2c 2d 2e 2f 2g 2h 2i 2j 2k 2l 2m 2n 2o 3 4a 4b 4c 4d

Alternative Minimum Tax – Corporations

2006

4e 5 6 7 8a 8b 8c 9 10 11 12 13 14

Taxable Income before NOL Depreciation of post-1986 prop Amortization of certified pollution control facilities Amortization of mining exploration and development costs Amortization of circulation expenses (PHCs only) Adjusted gain or loss Long-term contracts Merchant marine capital construction funds Section 833(b) deduction Tax shelter farm activities Passive activities (CHC and PSC only) Loss limitations Depletion Tax-exempt interest income Intangible drilling costs Other adjustments and preferences Pre-adjustment AMTI ACE from line 10 of ACE worksheet Subtract line 3 from line 4a Multiply line 4b by 75% (.75) Enter the excess, if any, of the corporation’s total increases in AMTI from prior year ACE adjustment Combine lines 3 and 4e Alternative tax net operating loss deduction Alternative minimum taxable income Subtract $150,000 from line 7 Multiply line 8a by 25% (.25) Exemption – Subtract line 8b from $40,000. If zero or less, enter -0Subtract line 8c from line 7 Multiply line 9 by 20% (.20) Alternative minimum tax foreign tax credit (AMTFTC) Tentative minimum tax Regular tax liability Alternative minimum tax

Line Amount / Information 138,938,859 1,549,346

Write-in / Literal / Attachments

140,488,205 130,488,205 (10,000,000) 7,500,000

4,000,000 (4,000,000) 136,488,205 136,488,205

0 136,488,205 27,297,641

27,297,641 48,628,601 0

40

Help For All, Inc.

11-0000001

Sch D (1120) Test 1

Capital Gains and Losses

2006

Name: Help For All, Inc. EIN: 11-0000001 Part I Short-Term Capital Gains & Losses Line Description Line Amount Desc of Property 1(a) 10,000 Shares of XYZ Company Date acquired 1(b) 01/15/2006 Date sold 1(c) 12/15/2006 Sales price 1(d) 20,000,000 Cost or other basis 1(e) 8,197,798 Gain or loss 1(f) 11,802,202 Short-term capital gain from 2 installment sales Short-term capital gain from 3 like-kind exchgs Unused capital loss 4 carryover Net short-term capital gain 5 or loss 11,802,202 Part II Long-Term Capital Gains & Losses Desc of property 6(a) Date acquired 6(b) Date sold 6(c) Sales price 6(d) Cost or other basis 6(e) Gain or loss 6(f) Enter gain from Form 4797, 7 line 7 or 9 Long-term capital gain from 8 installment sales Long-term capital gain or 9 loss from like-kind exchgs Capital gain distributions 10 Net long-term capital gain 11 or loss Part III Summary of Parts I and II Excess of net short-term 12 capital gain over net longterm capital loss 11,802,202 Net capital gain 13 Add lines 12 & 13. Enter 14 here and on Form 1120, page 1, line 8 11,802,202

Write-in / Literal

41

Help For All, Inc.

11-0000001

Form 3800 Test 1

General Business Credit

2006

Name: Help For All, Inc. EIN: 11-0000001 Line Description Line Amount Part I Current Year Credit CY credit F3468 1a CY credit F5884 1b CY credit F8861 1c CY credit F6765 1d CY credit F8586 1e CY credit F8830 1f CY credit F8826 1g CY credit F8835 1h CY credit F8845 1i CY credit F8846 1j CY credit F8820 1k CY credit F8874 1l CY credit F8881 1m CY credit F8882 1n CY credit F8900 1o CY credit F8864 1p CY credit F8896 1q CY credit F8906 1r CY credit F8907 1s CY credit F8908 1t CY credit F8909 1u CY credit F8910 1v CY credit F8911 1w CY credit F8847 1x CY credit Alaska 1y CY credit Sch K-1 1z CY credit F5884 1aa CY Credit ln 1a-1aa 2 Passive act credit 3 Subtract ln 3 fm 2 4 Passive act credit 5 allowed for 2006 Crfwd gen bus credit 6 Crbk gen bus credit 7 CY Credit ln 4-7 8 Part II Allowable Credit Reg tax before credit 9 Alternative min tax 10 Add lines 9 & 10 11 Foreign tax credit 12a Credits fm F1040 12b Credit fm 8834 12c Credit fm 8910 12d Credit fm 8911 12e Add lines 12a-12e 12f Net income tax 13 Net regular tax 14 25% of excess 15 Tentative min tax 16

Write-in / Literal

3,900 7,450 3,635,486

500 5,000

3,652,336 3,652,336

3,652,336 48,628,601 48,628,601

48,628,601 48,628,601 12,150,900 27,297,641
42

Help For All, Inc. Form 3800 Test 1
17 18 19 Greater ln 15 or 16 Subtract 17 fm 13 Credit allowed CY

11-0000001 General Business Credit
27,297,641 21,330,960 3,652,336

2006

43

Help For All, Inc.

11-0000001

Form 4562 Test 1

Depreciation and Amortization

2006

Name: Help For All, Inc Business or Activity: Textile Mills EIN: 11-0000001 Line Description Line Amount Write-in / Literal Part I Election to Expense Certain Property Under Section 179 Maximum amount $108,000 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop $430,000 3 Reduction in limitation 4 Dollar limitation for TY 5 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 Property subject to sec168(f)(1) election 15 Other depreciation 2,143,129 16 Part III MACRS Depreciation 17 MACRS deductions 6,299,741 18 Yes Assets placed in service (Sec 168(i)(4) election) No Section B – Assets Placed in Service During 2006 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recover y period (e) Convention (f) Method (g) Deprc deduct Write-in / Literal

3-year property 5-year property 2,547,273 5 HY 200FN 509,455 7-year property 10-year property 15-year property 153,912 15 HY 150DB 7,696 20-year property 35,627 20 HY 150DB 1,336 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary Listed property 21 Total 22 8,961,357 Assets for CY 23 103,951 19a 19b 19c 19d 19e 19f 19g 19h

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Help For All, Inc.

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Part V Listed Property Section A – Depreciation and Other Information 24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41 Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Amort for this Yr Write-in / Literal / Attachments

42 43 44

From PTSP Flow Thru Amort of costs before 2006 TY Total

719,800

719,800

45

Help For All, Inc. Form 5884 Test 1
Name: Help For All, Inc. EIN: 11-0000001 Line Description Current Year Credit Wages paid 120-400 1st Yr wages paid worked 120 hrs 1st Yr wages paid worked 400 hrs Add lines 1a & 1b Work opportunity credits CY Credit Amt allocated Subtract line 5 from 4 Line Amount / Information 15,600 3,900 3,900 3,900

11-0000001 Work Opportunity Credit 2006

Write-in / Literal / Attachments

Part I 1a 1a 1b 2 3 4 5 6

46

Help For All, Inc.

11-0000001

Form 6765 Test 1
Name: Help For All, Inc. EIN: 11-0000001

Credit for Increasing Research Activities

2006

Line Description Section A – Regular Credit Amt paid energy consortia 1 Basis research payments 2 paid Qualified org base period 3 amount Subtract lns 3 fm 2 4 5 6
Wages for qual srvc

Line Amount / Information

Write-in / Literal / Attachments

0 2,000,000 53,930,554

Cost of supplies Rent, lease costs of 7 computers Appl % cntrct expn 8 Qual research expn 9 Fixed-based % 10 Avg annual gross 11 Multiply line 11 by % on line 12 10 Subtract ln 121 fm 9 13 Multiply ln 9by 50% 14 Smaller of l3 or 14 15 Add lines 1,4 & 15 16 Regular credit 17 Section B- Alternative Incremental Credit Amt paid energy consortia 18 Basis research payments 19 paid Qualified org base period 20 amount Subtract 20 fm 19 21 Add lines 18 and 21 22 Multiply ln 22 by 20% 23 Wages for qual srvc 24 Cost of supplies 25 Rent, lease costs of computers 26 Appl % cntrct expn 27 Qual research expn 28 Avg annual gross 29 Multiply ln 29 by 1% 30 Subtract 30 fm 28 31 32 Multiply ln 29 by 1.5% Subtract 32 fm 28 33 Subtract 33 fm 31 34 Multiply ln 29 by 2% 35 Subtract 35 fm 28 36 Subtract 36 fm 33 37 38 Multiply ln 34 by 2.65% 39 Multiply ln 37 by 3.2% 40 Multiply ln 36 by 3.75%

55,930,554 10.00% 250,000,000 25,000,000 30,930,554 27,965,277 27,965,277 27,965,277 3,635,486

Section 280C

47

Help For All, Inc. Form 6765 Test 1
41 42 43 44 45 46 Add 23,38,39 & 40 Reduce cr sect 280C
Credit research activities

11-0000001 Credit for Increasing Research Activities 2006

Add line17 or 42 to line 43 Amt allocates to beneficiaries Estate & Trust subtract ln 45 from 44

3,635,486 3,635,486

48

Help For All, Inc.

11-0000001

Form 8594 Test 1
Line Description

Asset Acquisition Statement Under Section 1060
Line Amount / Info Help For All, Inc. 11-0000001 Seller is checked Wool Unlimited 11-0000026

2006
Write-in / Literal / Attachments

Name as shown on return Identifying number as shown on return Purchaser/Seller checkbox Part I General Information Name of other party to the transaction 1 Other party's identifying number 1 Address (number, street, and room or 1 suite no.) City or town, state, and ZIP code 1

123 Avenue C Somewhere, MD 20901 Date of sale 2 10-22-2004 Total sales price (consideration 3 16,060,950 Part II Original Statement of Assets Transferred Class I - Aggregate fair market value 4 Class I - Allocation of sales price 4 Class II - Aggregate fair market value 4 Class II - Allocation of sales price 4 Class III - Aggregate fair market value 4 16,060,950 Class III - Allocation of sales price 4 16,060,950 Class IV - Aggregate fair market value 4 Class IV - Allocation of sales price 4 Class V - Aggregate fair market value 4 Class V - Allocation of sales price 4 Class VI and VII - Aggregate fair market 4 value Class VI and VII - Allocation of sales 4 price Total - Aggregate fair market value 4 Total - Allocation of sales price 4 Allocation of the sales price in sales 5 No is checked contract? If yes, aggregate fair market values 5 listed? chkbox Purchased license of a covenant not to 6 No is checked compete? Part III Supplemental Statement TY and tax return form number with 7 which the origForm 8594 and any suppl stmts were filed. Class I - Alloc of sales prices as prev 8 reported Class I - Increase or (decrease) 8 Class I - Redetermined allocation of 8 sales price Class II - Alloc of sales prices as prev 8 reported Class II - Increase or (decrease) 8 Class II - Redetermined allocation of 8 sales price Line Description Line Amount / Info

Write-in / Literal / Attachments
49

Help For All, Inc. Form 8594 Test 1
8 8 8 8 8 8 8 8 8 8 8 8 8 8 8 9

11-0000001 Asset Acquisition Statement Under Section 1060 2006

Class III - Alloc of sales prices as prev reported Class III - Increase or (decrease) Class III - Redetermined allocation of sales price Class IV - Alloc of sales prices as prev reported Class IV - Increase or (decrease) Class IV - Redetermined allocation of sales price Class V- Alloc of sales prices as prev reported Class V - Increase or (decrease) Class V - Redetermined allocation of sales price Class VI and VII - Alloc of sales prices Class VI and VII - Increase or (decrease) Class VI and VII - Redetermined allocation Total - Allocation of sales price as prev reported Total - Increase or (decrease) Total - Redetermined allocation of sales price Reason(s) for increase or decrease

50

Help For All, Inc.

11-0000001

Form 8861 Test 1
Name(s) Identifying number

Welfare-to-Work Credit
Help For All, Inc. 11-0000001 Line Amount / Information 21,286 7,450 7,450

2006
Write-in / Literal / Attachments

Line Description Part I Current Year Credit Qualified first year wages 1a Qualified first-year wages (.35) 1a Qualified second year wages (.50) 1b Add lines 1a and 1b 2 Welfare-to-work credits from pass-through entities 3 Current year credit add ln 2 & 3 4 Amt allocated 5 Coop,Estate, Trust subtract line 5 from line 4 6

7,450

7,450

51

Help For All, Inc.

11-0000001

Form 8881 Test 1

Credit for Small Employer Pension Plan Startup Costs

2006

Name: Help For All, Inc. EIN: 11-0000001 Line Description Part I Current Year Credit Qualified startup cost during TY 1 Enter ½ of line 1 2 F8881 credits from pass-thru 3 entities Add lines 2 and 3 4 Current year credit 5

Line Amount 1,000 500

Write-in / Literal / Attachments

500 500

52

Help For All, Inc.

11-0000001

Form 8882 Test 1
Name: Help For All, Inc. EIN: 11-0000001

Credit for Employer-Provided Childcare Facilities and Services

2006

Part I 1 2 3 4 5 6 7 8 9

Line Description Current Year Credit Qualified childcare facility expend Enter 25% of line 1 Qualified childcare resource and referral expend Enter 10% of line 3 Form 8882 credits from pass through entities Add lines 2, 4, and 5 Current year credit Regular tax before credits Subtract line 8 from line 7

Line Amount / Info

Write-in / Literal / Attachments

50,000 5,000

5,000 5,000 5,000

53

Help For All, Inc.

11-0000001

Form 8453-C Test 1
Name: Help For All, Inc. EIN: 11-0000001 Part I Tax Return Information Line Description

US Corporation Income Tax Declaration for an IRS e-file Return

2006

Line Amount / Info

Write-in / Literal / Attachments

Total Income (Form 1120, line 11) 1 395,570,000 Taxable Income (Form 1120, line 30) 2 138,938,859 Total tax (Form 1120, line 31) 3 44,976,265 Tax due (Form 1120, line 34) 4 0 Overpayment (Form 1120, line 35) 5 23,735 Part II Declaration of Officer Consent for direct deposit 6a Do not want direct deposit 6b Box is checked Authorization for EFW 6c Signature: 01/25/07 Chief Executive Officer Part III Declaration of Electronic Return Originator (ERO) and Paid Preparer ERO’s Signature: Check if also paid preparer Checked Check if self-employed Checked ERO’s SSN or PTIN 999-06-0007 Electronic Tax Firm’s name Filers, Inc. 100 Efile Drive, Firm’s address Anytown, TX 78621 Firm’s EIN 11-0000001 Firm’s phone no. 512-555-1212 Paid Preparer’s Signature: 01/25/07 Check if self-employed Preparer’s SSN or PTIN Firm’ name Firm’s address Firm’s EIN Firm’s phone no.

54

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TEST SCENARIO 2 FORMS REQUIRED: 1120, Sch O (1120), Sch M-3 (1120) (4) Sch N, 851, Sch D (4), 1122, 4562 (4), 4626, 4797 (3), 5471 (3), 5471 Sch J (3), 5471 Sch M (2), 5471 Sch O, 8827, 8050 ATTACHMENTS: ItemizedOtherIncomeSchedule ItemizedOtherDeductionsSchedule ItemizedAdditionalSection263ACostsSchedule ItemizedOtherCostsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherAssetsSchedule ItemizedOtherDeductionsSchedule2 ItemizedOtherCurrentLiabilitiesSchedule ItemizedOtherLiabilitiesSchedule ItemizedOtherIncreasesSchedule PartnershipInterestSchedule OtherIncomeLossItemsWithDifferencesSchedule OtherExpenseDeductionItemsWithDifferencesSchedule OtherIncomeLossItemsWithDifferencesSchedule OtherExpenseDeductionItemsWithDifferencesSchedule Category3FilerStatement

BINARY ATTACHMENTS: HEADER INFO: Tax Period: Preparer Firm

Organizational Chart for Form 5471 Sch O

Calendar Year 2006 Electronic Tax Filers, Inc. 100 Efile Drive Anytown, TX 78621 11-0000011

MultipleSoftwarePackagesUsed: Yes or No Originator: EFIN: Self-select Type: ERO Practioner PIN: EFIN: Self-select PIN: Self-select PIN Entered by – ERO PIN Number 1120

Signature Option: Return Type:

55

Hide ‘N Such, Inc.

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Filer:

EIN: 11-0000002 Name: Hide ‘N Such, Inc. Name Control: Hide Address: 32 Any Street Anytown, TX 78621 Name: Doug Doe Title: Chief Executive Officer Taxpayer PIN: Self-Select Phone: 301-555-1212 Email Address: DateSigned: 01/25/07

Officer:

Preparer:

Name: Johnny Appleseed SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: Date Prepared: 01/20/07 Self Employed: Yes

IRS PAYMENT:

N/A

DIRECT DEPOSIT:

NAME OF INSTITUTION: Last Savings Bank RTN: 012456778 ACCT #: 1111-22-3456 TYPE OF ACCOUNT: Checking

Details for attachments to Form 1120 and 5471’s Consolidated Return Data

1120 Page 1 Consolidated Schedules
1a Gross Receipts 1b Less returns and allowances 1c Balance 2 Cost of goods sold 3 Gross profit 4 Dividends 5 Interest 6 Gross rents 7 Gross royalties

Total
496,432,805 60,233,606 436,199,199 287,440,463 148,758,736 2,304,041 3,109,659 6,132,695 2,707,354

Hide 'N Such, Inc..
471,548,828 60,233,606 411,315,222 265,912,650 145,402,572 2,304,041 1,221,456 5,016,831 2,707,354

The Greek Playhouse
480,446 0 480,446 315,431 165,015 0 0 0 0

Acme Foods Corp
24,403,531 0 24,403,531 21,212,382 3,191,149 0 1,888,203 1,115,864 0

56

Hide ‘N Such, Inc.

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8 Capital gain net income 9 Net gain or loss (4797) 10 Other Income 11 Total Income 12 Compensation of officers 13 Salaries and wages 14 Repairs and maintenance 15 Bad debts 16 Rents 17 Taxes and licenses 18 Interest 19 Charitable contributions 20a Depreciation 20b Less depreciation claimed elsewhere 20c Net depreciation 21 Depletion 22 Advertising 23 Pension, profit-sharing, etc 24 Employee benefit plan 25 Domestic prod activity 26 Other deductions 27 Total deductions 28 Taxable Income before NOL 29a NOL deduction 29b Special deductions 30 Taxable Income

303,831 530,308 49,957,634 213,804,258 3,563,291 30,986,825 598,092 378,768 3,473,590 5,726,524 21,434,718 148,769 19,593,266 17,936,732 1,656,534 1,870,199 2,227,414 3,289,542 0 55,260,416 130,614,682 83,189,576 0 83,189,576

207,765 528,161 -475,221 156,912,959 3,563,291 28,833,991 560,968 374,049 3,044,789 4,174,822 21,413,314 117,353 17,063,911 15,593,967 1,469,944 0 1,837,525 2,006,997 3,120,938 0 52,982,935 123,500,916 33,412,043 0 0 33,412,043

220,747 2,147 0 387,909 0 128,917 1,568 0 7,150 0 2,142 15,602 7,603 0 7,603 0 1,943 0 0 0 100,753 265,678 122,231 0 0 122,231

-124,681 0 50,432,855 56,503,390 0 2,023,917 35,556 4,719 421,651 1,551,702 19,262 15,814 2,521,752 2,342,765 178,987 0 30,731 220,417 168,604 0 2,176,728 6,848,088 49,655,302 0 0 49,655,302

1120 Page 2 Consolidated Schedules
Schedule A Cost of Goods Sold 1. Inventory at beginning of year 2. Purchases 3. Cost of labor 4. Additional sec 263a costs 5. Other costs 6. TOTAL adds lines 1-5 7. Inventory at end of year 8. Cost of Goods Sold

Total

Hide 'N Such, Inc

The Greek Playhouse

Acme Foods Corp

96,446,105 240,726,374 63,913,239 -122,798 17,714,999 418,677,919 131,237,456 287,440,463

91,068,584 231,620,008 59,613,767 -20,000 6,164,072 388,446,431 122,533,781 265,912,650

0 159,895 0 0 216,041 375,936 60,505 315,431

5,377,521 8,946,471 4,299,472 -102,798 11,334,886 29,855,552 8,643,170 21,212,382

NOTE: PLEASE DO NOT ENTER THE ZEROS INTO THE ELEMENTS IN THE SCHEMA. THIS IS JUST TO SHOW YOU THE CONSOLIDATION Schedule C-Dividends Col A 1. Less than 20% owned domestic corps at 70% 2. 20% or more owned domestic corps at 80% 3. Debt financed stock of

0 0 0

0 0 0

0 0 0

0 0 0

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Hide ‘N Such, Inc.

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domestic corporation 4. Certain Prefd stock of public util at 42% 5. Certain prefd stock of public util at 48% 6. Less than 20% owned foreign corps at 70% 7. 20% or more owned foreign corps at 80% 8. Wholly owned foreign subsidiaries sec 245b 10. Domes. Corps received by small bus. Investment 11. Certain FSC's subject to 100% Sec 245c1 12. Affiliated Groups subject to 100% Sec 263a3 13. Other dividends from foreign corporations 14. Income from controlled foreign corps sub-part F 15. Foreign Dividend Gross-up Sec. 78 16. IC-DISC or former disc dividends sec 246d 17. Other dividends 19. TOTAL Dividends Schedule C-Special Deductions Col C 1. Less than 20% owned domestic corps at 70% 2. 20% or more owned domestic corps at 80% 3. Debt financed stock of domestic corporation 4. Certain Prefd stock of public util at 42% 5. Certain prefd stock of public util at 48% 6. Less than 20% owned foreign corps at 70% 7. 20% or more owned foreign corps at 80% 8. Wholly owned foreign subsidiaries sec 245b 9. TOTAL Add lines 1-8 10. Domes. Corps received by small bus. Investment 11. Certain FSC's subject to 100% Sec 245c1 12. Affiliated Groups subject to 100% Sec 263a3 17. Other dividends 18. Deduction for certain Pfd stock of pub utility 20. TOTAL Special Deductions

0 0 0 0 0 0 0 0 0 2,304,041

0 0 0 0 0 0 0 0 0 2,304,041 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0

0 0 0 0 0

0 0 0 0 0

0 0 2,304,041

0 0 2,304,041

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

58

Hide ‘N Such, Inc.

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Schedule L Balance Sheet BOY
ASSETS Case & Cash Accounts Trade Notes & Accts Rec Less allow for bad debts Inventories Other Current Assets Other Investments Depreciable assets Less accumulated depreciation Depletable assets Less accumulated depletion Land Intangible assets Less accumulated amortization Other assets TOTAL LIABILITIES AND EQUITY Accounts payable Mortgages, notes, bonds payable less than 1yr Other current liabilities Loans from stockholders Mortgages, notes, bonds payable 1 yr or more Other liabilities Capital preferred stock Capital common stock Additional paid-in capital Retained earningsappropriated Retained earningsunappropriated Adjustments to shareholders equity Less cost of treasury stock TOTAL

Total

Hide 'N Such, Inc.

The Greek Playhouse

Acme Foods Corp

1,400,129 67,505,582 -3,565,083 96,446,105 58,184,400 391,810,173 165,666,792 -114,027,850

1,007,632 61,338,984 -3,456,187 91,068,584 43,419,099 215,395,809 149,325,880 -107,763,377

1,000 42,165 0 54,176 1,522,051 2,629,421 4,019,637 -3,867,420

391,497 6,124,433 -108,896 5,323,345 13,243,250 173,784,943 12,321,275 -2,397,053

3,046,857 9,649,921 -5,122,236 25,320,662 696,315,452

2,866,974 217,580 -217,580 147,597,496 600,800,894

179,883 0 0 28,107,508 32,688,421

0 9,432,341 -4,904,656 -150,384,342 62,826,137

17,736,997 45,556,804 47,235,461 0 216,040,151 2,039,040 0 40,156,378 278,955,000 0 48,595,621 0 0 696,315,452

15,395,065 44,590,755 43,118,783 0 214,114,169 1,916,735 0 39,588,269 268,468,748 0 -26,391,630 0 0 600,800,894

6,871,682 966,049 1,800,434 0 1,925,982 122,305 0 242,495 8,025,437 0 12,734,037 0 0 32,688,421

-4,529,750 0 2,316,244 0 0 0 0 325,614 2,460,815 0 62,253,214 0 0 62,826,137

59

Hide ‘N Such, Inc.

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Schedule L Balance Sheet EOY
ASSETS Case & Cash Accounts Trade Notes & Accts Rec Less allow for bad debts Inventories Other Current Assets Other Investments Depreciable assets Less accumulated depreciation Depletable assets Less accumulated depletion Land Intangible assets Less accumulated amortization Other assets Total LIABILITIES AND EQUITY Accounts payable Mortgages, notes, bonds payable less than 1yr Other current liabilities Loans from stockholders Mortgages, notes, bonds payable 1yr or more Other liabilities Capital preferred stock Capital common stock Additional paid-in capital Retained earningsappropriated Retained earningsunappropriated Adjustments to shareholders equity Less cost of treasury stock Total

Total

Hide 'N Such, Inc

The Greek Playhouse

Acme Foods Corp

-1,084,483 88,009,947 -3,429,116 131,237,456 17,472,554 500,835,921 191,729,290 -117,663,548

-656,358 77,847,052 -3,257,116 122,533,781 43,204,385 238,370,653 171,069,482 -110,024,100

212,850 259,054 -25,000 60,505 91,179 9,960,169 4,020,785 -3,875,213

-640,975 9,903,841 -147,000 8,643,170 -25,823,010 252,505,099 16,639,023 -3,764,235

3,058,582 17,146,830 -6,175,345 39,650,087 860,788,175

2,878,699 6,776,830 -713,960 206,170,017 754,199,365

179,883 0 0 36,839,838 47,724,050

0 10,370,000 -5,461,385 -203,359,768 58,864,760

26,805,004 57,898,678 56,200,717

23,566,145 39,504,569 95,672,392

5,984,391 17,341,428 1,801,000

-2,745,532 1,052,681 -41,272,675

268,662,559 -269,375 0 40,315,772 282,772,118

266,363,796 -525,689 0 39,747,663 272,285,866

1,902,064 256,314 0 242,495 8,025,437

396,699 0 0 325,614 2,460,815

136,104,313

25,286,234

12,170,921

98,647,158

-7,701,611 860,788,175

-7,701,611 754,199,365

0 47,724,050

0 58,864,760

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Attachment 1, Form 1120, page 1, line 10, Other Income (ItemizedOtherIncomeSchedule)
Consolidated Schedules
Sales Exchange Gain/Loss Realized Partnership Income Miscellaneous Income Interco Consulting Fees Ordinary Inc/Loss From Othr Ptrshp TOTAL

Total
217,441 -2,321,468 -166,611 149,354 1,448,935 50,629,983 49,957,634

Hide 'N Such, Inc..
208,671 -2,229,104 -59,869 156,146 1,448,935

The Greek Playhouse

Acme Foods Corp
8,770 -92,364 -106,742 -6,792

50,629,983 -475,221 0 50,432,855

Attachment 2, Form 1120, page 1, Line 26, Other Deductions (ItemizedOtherDeductionsSchedule)
Hide 'N Such, Inc..
7,123,617 3,729,891 1,104,239 808,099 2,059,062 234,432 3,584,467 2,771,308 245,079 472,213 4,799,006 798 753 0 3,400,480 9,939,000 10,627,885 2,082,606 52,982,935

Consolidated Schedules
Commissions Travel/Lodging Meals/Entertainment Moter Vehicle Operations Supplies Freight Insurance Communication Expense Utilities Subscriptions & Dues Outside Prof. Service Data Processing Prototype Development (software) Royalties Inter-Department Charges Consulting Fees Miscellaneous other deductions Amortization

Total
7,129,771 3,937,289 1,159,309 827,654 2,152,100 311,622 3,622,317 2,865,579 406,618 495,510 5,102,885 798 753 6,748 3,401,546 9,939,000 11,482,961 2,417,956 55,260,416

The Greek Playhouse
6,154 12,542 2,469 0 7,848 0 10,573 6,476 1,024 0 180 0 0 0 0 0 53,487 0 100,753

Acme Foods Corp
0 194,856 52,601 19,555 85,190 77,190 27,277 87,795 160,515 23,297 303,699 0 0 6,748 1,066 0 801,589 335,350 2,176,728

Attachment 3, Form 1120 Schedule A, Line 4, Additional Sec 263A Costs (ItemizedAdditionalSection263ACostsSchedule)
Consolidated Schedules
Administrative Costs

Total
-122,798

Hide 'N Such, Inc..
-20,000

The Greek Playhouse
0

Acme Foods Corp
-102,798

61

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Attachment 4, Form 1120, Schedule A, Line 5, OtherCost of Goods Sold (ItemizedOtherCostsSchedule)
Consolidated Schedules Total Hide 'N Such, Inc.. The Greek Playhouse Acme Foods Corp

Communications Property Taxes Emloyee Benefits Travel/lodging Miscellaneous Depreciation TOTAL

18,498,443 1,959,787 2,339,176 12,586,226 -35,605,365 17,936,732 17,714,999

14,810,549 1,170,806 1,738,644 8,747,935 -35,897,829 15,593,967 6,164,072

0 0 0 0 216,041 0 216,041

3,687,894 788,981 600,532 3,838,291 76,423 2,342,765 11,334,886

Attachment 5, Form 1120, Schedule L, Line 6, Other Current Assets (ItemizedOtherCurrentAssetsSchedule)
Consolidated Schedules
BEGINNING OF TAX YEAR Prepaid Expense Non-Trade Accounts Receivable Notes Receivable-Current Miscellaneous TOTAL END OF TAX YEAR Prepaid Expense Non-Trade Accounts Receivable Notes Receivable-Current Miscellaneous TOTAL

Total

Hide 'N Such, Inc..

The Greek Playhouse

Acme Foods Corp

7,936,105 49,175,055 901,920 171,320 58,184,400

7,696,131 34,649,728 901,920 171,320 43,419,099

0 1,522,051 0 0 1,522,051

239,974 13,003,276 0 0 13,243,250

3,337,363 13,716,682 263,262 155,247 17,472,554

3,320,172 39,465,704 263,262 155,247 43,204,385

17,191 73,988 0 0 91,179

0 -25,823,010 0 0 -25,823,010

Attachment 6, Form 1120, Schedule L, Line 9 Other Investments (ItemizedOtherInvestmentsSchedule)
Consolidated Schedules Total Hide 'N Such, Inc.. The Greek Playhouse Acme Foods Corp

BEGINNING OF TAX YEAR Investment in Subsidiaries Miscellaneous TOTAL END OF TAX YEAR Investment in Subsidiaries Miscellaneous TOTAL

302,135,500 89,674,673 391,810,173

128,350,557 87,045,252 215,395,809

0 2,629,421 2,629,421

173,784,943 0 173,784,943

423,155,682 77,680,239 500,835,921

170,650,583 67,720,070 238,370,653

0 9,960,169 9,960,169

252,505,099 0 252,505,099

62

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Attacment 7, Form 1120, Schedule L, Line 14, Other Assets (ItemizedOtherAssetsSchedule)
Consolidated Schedules
BEGINNING OF TAX YEAR Deposits Miscellaneous TOTAL END OF TAX YEAR Deposits Miscellaneous TOTAL

Total
13,194,762 12,125,900 25,320,662

Hide 'N Such, Inc..
5,427,286 142,170,210 147,597,496

The Greek Playhouse
975,522 27,131,986 28,107,508

Acme Foods Corp
6,791,954 -157,176,296 -150,384,342

18,491,267 21,158,820 39,650,087

10,724,682 195,445,335 206,170,017

1,563,221 35,276,617 36,839,838

6,203,364 -209,563,132 -203,359,768

Attachment 8, Form 1120, Schedule L, Line 18, Other Current Liabilities (ItemizedOtherCurrentLiabilitiesSchedule)
Consolidated Schedules
BEGINNING OF TAX YEAR Payrolls Income Taxes Payable Interest Miscellaneous TOTAL END OF TAX YEAR Payrolls Income Taxes Payable Interest Miscellaneous TOTAL

Total

Hide 'N Such, Inc..

The Greek Playhouse

Acme Foods Corp

9,650,780 5,788,693 20,639,889 11,156,099 47,235,461

6,738,707 5,777,110 20,639,889 9,963,077 43,118,783

926,308 0 0 874,126 1,800,434

1,985,765 11,583 0 318,896 2,316,244

11,852,741 8,759,638 25,741,862 9,846,476 56,200,717

9,102,456 3,957,985 25,741,862 56,870,089 95,672,392

854,321 0 0 946,679 1,801,000

1,895,964 4,801,653 0 -47,970,292 -41,272,675

Attachment 9, Form 1120, Schedule L, Line 21, Other Liabilities (ItemizedOtherLiabilitiesSchedule)
Consolidated Schedules
BEGINNING OF TAX YEAR Deferred Income Tax Miscellaneous TOTAL END OF TAX YEAR Deferred Income Tax Miscellaneous TOTAL

Total
1,711,311 327,729 2,039,040

Hide 'N Such, Inc..
1,711,311 205,424 1,916,735

The Greek Playhouse
0 122,305 122,305

Acme Foods Corp
0 0 0

-525,689 256,314 -269,375

-525,689 0 -525,689

0 256,314 256,314

0 0 0

Form 1120, Schedule M-2 Analysis of Unappropriated Retained Earings per Books

63

Hide ‘N Such, Inc.

11-0000002

Consolidated Schedules
1. Balance at BOY 2. Net Income per books 3. Other Increases: (See Schedule 10 below) Prior Period Adjustment 4. Total of Lines 1-3 5. Distributions: (A) Cash (B) Stock (C) Property 6. Other Decreases 7. Total of Lines 5-6 8 Balance at EOY (Ln 4 less Ln 7

Total
48,595,621 80,174,706

Hide 'N Such, Inc..
(26,391,630) 41,387,930

The Greek Playhouse
12,734,037 2,598,349

Acme Foods Corp
62,253,214 36,188,427

7,333,986 136,104,313 0 0 0 0 0 136,104,313

10,289,934 25,286,234 0 0 0 0 0 25,286,234

(3,161,465) 12,170,921 0 0 0 0 0 12,170,921

205,517 98,647,158 0 0 0 0 0 0 98,647,158

Attachment 10, Form 1120, Schedule M-2, Line 3, Other Increases (ItemizedOtherIncreasesSchedule)
Consolidated Schedules
Prior Period Adjustment

Total
7,333,986

Hide 'N Such, Inc..
10,289,934

The Greek Playhouse
(3,161,465)

Acme Foods Corp
205,517

Attachment 11 From 5471 attachment, Sch C, Line 16, Other Deductions (ItemizedOtherDeductionsSchedule2) Foreign Corporation #1 Line 16 Amount 1,448,935

Managerial Services

Attachment 12 Form 5471 attachment, Sch F, Line 12, Other Assets ((ItemizedOtherAssetsSchedule) Foreign Corporation #1 Line 12a 12b Amount 17,793,000 17,793,000

Intercompany Receivable Intercompany Receivable

Attachment 13 Form 5471 attachment, Sch F, Line 12 Other Assets (ItemizedOtherAssetsSchedule) Foreign Corporation #2 Line 12a 12b Amount 4,000,000 4,000,000

Intercompany Receivable Intercompany Receivable

64

Hide ‘N Such, Inc.

11-0000002

Attachment 14, Schedule M-3 (Consolidated), Part II, Line 9, Income (Loss) from US Partnership (PartnershipInterestSchedule) Corporation Name Corporation EIN Name EIN EOY Profit Sharing Percentage EOY Loss Sharing Percentage Income Loss Per Income Statement Temporary Difference Permanent Difference Income Loss Per Tax Return Corporation Name Corporation EIN Name EIN EOY Profit Sharing Percentage EOY Loss Sharing Percentage Income Loss Per Income Statement Temporary Difference Permanent Difference Income Loss Per Tax Return Hide ‘N Such Inc 11-0000002 Playground Partnership 11-0000025 65 65 0 (59,869) 0 (59,869) Greek Playhouse 11-0000012 Card Shark Partnership 11-0000026 75 75 0 220,747 0 220,747

Corporation Name Acme Foods, Inc Corporation EIN 11-0000013 Name Game Over Partnership EIN 11-0000027 EOY Profit Sharing Percentage 55 EOY Loss Sharing Percentage 55 Income Loss Per Income Statement 0 Temporary Difference (106,742) Permanent Difference 0 Income Loss Per Tax Return (106,742) Name EIN EOY Profit Sharing Percentage EOY Loss Sharing Percentage Income Loss Per Income Statement Temporary Difference Permanent Difference Income Loss Per Tax Return Cool Water Partnership 11-0000028 50 50 0 (106,111) 0 (106,111)

Name EIN EOY Profit Sharing Percentage

Hot Tea Partnership 11-0000029 50

65

Hide ‘N Such, Inc.

11-0000002

EOY Loss Sharing Percentage Income Loss Per Income Statement Temporary Difference Permanent Difference Income Loss Per Tax Return TOTAL ACME Income Loss Per Income Statement Temporary Difference Permanent Difference Income Loss Per Tax Return

50 59,338,000 (8,708,017) 0 50,629,983

59,338,000 (8,920,870) 0 50,417,130

Attachment 15, Schedule M-3 (Consolidated), Part II, Line 25, Other Income (Loss) with Differences (OtherIncomeLossItemsWithDifferencesSchedule)

Per Income Statement Exchange Gain/Loss Realized 1,710,800

Temporary Differences (4,032,268)

Permanent Differences

Per Tax Return (2,321,468)

Attachment 16, Schedule M-3 (Consolidated), Part III, Line 35, Other Expenses with Differences (OtherExpenseDeductionItemsWithDifferencesSchedule)
Per Income Statement Salaries and Wages Rents Insurance Outside Professional Reserves Misc. Other Deductions Employee Benefit Plan Total 27,787,166 2,852,744 3,640,160 4,911,989 18,669,619 1,005,863 58,867,541 Temporary Differences (3,143,866) 192,045 (55,693) (112,983) (7,186,658) (837,259) (11,144,414) Permanent Differences Per Tax Return 24,643,300 3,044,789 3,584,467 4,799,006 11,482,961 168,604 47,723,127

Attachment 17, Schedule M-3 (Hide ‘N Such, Inc), Part II, Line 25, Other Income (Loss) with Differences (OtherIncomeLossItemsWithDifferencesSchedule)
Per Income Statement Exchange Gain/Loss Realized 977,052 Temporary Differences (3,206,156) Permanent Differences Per Tax Return (2,229,104)

66

Hide ‘N Such, Inc.

11-0000002

Attachment 18, Schedule M-3 (Hide ‘N Such, Inc), Part III, Line 35, Other Expenses with Differences (OtherExpenseDeductionItemsWithDifferencesSchedule)
Temporary Differences 48,135 192,045 Permanent Differences

Per Books Salaries Rents 22,571,248 2,852,744

Per Return 22,619,383 3,044,789

Insurance Outside Professional services Misc. Other Deductions

3,640,160 4,911,989 10,518,447

(55,693) (112,983) 109,438

3,584,467 4,799,006 10,627,885

Total

44,494,588

180,942

44,675,530

Attachment 19, Schedule M-3 (Acme Foods), Part II, Line 25, Other Income (Loss) with Differences (OtherIncomeLossItemsWithDifferencesSchedule)
Per Income Statement Exchange Gain/Loss Realized 725,904 Temporary Differences (818,268) Permanent Differences Per Tax Return (92,364)

Attachment 20, Schedule M-3 (Acme Foods), Part III, Line 35, Other Expenses with Differences (OtherExpenseDeductionItemsWithDifferencesSchedule)
Per Income Statement Salaries and Wages Employee Benefit Plan Miscellaneous Total 5,215,918 1,005,863 11,991,734 18,213,515 Temporary Differences (3,192,001) (837,259) (11,190,145) (15,219,405) Permanent Differences Per Tax Return 2,023,917 168,604 801,589 2,994,110

Attachment 21, Schedule M-3 (Greek Playhouse), Part II, Line 25, Other Income (Loss) with Differences (OtherIncomeLossItemsWithDifferencesSchedule)

Per Income Statement Exchange Gain/Loss Realized 7,844

Temporary Differences (7,844)

Permanent Differences 0

Per Tax Return 0

67

Hide ‘N Such, Inc.

11-0000002

Attachment 22, Schedule M-3 (Greek Playhouse), Part III, Line 35, Other Expenses with Differences (OtherExpenseDeductionItemsWithDifferencesSchedule)
Per Income Statement Misc. Other Deductions Total (3,840,562) (3,840,562) Temporary Differences 3,894,049 3,894,049 0 Permanent Differences Per Tax Return 53,487 53,487

Attachment 23, Form 5471 (Foreign Corp #3), Box B, Category of filer checkboxes (Category3FilerStatement) Amount of indebtedness Type of indebtedness Name Address Identifying Number Number of shares Foreign Corporation #3 has no indebtedness with any related party New acquisition Hide’N Such Foods, Inc. 32 Any Street, Anytown, TX 78621 11-0000002 640

68

Hide ‘N Such, Inc.

11-0000002

Form 1120 Test 2

U.S. Corporation Income Tax

2006

Calendar Year 2006 or tax year beginning Check if: 1,2,3,4 A

, 2006, ending , 20 1 and 4 are checked Employer EIN B 11-0000002 Name and Address: Hide 'N Such, Inc., 32 Any Street, Anytown, TX 78621 Date of incorporated C June 15, 1979 Total assets D 860,788,175 Check applicable boxes E Line Description Line Amount Write-in / Literal / Attachment Gross Receipts or sales 1a 496,432,805 Less returns and allowances 1b 60,233,606 Balance 1c 436,199,199 Cost of goods sold (Sch A, line 8) 2 287,440,463 Gross profit. Subtract line 2 from line 3 148,758,736 1c Dividends 4 2,304,041 Interest 5 3,109,659 Gross rents 6 6,132,695 Gross royalties 7 2,707,354 Capital gain net income 8 303,831 Net gain or (loss) F4797 9 530,308 Other Income 10 49,957,634 See Attachment 1 Total income. Add lines 3 through 10 11 213,804,258 Compensation of officers 12 3,563,291 Salaries and wages (less employment 13 credits) 30,986,825 Repairs and maintenance 14 598,092 Bad debts 15 378,768 Rents 16 3,473,590 Taxes and licenses 17 5,726,524 Interest 18 21,434,718 Charitable contributions 19 148,769 Depreciation (attach Form 4562) 20 19,593,266 Depletion 21 Advertising 22 1,870,199 Pension, profit-sharing, etc., plans 23 2,227,414 Employee benefit programs 24 3,289,542 Domestic production act. 25 Other deductions (attach schedule) 26 55,260,416 See Schedule 2 Total deductions ( add lines 12 – 26) 27 130,614,682 Taxable income bfr net operating loss 28 deduction 83,189,576 Less NOL deduction 29a Less special deductions 29b Total NOL deduction 29c Taxable income 30 83,189,576 Total tax 31 17,799,010 Payments: a 2005 overp 32a 232,650 2006 estimated tax pymt 32b 20,000,000 Less 2006 refund app for 32c

69

Hide ‘N Such, Inc.

11-0000002

Form 1120 Test 2
32d 32e 32f (1) 32f (2) 32g 32h 33 34 35 36 36 Balance Tax deposited w/ F7004 Credit from F2439 Credit from F4136

U.S. Corporation Income Tax
20,232,650

2006

Credit from tele excise tax F8913 Total Payments Estimated tax penalty Tax Due. Overpayment Credit to 2007 est tax Refund May IRS discuss? Preparer's SSN or PTIN: Preparer Firm's name/address:

20,232,650

2,433,640 1,000,000 1,433,640 Yes 999-06-0007 Electronic Tax Filers, Inc. 100 Efile Drive, Anytown, TX 71232 11-0000011 512-555-1212 96,446,105 240,726,374 63,913,239 (122,798) 17,714,999 418,677,919 131,237,456 287,440,463

Preparer's EIN: Preparer's Phone no.: Schedule A Cost of Goods Sold Inventory at beginning of year 1 Purchases 2 Cost of labor 3 Additional section 263A cost 4 Other costs 5 Total 6 Inventory at the end of year 7 Cost of goods sold 8 Cost 9a (i) Lower of cost or market 9a (ii) Other 9a (iii) Check if writedown 9b Check if the LIFO… 9c If the LIFO inventory … 9d Sec 263A rules apply 9e Change in determining quantities, 9f cost, valuations? Line Description Line Amount Schedule C Dividends and Special Deductions Dividends fm < 20% dom 1 Dividends fm > 20% dom 2 Dividends fm debt-financ 3 Dividends fm certain preferred stock < 4 20% Dividends fm certain preferred stock > 5 20%

See Schedule 3 See Schedule 4

Yes No Write-in / Literal

70

Hide ‘N Such, Inc.

11-0000002

Form 1120 Test 2

U.S. Corporation Income Tax

2006

Dividends fm < 20% frgn 6 Dividends fm > 20% frgn 7 Dividends fm wholly own 8 Total 9 Dividends fm dom corp 10 Dividends fm affl grp mbr 11 Dividends fm contrl grp FSC 12 Dividends fm frgn corp 13 Income fm contrl frgn crp 14 Frgn dividend gross-up 15 IC-DISC and former DIS 16 Other dividends 17 Deduction for dividends 18 Total dividends 19 Total special dividends 20 Schedule E Compensation of Officers Name of officer 1(a) SSN 1(b) % of time devoted to bus 1(c) % of common stock own 1(d) % of preferred stock own 1(e) Amount of compensation 1(f) Name of officer 1(a) SSN 1(b) % of time devoted to bus 1(c) % of common stock own 1(d) % of preferred stock own 1(e) Amount of compensation 1(f) Name of officer 1(a) SSN 1(b) % of time devoted to bus 1(c) % of common stock own 1(d) % of preferred stock own 1(e) Amount of compensation 1(f) Total compensation 2 Comp claimed on Sch A 3 Subtract line 3 fm line 2 4 Schedule J Tax Computation Check if cntrl group mbr 1 Income tax – check PSC 2 Alternative minimum tax 3 Add lines 2 & 3 4 Foreign tax cr – F1118 5a Qualified electric vehicle credit (8834) 5b General business credit 3800, 6478, 5c 8835, 8844 Credit for prior year min tax 5d Bond credits 8850, 8912 5e Total Credits 6 Subtract line 6 fm ln 4 7 Personal holding com tx 8

2,304,041

2,304,041

Doug Doe 999-06-0016

1,294,635 Jane Doe 999-06-0017

1,009,528 Tom Doe 9999-06-0018

1,259,128 3,563,291 3,563,291 Checked 29,116,352 29,116,352

11,317,342 11,317,342 17,799,010

71

Hide ‘N Such, Inc.

11-0000002

Form 1120 Test 2

U.S. Corporation Income Tax
17,799,010

2006

Other taxes – check if.. 9 Total tax 10 Schedule K Other Information Cash 1(a) Accrual 1(b) Other 1(c) Business activity code 2(a) 2(b) Business Activity Product or Service 2(c) Corp own 50% or more? 3 Sub in affiliated group? 4 Indiv own 50% or more? 5 Percentage owned 5 Corp paid dividends? 6 Foreign owned > 25% 7 Percentage owned 7a Owner’s country 7b Number of F5472 attach 7c Issued pub offrd debt ins 8 Tax-exempt interest rcvd 9 Number of shareholders 10 Has NOL forego cybk pd 11 Avail NOL cybk fm pr yr 12 Total receipts less than $250,000? 13 Schedule L Balance Sheets per Books Beginning of tax year Assets Cash Trade notes Less allowance Inventories U.S. govt oblig Tax-exempt securities Other current assets Loans to shareholders Mortgage & real estate loan Other investments Bldgs & other deprec assets Less accumulated deprec
Depletable assts

Checked 311900 Food Manufacturing Coffee No No No No No No

No End of tax year (c) 88,009,947 (3,429,116) (d) (1,084,483) 84,580,831 131,237,456 Write-in / Literal

(a) 67,505,582 (3,565,083)

1 2a 2b 3 4 5 6 7 8

(b) 1,400,129 63,940,499 96,446,105

58,184,400

17,472,554

See Attachment 5

9 10a 10b 11a 11b

391,810,173

500,835,921

See Attachment 6

165,666,792
(114,027,850)

191,729,290 51,638,942 (117,663,548) 74,065,742

Less accumu-

72

Hide ‘N Such, Inc.

11-0000002

Form 1120 Test 2
12 13a 13b 14 15 16 17 lated depletion Land Intangible assets Less accum amortization Other assets Total assets Liabilities Accounts payable Mortgages, notes, bonds payable < 1yr Other current liabilities Loans from shareholders Mortgages, notes, bonds payable > 1yr Other liabilities

U.S. Corporation Income Tax
3,046,857
9,649,921 (5,122,236) 4,527,685

2006
3,058,582

17,146,830 (6,175,345)
10,971,485

25,320,662
696,315,452

39,650,087
860,788,175

See Attachment 7

17,736,997

26,805,004

45,556,804 47,235,461

57,898,678 56,200,717 See Attachment 8

18 19 20

216,040,151 2,039,040

268,662,559
(269,375)

21 22a 22b

See Attachment 9

Cap stock-Pref Cap stock Common 40,156,378 40,315,772 40,315,772 23 Additional paid 278,995,000 282,772,118 –in capital 24 Retained earnings- Appropria 25 Retained earnings- Unappro 48,595,621 136,104,313 26 Adjustments to shareholders equity Less cost of 27 (7,701,611) treasury stock Total liabilities 28 & shareholders equity 696,315,452 860,788,175 Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Return Line Description Line Amount Write-in / Literal Net Income 1 Fed income tax per bks 2 Excess of capital loss 3 Income taxed not recrd 4 Expenses recorded on books 5 Depreciation 5a Charitable contribution 5b Travel & entertainment 5c Line 5 total 5

73

Hide ‘N Such, Inc.

11-0000002

Form 1120 Test 2
6 7 7 7 8

U.S. Corporation Income Tax

2006

Add lines 1 – 5 Tax-exempt interest Income recorded on books (itemize) Line 7 total Deductions not charged against book (itemize) Depreciation 8a Charitable contribution 8b Line 8 total 8 Add lines 7 & 8 9 Income 10 Schedule M-2 Analysis of Unappropriated Retained Earning per Books Balance at beg of year 1 48,595,621 Net incm (loss) per bk 2 80,174,706 Other increases 3 7,333,986 See Attachment 10 Add lines 1, 2, and 3 4 136,104,313 Distributions - Cash 5a Distributions – Stock 5b Distributions – Property 5c Other decreases 6 Add lines 5 and 6 7 Balance at end of year 8 136,104,313

74

Hide ‘N Such, Inc.

11-0000002

Schedule 0 Test 2

Consent Plan and Apportionment Schedule for a Controlled Group

TY 2006

Name of Corporation: Hide ‘N Such, Inc EIN: 11-0000002 Part I Apportionment Plan Information 1. Type of controlled group: Line Description Line Amount / Information Write-in / Literal a. Parent-subsidiary Checked grp b. Brother-sister grp Combined grp c d. Life insurance companies 2. The corporation has been a member of this group: a. For the entire year Checked b. From _____,20 until_____,20 3. This corporation consents to: . a. Adopt an Checked apportionment plan b. Amend the current apportionment plan c. Terminate the current apportionment plan 4. Check the applicable box concerning the status of the group’s apportionment plan a. No app plan in effect or being adopted b. An app plan is in Checked effect December 31, 1985 b. Tax Yr for item b c. All members of group amend prev plan c. Tax Yr for item c d. All members adopt plan effective for current TY d. Tax YR for item d e. Plan terminated e. Date plan terminated e Grp not exist CY (i) end 12-31 subsequent to adopt plan Corp component e (ii) current not component member on succeeding 12-31

75

Hide ‘N Such, Inc.

11-0000002

Schedule 0 Test 2
e iii

Consent Plan and Apportionment Schedule for a Controlled Group

TY 2006

Corp not component current was member succeeding 12-31 e All members iv agreed to terminate prev plan 5.If all emembers of group adopting or amending plan after due dt for current TY, Is at least one yr remaining on stat of limit from dt corp filed amended ret for yr any deficiency resulted a Stat Limit expire Yes a Stat limit expire dt
(i) a (ii)

Dt corp entered agreement with IRS to extend statute a Extended statute (ii) date b Stat Limit expire no Part II Taxable Income Apportionment (a) (b) (c) (d) Group Memb 15% 25%
Member’s Name and EIN er’s Tax Year

(e) 34%

(f) 35%

(g) Total c-f
33,412,043

1

2

3

Hide N Such, Inc 110000002 The Greek Playhouse 110000012 Acme Food 110000013

1979

5,011,806

8,353,011

11,360,095

11,694,215

1990

18,335

30,588

41,599

42,781

122,231

1980

7,448,295

12,413,826

16,882,803

17,379,356

49,655,302

Tot

12,478,436 (a) Grp Memb Name Hide N Such, Inc The Greek Playhouse Acme Food (b) 15% 7,500 (c) 25% 6,250

20,797,394 (d) 34% 3,374,500

28,284,457 (e) 35% 8,194,215

29,116,352 (f) 5% 11,750

83,189,576 (g) 3% 100,00 0 0 Total

Part III

Income Tax Apportionment

1 2 3
Tot

11,694 ,215 42,781

6,417

6,250

14,546

14,973

595

7,500

6,250

33,745

13,879,356

11,750

100,00 0 200,00 0 (f)Other

17,374 ,356 29,116 ,352

21,41 7 (a) Grp

18,750

6,763,546

22,088,544

24095

Part IV

Other Apportionments
(b) Accum (c) AMT (d) Phaseout of (e) Penalty for

76

Hide ‘N Such, Inc.

11-0000002

Schedule 0 Test 2
Memb Name 1 2 3 4 To t

Consent Plan and Apportionment Schedule for a Controlled Group
Earn Cr Exemp Amt

TY 2006

AMT Exemp Amt

FTP ES Tax

77

Hide ‘N Such, Inc.

11-0000002

Form Sch N (1120) Test 2
Name: Hide ‘N Such, Inc. EIN: 11-0000002 Line Description

Foreign Operations of U.S. Corporations

2006

Line Amount / Information No

Write-in / Literal / Attachments

1a 1b 2 3 4a 4b 5 6a 6b 7a 7b 7c

Owned foreign disregarded entity Number F8858 Number F8865 Owned 10% interest in other frgn partnership US Shareholder of CFC Number F5471 Distribution/grantor/ transferor foreign trust Interest in financial account Name of foreign country Extraterritorial income exclusion Number F8873 Line 52 totals all F8873

No Yes 3 No No No

78

Hide ‘N Such, Inc.

11-0000002

Form 8050 Test 2

Direct Deposit of Corporate Tax Refund
Hide ‘N Such, Inc. 11-0000002 Line Amount / Information

2006

1

2

3 3

Name of corporation (as shown on tax return) EIN Line Description Routing number (9 digits, first two must be between 01 and 12 or 21 through 32) Account number (includes hyphens, omit spaces and special symbols) Type of account - Checking Type of account - Savings

Write-in / Literal / Attachment

012456778

1111-22-3456 Checked

79

Hide ‘N Such, Inc.

11-0000002

Form 4626 Test 2

Alternative Minimum Tax – Corporations

2006

Name: Hide ‘N Such, Inc. EIN: 11-0000002 Line Description Taxable Income before NOL 1a Depreciation of post-1986 prop 2a Amortization of certified pollution control 2b facilities Amortization of mining exploration and 2c development costs Amortization of circulation expenses 2d (PHCs only) Adjusted gain or loss 2e Long-term contracts 2f Merchant marine capital construction funds 2g Section 833(b) deduction 2h Tax shelter farm activities 2i Passive activities (CHC and PSC only) 2j Loss limitations 2k Depletion 2l Tax-exempt interest income 2m Intangible drilling costs 2n Other adjustments and preferences 2o Pre-adjustment AMTI 3 ACE from line 10 of ACE worksheet 4a Subtract line 3 from line 4a 4b Multiply line 4b by 75% (.75) 4c Enter the excess, if any, of the 4d corporation’s total increases in AMTI from prior year ACE adjustment 4e Combine lines 3 and 4e 5 Alternative tax net operating loss deduction 6 Alternative minimum taxable income 7 Subtract $150,000 from line 7 8a Multiply line 8a by 25% (.25) 8b Exemption – Subtract line 8b from 8c $40,000. If zero or less, enter -0Subtract line 8c from line 7 9 Multiply line 9 by 20% (.20) 10 Alternative minimum tax foreign tax credit 11 (AMTFTC) Tentative minimum tax 12 Regular tax liability 13 Alternative minimum tax 14

Line Amount 83,189,576 5,098,317

Write-in / Literal / Attachments

(453,363)

1,959,750 89,794,280 88,728,640 (1,065,640) 799,230

1,668,227 (799,230) 88,995,050 88,995,050

88,995,050 17,799,010

17,799,010 29,116,352

80

Hide ‘N Such, Inc.

11-0000002

Form 851 Test 2

Affiliations Schedule

2006

Tax Year ending , Name of common parent corporation Hide ‘N Such, Inc. EIN 11-0000002 Number, street, and room or suite no. 32 Any Street City or town, state, and Zip Anytown, TX 78621 Part I Overpayment Credits, Estimated Tax Payments, and Tax Deposits Corp Line Description Line Amount / Information Write-in / Literal / Attachments
No.

1

2

Common parent corporation - Name and address of Portion of overpayment credits and est tax pmts Portion of tax deposited with Form 7004 Subsidiary corporations: Name and address EIN Portion of overpayment credits and est tax pmts Portion of tax deposited with Form 7004 Totals - Portion overpayment credits Totals - Portion of tax deposited w/ F7004 Subsidiary corporations: Name and address EIN Portion of overpayment credits and est tax pmts Portion of tax deposited with Form 7004 Totals - Portion overpayment credits Totals - Portion of tax deposited w/ F7004

20,232,650

The Greek Playhouse, 60 Any Street, Anytown, TX 78621 11-0000012

3

Acme Foods, Inc. 61 Any Street, Anytown, TX 78621 11-0000013

4 5 6 7 8 9 10 Part II Principal Business Activity, Voting Stock Information, Etc. Corp Line Description Line Amount / Information Write-in / Literal / Attachments
No.

1

Common parent corp Principal business activity

Food Manufacturing

81

Hide ‘N Such, Inc.

11-0000002

Form 851 Test 2
(PBA) PBA Code No. Subsidiary corp - Principal business activity (PBA) PBA Code No. Any nondiv distributions? Yes or No Stock holdings begin yr Number of shares Percent of voting power Percent of value Subsidiary corp - Principal business activity (PBA) PBA Code No. Any nondiv distributions? Yes or No Stock holdings begin yr Number of shares Percent of voting power Percent of value

Affiliations Schedule
311900 Performing Arts Company 711100 No 100 100 100 Crop Production 111900 No 100 100 100

2006

2

3

4 5 6 7 8 9 10 Part III Changes in Stock Holdings During the Tax Year Line Description Line Amount / Information Corp No. 2 Name of corporation The Greek Playhouse Shareholder of Corp No. 1 Date of transaction 11/15/06 (a) Changes - Number of shares acquired 1,000 (a) Number of shares disposed of (b) Shares after changes Percent of voting power 100 (b) Shares after changes Percent of value 100 (c) Retained share exceed value? (d) Deduction a loss? (e) Details of changes (f) List dates and amounts of transactions Part IV Additional Stock Information More than one class of 1 stock outstanding? Corp No. Name of corporation

Write-in / Literal / Attachments

82

Hide ‘N Such, Inc.

11-0000002

Form 851 Test 2
2 Class of stock Member reaffiliated within 60 months? Corp No. Name of corporation Explanation Any arrangement in existence? Corp No. Name of corporation Item 3a Item 3b Item 3c Corp No. Item 3d-Provide description of arrangement

Affiliations Schedule

2006

3

83

Hide ‘N Such, Inc.

11-0000002

Sch D (1120) Test 2 (Consolidated)

Capital Gains and Losses

2006

Name: Hide ‘N Such, Inc. EIN: 11-0000002 Part I Short-Term Capital Gains & Losses Line Description Description of Property Date acquired Date sold Sales price Cost or other basis Gain or loss Short-term capital gain from installment sales Short-term capital gain from like-kind exchanges Unused capital loss carryover Net short-term capital gain or loss Long-Term Capital Gains & Losses Description of property Date acquired Date sold Sales price Cost or other basis Gain or loss Enter gain from Form 4797, line 7 or 9 Long-term capital gain from installment sales Long-term capital gain or loss from likekind exchanges Capital gain distributions Net long-term capital gain or loss Summary of Parts I and II Excess of net short-term capital gain over net long-term capital loss Net capital gain Add lines 12 & 13. Enter here and on Form 1120, page 1, line 8 Line Amount / Information Write-in / Literal / Attachments

1(a) 1(b) 1(c) 1(d) 1(e) 1(f) 2 3 4 5 Part II 6(a) 6(b) 6(c) 6(d) 6(e) 6(f) 7 8 9 10 11 Part III 12 13 14

Passthru from Ptnrsp

199,949 103,882

303,831

303,831 303,831

84

Hide ‘N Such, Inc.

11-0000002

Sch D (1120) Test 2 Hide ‘N Such (parent)

Capital Gains and Losses

2006

Name: Hide ‘N Such, Inc. EIN: 11-0000002 Part I Short-Term Capital Gains & Losses Line Description Description of Property Date acquired Date sold Sales price Cost or other basis Gain or loss Short-term capital gain from installment sales Short-term capital gain from like-kind exchanges Unused capital loss carryover Net short-term capital gain or loss Long-Term Capital Gains & Losses Description of property Date acquired Date sold Sales price Cost or other basis Gain or loss Enter gain from Form 4797, line 7 or 9 Long-term capital gain from installment sales Long-term capital gain or loss from likekind exchanges Capital gain distributions Net long-term capital gain or loss Summary of Parts I and II Excess of net short-term capital gain over net long-term capital loss Net capital gain Add lines 12 & 13. Enter here and on Form 1120, page 1, line 8 Line Amount / Information Write-in / Literal / Attachments

1(a) 1(b) 1(c) 1(d) 1(e) 1(f) 2 3 4 5 Part II 6(a) 6(b) 6(c) 6(d) 6(e) 6(f) 7 8 9 10 11 Part III 12 13 14

Pass thru from Ptnrsp

103,883 103,882

207,765

207,765 207,765

85

Hide ‘N Such, Inc.

11-0000002

Sch D (1120) Test 2 Greek Playhouse

Capital Gains and Losses

2006

Name: The Greek Playhouse EIN: 11-0000012 Part I Short-Term Capital Gains & Losses Line Description Description of Property Date acquired Date sold Sales price Cost or other basis Gain or loss Short-term capital gain from installment sales Short-term capital gain from like-kind exchanges Unused capital loss carryover Net short-term capital gain or loss Long-Term Capital Gains & Losses Description of property Date acquired Date sold Sales price Cost or other basis Gain or loss Enter gain from Form 4797, line 7 or 9 Long-term capital gain from installment sales Long-term capital gain or loss from likekind exchanges Capital gain distributions Net long-term capital gain or loss Summary of Parts I and II Excess of net short-term capital gain over net long-term capital loss Net capital gain Add lines 12 & 13. Enter here and on Form 1120, page 1, line 8 Line Amount / Information Write-in / Literal / Attachments

1(a) 1(b) 1(c) 1(d) 1(e) 1(f) 2 3 4 5 Part II 6(a) 6(b) 6(c) 6(d) 6(e) 6(f) 7 8 9 10 11 Part III 12 13 14

Pass thru from Ptnrsp

220,747

220,747

220,747 220,747

86

Hide ‘N Such, Inc.

11-0000002

Sch D (1120) Test 2 Acme Foods

Capital Gains and Losses

2006

Name: Acme Foods Corp EIN: 11-0000013 Part I Short-Term Capital Gains & Losses Line Description Description of Property Date acquired Date sold Sales price Cost or other basis Gain or loss Short-term capital gain from installment sales Short-term capital gain from like-kind exchanges Unused capital loss carryover Net short-term capital gain or loss Long-Term Capital Gains & Losses Description of property Date acquired Date sold Sales price Cost or other basis Gain or loss Enter gain from Form 4797, line 7 or 9 Long-term capital gain from installment sales Long-term capital gain or loss from likekind exchanges Capital gain distributions Net long-term capital gain or loss Summary of Parts I and II Excess of net short-term capital gain over net long-term capital loss Net capital gain Add lines 12 & 13. Enter here and on Form 1120, page 1, line 8 Line Amount / Information Write-in / Literal / Attachments

1(a) 1(b) 1(c) 1(d) 1(e) 1(f) 2 3 4 5 Part II 6(a) 6(b) 6(c) 6(d) 6(e) 6(f) 7 8 9 10 11 Part III 12 13 14

Pass thru from Ptnrsp

(124,681)

(124,681)

(124,681)

(124,681)

87

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Consolidated

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

Name: Hide N’ Such, Inc. Consolidated EIN: 11-0000002

Part I

Financial Information and Net Income (Loss) Reconciliation
Write-in / Literal / Attachments

Line Description Line Amount / Information Filed SEC F10-K income stmt? 1a Yes Certified audit income stmt? 1b Income stmt for period? 1c Income statement period 2a 01/01/2006 12/31/2006 Income statement restated? 2b No Income stmt restated for 5 prds? 2c No Voting stock publicly traded? 3a Yes Symbol of pub trd’d stock 3b HIDSK 9-digit CUSIP of pub trd’d stk 3c 959959959 Worldwide consol net incm 4 82,411,378 Net income nonincludible frgn 5a (2,304,041) Net loss nonincludible frgn 5b 105,264 Net income nonincludible US 6a Net loss fnonincludible US 6b Net income nonincludible Oth 7a Net loss nonincludible Oth 7b Adj to eliminations of transact 8 (37,895) Adj to reconcile incm stmt 9 Intercompany adjustments 10a Other statutory accounting 10b Other adjustments 10c Net income (loss) per stmt 11 80,174,706 Schedule M-3 (Form 1120) 2006 Page 2 Name: Hide N’ Such, Inc. Consolidated EIN: 11-0000002 Consolidated Return checkbox Name of Subsidiary: EIN:

Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return
(a) Income (loss) per Income Stmt 1 2 3 4 5 6 7 8 9 Incm (loss) fm equ mthd frgn Gross frgn div Subpart F,QEF Sec 78 grossup Gross frgn dist Incm (loss) fm equ mthd US US div not elim Minority interest Incm (loss) US (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax
Return

Write-in / Literal

2,304,041

2,304,041

59,338,000

(8,759,992)

50,578,008

See Attachment 14

88

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Consolidated
10 11 12 Incm (loss) frgn Incm (loss) oth pass-thru entity Reportable transact items

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

(a) Income (loss) per Income Stmt 13 14 15 16 17 18 19 20 21 22 23a 23b 23c 23d 23e 23f 23g 24 25 26 27 28 Interest incm Total accrual to cash adj Hedging trans Mark-Mkt incm Cost of gds sold Sale vs lease Sec 481(a) adj Unearned/ deferred revenue Incm recogn Org issue disc Incm stmt gain/ loss on sale Gross cap gain Gross cap loss Net gain/loss Abandonment Worthless stck Oth gain/loss Capital loss Other income (loss) Tot incm (loss) Tot expns/ded Oth incm (loss) w/ no diff Add ln 26 thru 28 PC ins totals Life ins totals 1,032,236

(b) Temp Difference 2,077,423

(c) Perm Difference

(d) Income (loss) per Tax
Return

Write-in / Literal

3,109,659

(278,001,856)

(9,438,607)

(287,440,463)

(39,914) 189,195 530,308

39,914 189,195 530,308

1,710,800 (215,960,734) (109,192,583) 405,328,023

(4,032,268) (17,129,900) 9,009,599

39,914 11,095,257

(2,321,468) (233,050,720) (89,087,727) 405,328,023

See Attachment 15

29a 80,174,706 29b 29c 30 80,174,706 Reconciliation tot Name: Hide N’ Such, Inc. Consolidated EIN: 11-0000002 Consolidated Return checkbox Name of Subsidiary: EIN:

(8,120,301)

11,135,171

83,189,576

(8,120,301)

11,135,171

83,189,576

Part III Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items
1 US curr incm tax expense 16,001,211 (16,001,211)

89

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Consolidated
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 US defer incmn tax expns State local curr incm tax expns State local defer incm tax expns Frgn curr incm tax expense Frgn deferred
incm tax expns

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More
(145,423) 5,059,930 666,594 145,423 5,726,524

2006

Frgn w/hld tax Interest expns Stock opt expns Oth equ comp Meals Entrtmnt Fines penalties Judgements
Parachute pymnt Comp sec 162m Pension profit-sh Oth post-retrmnt Deferred comp Charitable contribution cash tang Charitable contribution intang prop

21,363,522

71,196 6,214,608

21,434,718 6,214,608 1,159,309

2,683,589 5,204

(1,524,280) (5,204)

2,227,414

2,227,414

73,362

75,407

148,769

Charitable contribution limitita Domestic prod CY acquis or
reorg inv banking

CY acquis or
reorg legal/acct

CY acquis oth costs Amort of gdwill Amort of acquis Other amortizat Sec 198 environ Depletion Depreciation Bad debt expns Corp-own life ins
Purch vs lease Other expns/ded Total expense/ deduction items

971,988

1,445,968

2,417,956

1,651,217 433,028

5,317 (54,260)

1,656,534 378,768

58,867,541 109,192,583

(11,144,414) (9,009,599) (11,095,257)

47,723,127 89,087,727

See Attachment 16

90

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Hide ‘N Such, Inc.
Name: Hide ‘N Such, Inc. EIN: 11-0000002

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

Part I

Financial Information and Net Income (Loss) Reconciliation
Write-in / Literal / Attachments

Line Description Line Amount / Information Filed SEC F10-K income stmt? 1a Certified audit income stmt? 1b Income stmt for period? 1c Income statement period 2a Income statement restated? 2b Income stmt restated for 5 prds? 2c Voting stock publicly traded? 3a Symbol of pub trd’d stock 3b 9-digit CUSIP of pub trd’d stk 3c Worldwide consol net incm 4 Net income nonincludible frgn 5a Net loss nonincludible frgn 5b Net income nonincludible US 6a Net loss fnonincludible US 6b Net income nonincludible Oth 7a Net loss nonincludible Oth 7b Adj to eliminations of transact 8 Adj to reconcile incm stmt 9 Intercompany adjustments 10a Other statutory adjustments 10b Other adjustments 10c Net income (loss) per stmt 11 Schedule M-3 (Form 1120) 2006 Page 2 Name: Hide ‘N Such, Inc. EIN: 11-0000002 Consolidated Return checkbox Checked Name of Subsidiary: Hide ‘N Such, Inc. EIN: 11-0000002

Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return
(a) Income (loss) per Income Stmt 1 2 3 4 5 6 7 8 9 Incm (loss) fm equ mthd frgn Gross frgn div Subpart F,QEF Sec 78 grossup Gross frgn dist Incm (loss) fm equ mthd US US div not elim Minority interest Incm (loss) US (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax
Return

Write-in / Literal

2,304,041

2,304,041

(59,869)

(59,869)

91

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Hide ‘N Such, Inc.
10 11 12 Incm (loss) frgn Incm (loss) oth pass-thru entity Reportable transact items

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

(a) Income (loss) per Income Stmt 13 14 15 16 17 18 19 20 21 22 23a 23b 23c 23d 23e 23f 23g 24 25 26 27 28 Interest incm Total accrual to cash adj Hedging trans Mark-Mkt incm Cost of gds sold Sale vs lease Sec 481(a) adj Unearned/ deferred revenue Incm recogn Org issue disc Incm stmt gain/ loss on sale Gross cap gain Gross cap loss Net gain/loss Abandonment Worthless stck Oth gain/loss Capital loss Other income (loss) Tot incm (loss) Tot expns/ded Oth incm (loss) w/ no diff Add ln 26 thru 28 PC ins totals Life ins totals 1,221,456

(b) Temp Difference

(c) Perm Difference

(d) Income (loss) per Tax
Return

Write-in / Literal

1,221,456

(256,751,409)

(9,161,241)

(265,912,650)

(43,256) 207,765 528,161

43,256 207,765 528,161

977,052 (254,596,157) (85,001,618) 380,001,618

(3,206,156)) (9,387,299) (1,678,423)

43,256 3,046,579

(2,229,104) (263,940,200) (83,633,462) 380,985,705

See Attachment 17

29a 41,387,930 (11,065,722) 29b 29c 30 41,387,930 (11,065,722) Reconciliation tot Name: Hide ‘N Such, Inc. EIN: 11-0000002 Consolidated Return checkbox Checked Name of Subsidiary: Hide ‘N Such, Inc. EIN: 11-0000002

3,089,835

33,412,043

3,089,835

33,412,043

Part III Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items
1 US curr incm tax expense 8,117,700 (8,117,700)

92

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Hide ‘N Such, Inc.
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 US defer incmn tax expns State local curr incm tax expns State local defer incm tax expns Frgn curr incm tax expense Frgn deferred
incm tax expns

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More
(73,776) 4,351,535 (176,713) 73,776 4,174,822

2006

Frgn w/hld tax Interest expns Stock opt expns Oth equ comp Meals Entrtmnt Fines penalties Judgements
Parachute pymnt Comp sec 162m Pension profit-sh Oth post-retrmnt Deferred comp Charitable contribution cash tang Charitable contribution intang prop

21,342,118

71,196 6,214,608

21,413,314 6,214,608 1,104,239

2,362,058 5,204

(1,257,819) (5,204)

2,006,997

2,006,997

71,593

45,760

117,353

Charitable contribution limitita Domestic prod CY acquis or
reorg inv banking

CY acquis or
reorg legal/acct

CY acquis oth costs Amort of gdwill Amort of acquis Other amortizat Sec 198 environ Depletion Depreciation Bad debt expns Corp-own life ins
Purch vs lease Other expns/ded Total expense/ deduction items

519,407

1,563,199

2,082,606

1,469,944 334,250

39,799

1,469,944 374,049

44,494,588 85,001,618

180,942 1,678,423 (3,046,579)

44,675,530 83,633,462

See Attachment 18

93

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Acme Foods

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

Name: Hide N’ Seek Foods Inc. EIN: 11-0000002

Part I

Financial Information and Net Income (Loss) Reconciliation
Line Amount / Information Write-in / Literal / Attachments

Line Description Filed SEC F10-K income stmt? 1a Certified audit income stmt? 1b Income stmt for period? 1c Income statement period 2a Income statement restated? 2b Income stmt restated for 5 prds? 2c Voting stock publicly traded? 3a Symbol of pub trd’d stock 3b 9-digit CUSIP of pub trd’d stk 3c Worldwide consol net incm 4 Net income nonincludible frgn 5a Net loss nonincludible frgn 5b Net income nonincludible US 6a Net loss fnonincludible US 6b Net income nonincludible Oth 7a Net loss nonincludible Oth 7b Adj to eliminations of transact 8 Adj to reconcile incm stmt 9 Intercompany adjustments 10a Other statutory adjustments 10b Other adjustments 10c Net income (loss) per stmt 11 Schedule M-3 (Form 1120) 2006 Page 2 Name: Hide N’ Seek Foods Inc. EIN: 11-0000002 Consolidated Return checkbox Name of Subsidiary: Acme Foods Inc. EIN: 11-0000013

Checked

Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return
(a) Income (loss) per Income Stmt 1 2 3 4 5 6 7 8 9 Incm (loss) fm equ mthd frgn Gross frgn div Subpart F,QEF Sec 78 grossup Gross frgn dist Incm (loss) fm equ mthd US US div not elim Minority interest Incm (loss) US (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax Return Write-in / Literal

59,338,000

(8,920,870)

50,417,130

94

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Acme Foods
10 11 12 Incm (loss) frgn Incm (loss) oth pass-thru entity Reportable transact items

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

13 14 15 16 17 18 19 20 21 22 23a 23b 23c 23d 23e 23f 23g 24 25 26 27 28

29a 36,188,427 5,973,602 29b 29c 30 36,188,427 5,973,602 Reconciliation tot Name: Hide N’ Seek Foods Inc. EIN: 11-0000002 Consolidated Return checkbox Checked Name of Subsidiary: Acme Foods Inc. EIN: 11-0000013

Interest incm Total accrual to cash adj Hedging trans Mark-Mkt incm Cost of gds sold Sale vs lease Sec 481(a) adj Unearned/ deferred revenue Incm recogn Org issue disc Incm stmt gain/ loss on sale Gross cap gain Gross cap loss Net gain/loss Abandonment Worthless stck Oth gain/loss Capital loss Other income (loss) Tot incm (loss) Tot expns/ded Oth incm (loss) w/ no diff Add ln 26 thru 28 PC ins totals Life ins totals

(a) Income (loss) per Income Stmt 475,203

(b) Temp Difference 1,413,000

(c) Perm Difference

(d) Income (loss) per Tax Return 1,888,203

Write-in / Literal

(20,935,016)

(277,366)

(21,212,382)

1,195 (18,570)

(1,195) (18,570)

725,904 39,605,286 (27,463,106) 24,046,247

(818,268) (8,622,074) 14,595,676

(1,195) 7,494,468

(92,364) 30,982,017 (5,372,962) 24,046,247

See Attachment 19

7,493,273

49,655,302

7,493,273

49,655,302

Part III Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items
1 US curr incm tax expense 7,381,168 (7,381,168)

95

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Acme Foods
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 US defer incmn tax expns State local curr incm tax expns State local defer incm tax expns Frgn curr incm tax expense Frgn deferred
incm tax expns

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More
(67,082) 708,395 843,307 67,082 1,551,702

2006

Frgn w/hld tax Interest expns Stock opt expns Oth equ comp Meals Entrtmnt Fines penalties Judgements
Parachute pymnt Comp sec 162m Pension profit-sh Oth post-retrmnt Deferred comp Charitable contribution cash tang Charitable contribution intang prop

19,262

19,262

246,816

(194,215)

52,301

220,417

220,417

1,981

13,833

15,814

Charitable contribution limitita Domestic prod CY acquis or
reorg inv banking

CY acquis or
reorg legal/acct

CY acquis oth costs Amort of gdwill Amort of acquis Other amortizat Sec 198 environ Depletion Depreciation Bad debt expns Corp-own life ins
Purch vs lease Other expns/ded Total expense/ deduction items

460,869

(125,519)

335,350

178,987 98,778

(94,059)

178,987 4,719

18,213,515 27,463,106

(15,219,405) (14,595,676) (7,494,468)

2,994,110 5,372,662

See Attachment 20

96

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Greek Playhouse
Name: Hide ‘N Such, Inc. EIN: 11-0000002

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

Part I

Financial Information and Net Income (Loss) Reconciliation
Line Amount / Information Write-in / Literal / Attachments

Line Description Filed SEC F10-K income stmt? 1a Certified audit income stmt? 1b Income stmt for period? 1c Income statement period 2a Income statement restated? 2b Income stmt restated for 5 prds? 2c Voting stock publicly traded? 3a Symbol of pub trd’d stock 3b 9-digit CUSIP of pub trd’d stk 3c Worldwide consol net incm 4 Net income nonincludible frgn 5a Net loss nonincludible frgn 5b Net income nonincludible US 6a Net loss fnonincludible US 6b Net income nonincludible Oth 7a Net loss nonincludible Oth 7b Adj to eliminations of transact 8 Adj to reconcile incm stmt 9 Intercompany adjustments 10a Other statutory adjustments 10b Other adjustments 10c Net income (loss) per stmt 11 Schedule M-3 (Form 1120) 2006 Page 2 Name: Hide ‘N Such, Inc. EIN: 11-0000002 Consolidated Return checkbox Name of Subsidiary: Greek Playhouse EIN: 11-0000012

Checked

Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return
(a) Income (loss) per Income Stmt 1 2 3 4 5 6 7 8 9 10 Incm (loss) fm equ mthd frgn Gross frgn div Subpart F,QEF Sec 78 grossup Gross frgn dist Incm (loss) fm equ mthd US US div not elim Minority interest Incm (loss) US Incm (loss) frgn (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax Return Write-in / Literal

220,747

220,747

97

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Greek Playhouse
11 12 Incm (loss) oth pass-thru entity Reportable transact items

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

13 14 15 16 17 18 19 20 21 22 23a 23b 23c 23d 23e 23f 23g 24

Interest incm Total accrual to cash adj Hedging trans Mark-Mkt incm Cost of gds sold Sale vs lease Sec 481(a) adj Unearned/ deferred revenue Incm recogn Org issue disc Incm stmt gain/ loss on sale Gross cap gain Gross cap loss Net gain/loss Abandonment Worthless stck Oth gain/loss Capital loss Other income (loss) Tot incm (loss) Tot expns/ded Oth incm (loss) w/ no diff Add ln 26 thru 28 PC ins totals Life ins totals

(a) Income (loss) per Income Stmt (664,423)

(b) Temp Difference 664,423

(c) Perm Difference

(d) Income (loss) per Tax Return

Write-in / Literal

(315,431)

(315,431)

2,147

(2,147)

2,147

2,147

25 26 27 28

7,844 (969,863) 3,272,141 296,071

(7,844) 879,473 (3,907,654)

See Attachment 21 (2,147) 554,210 (92,537) (81,303) 296,071 552,063 122,231

29a 2,598,349 (3,028,181) 29b 29c 30 2,598,349 (3,028,181) Reconciliation tot Name: Hide ‘N Such, Inc. EIN: 11-0000002 Consolidated Return checkbox Checked Name of Subsidiary: Greek Playhouse EIN: 11-0000012

552,063

122,231

Part III
1 2

Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items
502,343 (4,565) (502,343) 4565

US curr incm tax expense US defer incmn

98

Hide ‘N Such, Inc.

11-0000002

Form Schedule M-3 (1120) Test 2 Greek Playhouse
3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 tax expns State local curr incm tax expns State local defer incm tax expns Frgn curr incm tax expense Frgn deferred
incm tax expns

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

Frgn w/hld tax Interest expns Stock opt expns Oth equ comp Meals Entrtmnt Fines penalties Judgements
Parachute pymnt Comp sec 162m Pension profit-sh Oth post-retrmnt Deferred comp Charitable contribution cash tang Charitable contribution intang prop

2,142

2,142

74,715

(72,246)

2,469

(212)

15,814

15,602

Charitable contribution limitita Domestic prod CY acquis or
reorg inv banking

CY acquis or
reorg legal/acct

CY acquis oth costs Amort of gdwill Amort of acquis Other amortizat Sec 198 environ Depletion Depreciation Bad debt expns Corp-own life ins
Purch vs lease Other expns/ded Total expense/ deduction items

(8,288)

8,288

2,286

5,317

7,603

(3,840,562) (3,272,141)

3,894,049 3,907,654 (554,210)

53,487 81,303

See Attachment 22

99

Hide ‘N Such, Inc.

11-0000002

Form 1122 Test 2

Authorization and Consent of Subsidiary Corporation To Be Included in a Consolidated Income Tax Return

2006

For the calendar year 2006 , or other tax year beginning , 20 and ending , 20 Line Description Line Amount / Information Write-in / Literal / Attachments Name The Greek Playhouse EIN 11-0000012 Number, street, and room or suite no. 60 Any Street City or town, state, and ZIP code Anytown, TX 78621 Name of parent corporation Hide ‘N Such, Inc. EIN 11-0000002 Signature of subsidiary officer Date Title Assistant Treasurer

100

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2

Depreciation and Amortization

2006

Name: Hide ‘N Such, Inc. Business or Activity: Food Manufacturing EIN: 11-0000002 Line Description Line Amount Write-in / Literal Part I Election to Expense Certain Property Under Section 179 Maximum amount 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 3 Reduction in limitation 4 0 Dollar limitation for TY 5 102,000 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 11,055,162 Property subject to sec168(f)(1) election 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 4,538,703 18 Yes Assets placed in service (Sec 168(i)(4) election) No Section B – Assets Placed in Service During 2006 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprc deduct Write-in / Literal

3-year property 19,997,007 5 HY 200DB 3,999,401 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary Listed property 21 19a 19b 19c 19d 19e 19f 19g 19h

101

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2
22 23 Total Assets for CY

Depreciation and Amortization
19,593,266 89,913 Part V Listed Property Section A – Depreciation and Other Information

2006

24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41

Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Amort for this Yr Write-in / Literal / Attachments

42 43 44

Amort of costs during 2006 TY Amort of costs before 2006 TY Total

2,417,956

2,417,956

102

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Hide ‘N Such (Parent)

Depreciation and Amortization

2006

Name: Hide ‘N Such Inc. Business or Activity: Food Manufacturing EIN: 11-0000002 Line Description Line Amount Write-in / Literal Part I Election to Expense Certain Property Under Section 179 Maximum amount 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 3 Reduction in limitation 4 0 Dollar limitation for TY 5 105,000 Description of Property 6(a) Cost 6(b) Elected cost 6© Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 10,167,586 Property subject to sec168(f)(1) election 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 2,900,522 18 Yes Assets placed in service (Sec 168(i)(4) election) No Section B – Assets Placed in Service During 2006 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprc deduct Write-in / Literal

3-year property 19,986,212 5 HY 200DB 3,995,803 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary 19a 19b 19c 19d 19e 19f 19g 19h

103

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Hide ‘N Such (Parent)
21 22 23 Listed property Total Assets for CY

Depreciation and Amortization

2006

17,063,911 68,255 Part V Listed Property Section A – Depreciation and Other Information

24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41

Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Amort for this Yr Write-in / Literal / Attachments

42 43

Amort of costs during 2006 TY Amort of costs

2,082,606

104

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Hide ‘N Such (Parent)
44 before 2006 TY Total

Depreciation and Amortization

2006

2,082,606

105

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Greek Playhouse

Depreciation and Amortization

2006

Name: The Greek Playhouse Business or Activity: Crop Production EIN: 11-0000012 Line Description Line Amount Write-in / Literal Part I Election to Expense Certain Property Under Section 179 Maximum amount 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 3 Reduction in limitation 4 0 Dollar limitation for TY 5 105,000 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 Property subject to sec168(f)(1) election 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 4,005 18 Yes Assets placed in service (Sec 168(i)(4) election) No Section B – Assets Placed in Service During 2006 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recov ery period (e) Convention (f) Meth od (g) Deprc deduct Write-in / Literal

19a 19b 19c 19d 19e 19f 19g 19h

3-year property 5-year property

10,795

5

HY

200D B

3,598

7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary

106

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Greek Playhouse
21 22 23 Listed property Total Assets for CY

Depreciation and Amortization

2006

7,603 Part V Listed Property Section A – Depreciation and Other Information

24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41

Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amt begins (c) Amort amount (d) Code section (e) Amt period or % (f) Amort for this Yr Write-in / Literal / Attachments

42 43 44

Amort of costs during 2006 Amort of costs before 2006 Total

107

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Acme Foods

Depreciation and Amortization

2006

Name: Acme Foods Corp. Business or Activity: Crop Production EIN: 11-0000013 Line Description Line Amount Write-in / Literal Part I Election to Expense Certain Property Under Section 179 Maximum amount 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 3 Reduction in limitation 4 0 Dollar limitation for TY 5 105,000 Description of Property 6(a) Cost 6(b) Elected cost 6© Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 887,576 Property subject to sec168(f)(1) election 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 1,634,176 18 Yes Assets placed in service (Sec 168(i)(4) election) No Section B – Assets Placed in Service During 2006 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprc deduct Write-in / Literal

3-year property 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary 19a 19b 19c 19d 19e 19f 19g 19h

108

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Acme Foods
21 22 23 Listed property Total Assets for CY

Depreciation and Amortization

2006

2,521,752 21,658 Part V Listed Property Section A – Depreciation and Other Information

24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41

Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Amort for this Yr Write-in / Literal / Attachments

42 43

Amort of costs during 2006 TY Amort of costs

335,350

109

Hide ‘N Such, Inc.

11-0000002

Form 4562 Test 2 Acme Foods
44 before 2006 TY Total

Depreciation and Amortization

2006

335,350

110

Hide ‘N Such, Inc.

11-0000002

Form 4797 Test 2 (consolidated)

Sales of Business Property

2006

Name: Hide ‘N Such, Inc. EIN: 11-0000002 Line Description Line Amount Info Write-in / Literal Gross proceeds sales/ exchange 1 Part I Sales or Exchanges of Property Used in a Trade or Business Description of property 2(a) Partnership Date acquired 2(b) Date sold 2(c) Gross sales price 2(d) Depreciation allowed 2(e) Cost or other basis 2(f) Gain or (loss) 2(g) 106,029 Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 106,029 Nonrecaptured net sec 1231 loss 8 2,147 Subtract line 8 from line 7 9 103,882 Part II Ordinary Gains and Losses 10(a) Description of property 10(b) Date acquired 10(c) Date sold 10(d) Gross sales price 10(e) Depreciation allowed Cost or other basis 10(f) 10(g) Gain or loss Loss fm line 7 11 Gain fm line 7 12 2,147 Gain fm line 31 13 528,161 Net gain F4684 14 Ordinary gain F6252 15 Ordinary gain F8824 16 Combine lines 10 to16 17 530,308 Part of loss F4684 18a Re-determined gain/loss line 17 18b Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a) Description of property Equipment 19(b) Date acquired Various 19(c) Date sold Various Gross sales price 20 708,077 Cost or other basis 21 3,408,615 Depreciation allowed 22 3,228,699 Adjusted basis 23 179,916 Total gain 24 528,161 Depreciation allowed 25a 3,228,699 Smaller of lines 24 and 25a 25b 528,161 Additional depreciation after 1975 26a Line Description Line Amount Info Write-in / Literal

111

Hide ‘N Such, Inc.

11-0000002

Form 4797 Test 2 (consolidated)
26b 26c 26d 26e 26f 26g 27a 27b 27c 28a 28b 29a 29b 30 31 32 33(a) 33(b) 34(a) 34(b) 35(a) 35(b)

Sales of Business Property

2006

Applicable % Subtract line 26a from line 24 Additional depreciation after 1969 Smaller of lines 26c and 26c Sec 291 amount Add lines 26b,26e and 26f 0 Soil, water, land Line 27 multiplied by applicable % Smaller of lines 24 and 27b Intangible drilling Smaller of lines 24 and 28a Applicable % of payment excluded Smaller of lines 24 and 29a Total gain all property 528,161 Add property columns A – D 528,161 Subtract line 31 from line 30 0 Part IV Recapture Amounts Under Sections 179 and 280F(b)(2) Sec 179 expense deduction – Sec 179 Sec 179 expense deduction – Sec 280F(b) Recomputed deprc – Sec 179 Recomputed deprc-Sec280F(b) Recapture amount – Sec 179 Recapture amount – Sec 280F(b)

112

Hide ‘N Such, Inc.

11-0000002

Form 4797 Test 2 Hide ‘N Such, Inc. (Parent)

Sales of Business Property

2006

Name: Hide ‘N Such, Inc. EIN: 11-0000002 Line Description Line Amount / Info Write-in / Literal / Attachments Gross proceeds from sales or 1 exchange Part I Sales or Exchanges of Property Used in a Trade or Business Description of property 2(a) Partnership Date acquired 2(b) Date sold 2(c) Gross sales price 2(d) Depreciation allowed 2(e) Cost or other basis 2(f) Gain or (loss) 2(g) 103,882 Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 103,882 Nonrecaptured net sec 1231 8 loss Subtract line 8 from line 7 9 103,882 Part II Ordinary Gains and Losses 10(a) Description of property 10(b) Date acquired 10(c) Date sold 10(d) Gross sales price 10(e) Depreciation allowed Cost or other basis 10(f) 10(g) Gain or loss Loss fm line 7 11 Gain fm line 7 12 Gain fm line 31 13 528,161 Net gain F4684 14 Ordinary gain F6252 15 Ordinary gain F8824 16 Combine lines 10 to16 17 528,621 Part of loss F4684 18a Redetermined gain or (loss) on 18b line 17 Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a)A Description of property Equipment 19(b)A Date acquired Various 19(c)A Date sold various Gross sales price 20 708,077 Cost or other basis 21 3,408,615 Depreciation allowed 22 3,228,699 Adjusted basis 23 179,916 Total gain 24 528,161

113

Hide ‘N Such, Inc.

11-0000002

Form 4797 Test 2 Hide ‘N Such, Inc. (Parent)
25a 25b 26a

Sales of Business Property

2006

Depreciation allowed 3,228,699 Smaller of lines 24 and 25a 528,161 Additional depreciation after 1975 Applicable % 26b Subtract line 26a from line 24 26c Additional depreciation after 26d 1969 Smaller of lines 26c and 26c 26e Sec 291 amount 26f Add lines 26b,26e and 26f 26g Soil, water, land 27a Line 27 multiplied by 27b applicable % Smaller of lines 24 and 27b 27c Intangible drilling 28a Smaller of lines 24 and 28a 28b Applicable % of payment 29a excluded Smaller of lines 24 and 29a 29b Total gain all property 30 528,161 Add property columns A – D 31 528,161 Subtract line 31 from line 30 32 0 Part IV Recapture Amounts Under Sections 179 and 280F(b)(2) 33(a) Sec 179 expense ded – Sec 179 33(b) Sec 179 expense ded – Sec
280F(b)

34(a) 34(b) 35(a) 35(b)

Recomputed deprc – Sec 179 Recomputed deprc-Sec280F(b) Recapture amount – Sec 179 Recapture amount – Sec
280F(b)

114

Hide ‘N Such, Inc.

11-0000002

Form 4797 Test 2 The Greek Playhouse

Sales of Business Property

2006

Name: The Greek Playhouse EIN: 11-0000012 Line Description Line Amount / Info Write-in / Literal / Attachments Gross proceeds from sales or 1 exchange Part I Sales or Exchanges of Property Used in a Trade or Business Description of property 2(a) Partnership Date acquired 2(b) Date sold 2(c) Gross sales price 2(d) Depreciation allowed 2(e) Cost or other basis 2(f) Gain or (loss) 2(g) 2,147 Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 2,147 Nonrecaptured net sec 1231 8 loss 2,147 Subtract line 8 from line 7 9 0 Part II Ordinary Gains and Losses 10(a) Description of property 10(b) Date acquired 10(c) Date sold 10(d) Gross sales price 10(e) Depreciation allowed Cost or other basis 10(f) 10(g) Gain or loss Loss fm line 7 11 Gain fm line 7 12 2,147 Gain fm line 31 13 Net gain F4684 14 Ordinary gain F6252 15 Ordinary gain F8824 16 Combine lines 10 to16 17 2,147 Part of loss F4684 18a Redetermined gain or (loss) on 18b line 17 Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a)A Description of property 19(b)A Date acquired 19(c)A Date sold Gross sales price 20 Cost or other basis 21 Depreciation allowed 22 Adjusted basis 23 Total gain 24 Depreciation allowed 25a

115

Hide ‘N Such, Inc.

11-0000002

Form 4797 Test 2 The Greek Playhouse
25b 26a

Sales of Business Property

2006

Smaller of lines 24 and 25a Additional depreciation after 1975 Applicable % 26b Subtract line 26a from line 24 26c Additional depreciation after 26d 1969 Smaller of lines 26c and 26c 26e Sec 291 amount 26f Add lines 26b,26e and 26f 26g Soil, water, land 27a Line 27 multiplied by 27b applicable % Smaller of lines 24 and 27b 27c Intangible drilling 28a Smaller of lines 24 and 28a 28b Applicable % of payment 29a excluded Smaller of lines 24 and 29a 29b Total gain all property 30 Add property columns A – D 31 Subtract line 31 from line 30 32 Part IV Recapture Amounts Under Sections 179 and 280F(b)(2) 33(a) Sec 179 expense ded – Sec 179 33(b) Sec 179 expense ded – Sec
280F(b)

34(a) 34(b) 35(a) 35(b)

Recomputed deprc – Sec 179 Recomputed deprc-Sec280F(b) Recapture amount – Sec 179 Recapture amount – Sec
280F(b)

116

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Annual Accounting Period beginning 01/01 , 2006, ending 12/31 , 2006 Part I Reporting Corporation Name and Address: Hide ‘N Such Foods, Inc, 32 Any Street, Anytown, TX 73323 Line Description Line Amount / Info Write-in / Literal EIN A 11-0000002 Category of filer checkboxes B Box 4 and 5 Checked Total % of frgn corp stock C 100 Filer’s tax year beginning 01/01 , 2006, ending 12/31 , 2006 Name D(1) Address D(2) Identifying Number D(3) Check applicable boxes D(4) Foreign Corp. #1 Name/address of foreign 64 Any Street, corporation 1a Anytown, Uruguay EIN, if any 1b Cnty whose laws incorp 1c Uruguay Date of Incorporation 1d 06/05/89 Principal place of business 1e Uruguay Principal business act code 1f 111900 Principal business activity 1g Crop Production Functional currency 1h Uruguayan Peso U.S. name, address, EIN 2a Taxable income or (loss) 2b(i) 2b(ii) U.S. income tax paid Frgn corp name, address 2c None Uruguay Accounting Department 64 Any Street Name, add of person w/ bks 2d Anytown, TX 71232 Sch A Stock of the Foreign Corporation Desc of each class of stock (a) Common (b)(i) Beg of annual acct period 5,000 (b)(ii) End of annual acct period 5,000 Desc of each class of stock (a) (b)(i) Beg of annual acct period (b)(ii) End of annual acct period Sch B U.S. Shareholders of Foreign Corporation Hide ‘N Such Foods, Inc 32 Any Street, Anytown, TX 73323 Name, add, EIN of shrholdr (a) 11-0000002 Desc of each class of stock (b) Common Number shares held at beg (c) 5,000 Number shares held at end (d) 5,000 Pro rata share of subpart F (e) 100% Name, add, EIN of shrholdr (a) Desc of each class of stock (b) Number shares held at beg (c)

117

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Number shares held at end (d) Pro rata share of subpart F (e) Sch C Income Statement Func Curr 1a 1b 1c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Sch E 1(a) 1(b) 1(c) 1(d) 2(a) 2(b) 2(c) 2(d) 8 Sch F Gross receipt or sales Returns and allowances Subtract line 1b fm line 1a Cost of goods sold Gross profit
Dividends

US Dollars

Interest Gross,rents,royalties,lic fees Net gain or (loss) Other income Total income Compensation of officers Rents, royalties, license fees Interest Deprec not deduc elsewhere Depletion Taxes Other deductions Total deductions Net income or (loss)
Extraordinary items & pr pd adj

30,219,984

3,357,776

30,219,984

3,357,776

13,040,415 13,040,415 17,179,569

1,448,935 1,448,935 1,908,841

See Attachment 11

Provision for incm,war profits
Current year net income (loss)

1 2a 2b 3 4 5 6 7 8a 8b

Income, War Profits, and Excess Profits Taxes Paid or Accrued Country or U.S. possession . Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Country or U.S. possession Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Total Balance Sheet (a) Beginning of (b) End of annual Assets annual acct period acct period Cash 650,000 2,299,236 460,000 Trade notes and accts recvble Less allowances for bad debts Inventories Other current assets Loan to shareholders Investment in subsidiaries Other investments Bldgs & other deprec assets Less accumulated deprec

118

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2
9a 9b 10 11a 11b 11c 11d 12 13

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Depletable assets Less accumulated deprec Land Intangible assets-Goodwill Intangible assets-Org costs Intangible assets-Patents,etc Intangible assets-Less accum See Attachment 12

Other assets 17,793,000 17,793,000 Total assets 18,443,000 20,552,236 Liabilities Accounts payable 14 0 200,395 Other current liabilities 15 Loans fm shareholders 16 Other liabilities 17 Capital stock – Preferred 18a Capital stock – Common 18b 17,650,000 17,650,000 Paid-in or capital surplus 19 Retained earnings 20 793,000 2,701,841 Less cost of treasury stock 21 Total liabilities & shrhldr equi 22 18,443,000 20,552,236 Sch G Other Information Line Description Line Amount / Info Write-in / Literal Frgn corp owned > 10% int 1 chckbx No Frgn corp owned int in stock No 2 chckbx Frgn corp owned frgn 3 entities disre No Sch H Current Earnings and Profits Current year net income 1 17,179,569 Net Additions Net Subtractions Capital gains or losses 2a 2b Depreciation and amortization 2c Depletion 2d Investment or incentive allw 2e Charges to statutory reserves 2f Inventory adjustments 2g Taxes 2h Other Total net additions 3 Total net subtraction 4 Current earnings & profits 5a 17,179,569 DASTM gain or (loss) 5b Combine lines 5a and 5b 5c 17,179,569 Current E&P in U.S. dollars 5d 1,908,841 Sch I Summary of Shareholder’s Income Line Description Line Amount / Info Write-in / Literal Subpart F income 1 1,908,841 Earnings invested in US prop 2

Write-in / Literal

119

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2
3 4 5 6 7 8

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Prev excld subpart F incm Prev excld export trade incm Factoring income Total of lines 1 through 5 Dividends received Exchange gain or (loss) Incm of frgn corp blk’d chckbx
Frgn corp incmn unblk’d chckbx

1,908,841

No No

120

Hide ‘N Such, Inc.

11-0000002

Sch J (F5471) Test 2

Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation
Line Amount / Information Hide ‘N Such, Inc. 11-0000002 Foreign Corporation #1 7,137,000

2006

1(a) 1(b) 1(c)(i) 1(c)(ii) 1(c) (iii) 1(d) 2a(a) 2b(a) 3(a) 3(b) 4(a) 4(b) 4(c)(i) 4(c)(ii) 4(c) (iii) 5a(c) (i) 5a(c) (ii) 5a(c) (iii) 5b(a) 5b(b) 6a(c) (i) 6a(c) (ii) 6a(c)

Line Description Name of person filing Form 5471 Identifying number Name of foreign corporation Balance Beginning of Yr – Post1986 Undistributed Earnings Balance Beginning of Yr – Pre-1987 E&P Not Previous Taxed Balance Beginning of Yr – Earnings Invested US Property Balance Beginning of Yr – Earnings Invested Excess Passive Balance Beginning of Yr – Subpart F Income Balance Beginning of Yr – Total Sec 964(a) E&P CY E&P – Post 1986 Undist Earn CY deficit in E&P – Post-1986 Undistributed Earnings Total E&P not previously taxed – Post-1986 Undistributed Earnings Total E&P not previously taxed – Pre-1987 not previously taxed Sec 951(a), 959(c) – Post-1986 Undistributed Earnings Sec 951(a), 959(c) – Pre-1987 E&P Not Previous Taxed Sec 951(a), 959(c) – Earnings Invested US Property Sec 951(a), 959(c) – Earnings Invested Excess Passive Sec 951(a), 959(c) – Subpart F Income Actual dist nonpreviously taxed – Earnings Invested US Property Actual dist nonpreviously taxed – Earnings Invested Excess Passive Actual dist nonpreviously taxed – Subpart F Income Actual dist previously taxed – Post1986 Undistributed Earnings Actual dist previously taxed – Pre1987 E&P Not Previous Taxed Balance of previously taxed E&P – Earnings Invested US Property Balance of previously taxed E&P – Earnings Invested Excess Passive Balance of previously taxed E&P –

Write-in / Literal / Attachments

7,137,000 14,274,000 17,179,569

24,316,569

24,316,569

24,316,569

31,453,569

121

Hide ‘N Such, Inc.

11-0000002

Sch J (F5471) Test 2

Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation

2006

(iii) 6b(a) 6b(b) 7(a) 7(b) 7(c)(i) 7(c)(ii) 7(c) (iii) 7(d)

Subpart F Income Balance of E&P not prev taxed – Post-1986 Undistributed Earnings Balance of E&P not prev taxed – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Post-1986 Undistributed Earnings Balance At end of Yr – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Earnings Invested US Property Balance At end of Yr – Earnings Invested Excess Passive Balance At end of Yr – Subpart F Income Balance At end of Yr – Total Sec 964(a) E&P

31,453,569 31,453,569

122

Hide ‘N Such, Inc.

11-0000002

Schedule M (5471) Test 2

Transactions Between Controlled Foreign Corporation and Shareholders or Other Related Persons

2006

Name of person filing Form 5471: Hide ‘N Such Foods, Inc. Identifying number: 11-0000002 Name of foreign corporation: Foreign Corporation #1 Relevant functional currency and exchange rate used throughout this schedule: US 0.1111 (a) Transactions of (b) U.S. (c) Any dom (d) Any (e)10% or (f) 10% or foreign corporation person filing corp or other foreign more (other more corp this return partnership corp than U.S. controlling person) frgn corp Sales of stock in trade 1 Sales of prop rights 2 Compensation rec'd 3 Commissions received 4 Rents, royalties, & lic 5 Dividends received 6 Interest received 7 Premiums received 8 Add lines 1 through 8 9 10 Purchases of stock 11 Purch of tangible prop 12 Purch of prop rights 13 Compensation paid 1,448,935 14 Commissions paid 15 Rents, royalties, & lic 16 Dividends paid 17 Interest paid 18 Add lines 10 thru 17 1,448,935 19 Amounts borrowed 20 Amounts loaned

123

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Annual Accounting Period beginning 01/01 , 2006, ending 12/31 , 2006 Part I Reporting Corporation Name and Address: Hide ‘N Such Foods, Inc, 32 Any Street, Anytown, TX 73323 Line Description Line Amount / Info Write-in / Literal EIN A 11-0000002 Category of filer checkboxes B Box 4 and 5 Checked Total % of frgn corp stock C 100 Filer’s tax year beginning 01/01 , 2006, ending 12/31 , 2006 Name D(1) Address D(2) Identifying Number D(3) Check applicable boxes D(4) Foreign Corp. #2 65 Any Street, Name/address of frgn corp 1a Anytown, Uruguay EIN, if any 1b Cnty whose laws incorp 1c United Kingdom Date of Incorporation 1d 05/13/73 Principal place of business 1e United Kingdom Principal business act code 1f 522110 Principal business activity 1g Financing Functional currency 1h British Pound U.S. name, address, EIN 2a Taxable income or (loss) 2b(i) 2b(ii) U.S. income tax paid Frgn corp name, address 2c Name, add of person w/ bks 2d Sch A Stock of the Foreign Corporation Desc of each class of stock (a) Common (b)(i) Beg of annual acct period 1000 (b)(ii) End of annual acct period 1000 Desc of each class of stock (a) Common (b)(i) Beg of annual acct period 24,998,400 (b)(ii) End of annual acct period 24,998,400 Sch B U.S. Shareholders of Foreign Corporation Hide ‘N Such Foods, Inc 32 Any Street, Anytown, TX 73323 Name, add, EIN of shrholdr (a) 11-0000002 Desc of each class of stock (b) Common Number shares held at beg (c) 1000 Number shares held at end (d) 1000 Desc of each class of stock (b) Common Number shares held at beg (c) 24,998,400 Number shares held at end (d) 24,998,400 Pro rata share of subpart F (e) 100% Sch C Income Statement Func Curr US Dollars Gross receipt or sales 1a

124

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2
1b 1c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Sch E 1(a) 1(b) 1(c) 1(d) 2(a) 2(b) 2(c) 2(d) 8 Sch F

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Returns and allowances Subtract line 1b fm line 1a Cost of goods sold Gross profit
Dividends

Interest Gross,rents,royalties,lic fees Net gain or (loss) Other income Total income Compensation of officers Rents, royalties, license fees Interest Deprec not deduc elsewhere Depletion Taxes Other deductions Total deductions Net income or (loss)
Extraordinary items & pr pd adj

2,766,400

395,200

2,766,400

395,200

2,766,400

395,200

Provision for incm,war profits 2,766,400 395,200 Income, War Profits, and Excess Profits Taxes Paid or Accrued Country or U.S. possession . Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Country or U.S. possession Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Total Balance Sheet (a) Beginning of (b) End of annual Assets annual acct period acct period Cash 395,200
Current year net income (loss) Trade notes and accts recvble Less allowances for bad debts

1 2a 2b 3 4 5 6 7 8a 8b 9a 9b 10 11a 11b

Inventories Other current assets Loan to shareholders Investment in subsidiaries Other investments Bldgs & other deprec assets Less accumulated deprec Depletable assets Less accumulated deprec Land Intangible assets-Goodwill Intangible assets-Org costs

125

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2
11c 11d 12 13

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Intangible assets-Patents,etc Intangible assets-Less accum

See Attachment Other assets 4,000,000 4,000,000 13 Total assets 4,000,000 4,395,200 Liabilities Accounts payable 14 195,846 195,846 Other current liabilities 15 Loans fm shareholders 16 Other liabilities 17 Capital stock – Preferred 18a Capital stock – Common 18b 2,500,156 2,500,156 Paid-in or capital surplus 19 Retained earnings 20 1,303,998 1,699,198 Less cost of treasury stock 21 Total liabilities & shrhldr equi 22 4,000,000 4,395,200 Sch G Other Information Line Description Line Amount / Info Write-in / Literal / Attachments Frgn corp owned > 10% int 1 chckbx No Frgn corp owned int in stock No 2 chckbx Frgn corp owned frgn entities disre 3 No Sch H Current Earnings and Profits Current year net income 1 2,766,400 Net Additions Net Subtractions Write-in / Literal Capital gains or losses 2a 2b Depreciation and amortization 2c Depletion 2d Investment or incentive allw 2e Charges to statutory reserves 2f Inventory adjustments 2g Taxes 2h Other Total net additions 3 Total net subtraction 4 Current earnings & profits 5a 2,766,400 DASTM gain or (loss) 5b Combine lines 5a and 5b 5c 2,766,400 Current E&P in U.S. dollars 5d 395,200 Sch I Summary of Shareholder’s Income Line Description Line Amount / Info Write-in / Literal / Attachments Subpart F income 1 395,200 Earnings invested in US prop 2 Prev excld subpart F incm 3 Prev excld export trade incm 4 Factoring income 5 Total of lines 1 through 5 6 395,200 Dividends received 7

126

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2
8

Information Return of U.S. Persons With Respect to Certain Foreign Corporations
No No

2006

Exchange gain or (loss) Incm of frgn corp blk’d chckbx
Frgn corp incmn unblk’d chckbx

127

Hide ‘N Such, Inc.

11-0000002

Sch J (F5471) Test 2

Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation
Line Amount / Information Hide ‘N Such, Inc. 11-0000002 Foreign Corporation #2 9,127,986

2006

1(a) 1(b) 1(c)(i) 1(c)(ii) 1(c) (iii) 1(d) 2a(a) 2b(a) 3(a) 3(b) 4(a) 4(b) 4(c)(i) 4(c)(ii) 4(c) (iii) 5a(c) (i) 5a(c) (ii) 5a(c) (iii) 5b(a) 5b(b) 6a(c) (i) 6a(c) (ii) 6a(c)

Line Description Name of person filing Form 5471 Identifying number Name of foreign corporation Balance Beginning of Yr – Post1986 Undistributed Earnings Balance Beginning of Yr – Pre-1987 E&P Not Previous Taxed Balance Beginning of Yr – Earnings Invested US Property Balance Beginning of Yr – Earnings Invested Excess Passive Balance Beginning of Yr – Subpart F Income Balance Beginning of Yr – Total Sec 964(a) E&P CY E&P – Post 1986 Undist Earn CY deficit in E&P – Post-1986 Undistributed Earnings Total E&P not previously taxed – Post-1986 Undistributed Earnings Total E&P not previously taxed – Pre-1987 not previously taxed Sec 951(a), 959(c) – Post-1986 Undistributed Earnings Sec 951(a), 959(c) – Pre-1987 E&P Not Previous Taxed Sec 951(a), 959(c) – Earnings Invested US Property Sec 951(a), 959(c) – Earnings Invested Excess Passive Sec 951(a), 959(c) – Subpart F Income Actual dist nonpreviously taxed – Earnings Invested US Property Actual dist nonpreviously taxed – Earnings Invested Excess Passive Actual dist nonpreviously taxed – Subpart F Income Actual dist previously taxed – Post1986 Undistributed Earnings Actual dist previously taxed – Pre1987 E&P Not Previous Taxed Balance of previously taxed E&P – Earnings Invested US Property Balance of previously taxed E&P – Earnings Invested Excess Passive Balance of previously taxed E&P –

Write-in / Literal / Attachments

9,127,986 2,766,400

11,894,386

2,766,400

2,766,400

2,766,400

128

Hide ‘N Such, Inc.

11-0000002

Sch J (F5471) Test 2

Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation
9,127,986

2006

(iii) 6b(a) 6b(b) 7(a) 7(b) 7(c)(i) 7(c)(ii) 7(c) (iii) 7(d)

Subpart F Income Balance of E&P not prev taxed – Post-1986 Undistributed Earnings Balance of E&P not prev taxed – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Post-1986 Undistributed Earnings Balance At end of Yr – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Earnings Invested US Property Balance At end of Yr – Earnings Invested Excess Passive Balance At end of Yr – Subpart F Income Balance At end of Yr – Total Sec 964(a) E&P

9,127,986

2,766,400 11,894,386

129

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Annual Accounting Period beginning 01/01 , 2006, ending 12/31 , 2006 Part I Reporting Corporation Name and Address: Hide ‘N Such, Inc., 32 Any Street, Anytown, TX 73323 Line Description Line Amount / Info Write-in / Literal EIN A 11-0000002 Category of filer checkboxes B Box 3, 4 and 5 Checked Attachment 23 Total % of frgn corp stock C 100 Filer’s tax year beginning 01/01 , 2006, ending 12/31 , 2006 Name D(1) Address D(2) Identifying Number D(3) Check applicable boxes D(4) Foreign Corp. #3 66 Any Street, Name/address of frgn corp 1a Anytown, Uruguay EIN, if any 1b Cnty whose laws incorp 1c Canada Date of Incorporation 1d 9/30/2004 Principal place of business 1e Canada Principal business act code 1f 522110 Principal business activity 1g Financing Functional currency 1h Canadian Dollar U.S. name, address, EIN 2a Taxable income or (loss) 2b(i) 2b(ii) U.S. income tax paid Frgn corp name, address 2c Name, add of person w/ bks 2d Sch A Stock of the Foreign Corporation Desc of each class of stock (a) Common (b)(i) Beg of annual acct period 0 (b)(ii) End of annual acct period 1,000 Sch B U.S. Shareholders of Foreign Corporation Hide ‘N Such Foods, Inc 32 Any Street, Anytown, TX 73323 Name, add, EIN of shrholdr (a) 11-0000002 Desc of each class of stock (b) Common Number shares held at beg (c) 0 Number shares held at end (d) 640 Pro rata share of subpart F (e) 64% Shareholder Company #1 67 Anystreet Anytown, TX 73323 Name, add, EIN of shrholdr (a) 11-0000048 Desc of each class of stock (b) Common Number shares held at beg (c) 0 Number shares held at end (d) 360 Pro rata share of subpart F (e) 36% Sch C Income Statement

130

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2

Information Return of U.S. Persons With Respect to Certain Foreign Corporations
Func Curr US Dollars

2006

1a 1b 1c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Sch E 1(a) 1(b) 1(c) 1(d) 2(a) 2(b) 2(c) 2(d) 8 Sch F

Gross receipt or sales Returns and allowances Subtract line 1b fm line 1a Cost of goods sold Gross profit
Dividends

Interest Gross,rents,royalties,lic fees Net gain or (loss) Other income Total income Compensation of officers Rents, royalties, license fees Interest Deprec not deduc elsewhere Depletion Taxes Other deductions Total deductions Net income or (loss)
Extraordinary items & pr pd adj

114,663 35,714

80,264 25,000

150,377 (150,377)

105,264 (105,264)

Provision for incm,war profits (150,377) (105,264) Income, War Profits, and Excess Profits Taxes Paid or Accrued Country or U.S. possession Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Country or U.S. possession Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Total Balance Sheet (b) End of (a) Beginning of annual acct Assets annual acct period period Cash 498
Current year net income (loss) Trade notes and accts recvble Less allowances for bad debts

1 2a 2b 3 4 5 6 7 8a 8b 9a 9b

Inventories Other current assets Loan to shareholders Investment in subsidiaries Other investments Bldgs & other deprec assets Less accumulated deprec Depletable assets Less accumulated deprec

131

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2
10 11a 11b 11c 11d 12 13

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Land Intangible assets-Goodwill Intangible assets-Org costs Intangible assets-Patents,etc Intangible assets-Less accum Other assets Total assets Liabilities Accounts payable 14 Other current liabilities 15 Loans fm shareholders 16 Other liabilities 17 Capital stock – Preferred 18a Capital stock – Common 18b Paid-in or capital surplus 19 Retained earnings 20 Less cost of treasury stock 21 Total liabilities & shrhldr equi 22 Sch G Other Information Line Description Line Amount / Info Frgn corp owned > 10% int 1 chckbx No Frgn corp owned int in stock No 2 chckbx Frgn corp owned frgn entities disre 3 No Sch H Current Earnings and Profits Current year net income 1 (150,377) Net Additions

498 297 105,165

300

(105,264) 498 Write-in / Literal / Attachments

Net Subtractions

Write-in / Literal

Capital gains or losses 2a 2b Depreciation and amortization 2c Depletion 2d Investment or incentive allw 2e Charges to statutory reserves 2f Inventory adjustments 2g Taxes 2h Other Total net additions 3 Total net subtraction 4 Current earnings & profits 5a (150,377) DASTM gain or (loss) 5b Combine lines 5a and 5b 5c (150,377) Current E&P in U.S. dollars 5d (150,377) Sch I Summary of Shareholder’s Income Line Description Line Amount / Info Write-in / Literal / Attachments Subpart F income 1 Earnings invested in US prop 2 Prev excld subpart F incm 3 Prev excld export trade incm 4

132

Hide ‘N Such, Inc.

11-0000002

Form 5471 Test 2
5 6 7 8

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Factoring income Total of lines 1 through 5 Dividends received Exchange gain or (loss) Incm of frgn corp blk’d chckbx
Frgn corp incmn unblk’d chckbx

No No

133

Hide ‘N Such, Inc.

11-0000002

Sch J (F5471) Test 2

Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation
Line Amount / Information Hide ‘N Such, Inc. 11-0000002 Foreign Corporation #3

2006

1(a) 1(b) 1(c)(i) 1(c)(ii) 1(c) (iii) 1(d) 2a(a) 2b(a) 3(a) 3(b) 4(a) 4(b) 4(c)(i) 4(c)(ii) 4(c) (iii) 5a(c) (i) 5a(c) (ii) 5a(c) (iii) 5b(a) 5b(b) 6a(c) (i) 6a(c) (ii) 6a(c)

Line Description Name of person filing Form 5471 Identifying number Name of foreign corporation Balance Beginning of Yr – Post1986 Undistributed Earnings Balance Beginning of Yr – Pre-1987 E&P Not Previous Taxed Balance Beginning of Yr – Earnings Invested US Property Balance Beginning of Yr – Earnings Invested Excess Passive Balance Beginning of Yr – Subpart F Income Balance Beginning of Yr – Total Sec 964(a) E&P CY E&P – Post 1986 Undist Earn CY deficit in E&P – Post-1986 Undistributed Earnings Total E&P not previously taxed – Post-1986 Undistributed Earnings Total E&P not previously taxed – Pre-1987 not previously taxed Sec 951(a), 959(c) – Post-1986 Undistributed Earnings Sec 951(a), 959(c) – Pre-1987 E&P Not Previous Taxed Sec 951(a), 959(c) – Earnings Invested US Property Sec 951(a), 959(c) – Earnings Invested Excess Passive Sec 951(a), 959(c) – Subpart F Income Actual dist nonpreviously taxed – Earnings Invested US Property Actual dist nonpreviously taxed – Earnings Invested Excess Passive Actual dist nonpreviously taxed – Subpart F Income Actual dist previously taxed – Post1986 Undistributed Earnings Actual dist previously taxed – Pre1987 E&P Not Previous Taxed Balance of previously taxed E&P – Earnings Invested US Property Balance of previously taxed E&P – Earnings Invested Excess Passive Balance of previously taxed E&P –

Write-in / Literal / Attachments

150,377 (150,377)

134

Hide ‘N Such, Inc.

11-0000002

Sch J (F5471) Test 2

Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation
(150,377)

2006

(iii) 6b(a) 6b(b) 7(a) 7(b) 7(c)(i) 7(c)(ii) 7(c) (iii) 7(d)

Subpart F Income Balance of E&P not prev taxed – Post-1986 Undistributed Earnings Balance of E&P not prev taxed – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Post-1986 Undistributed Earnings Balance At end of Yr – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Earnings Invested US Property Balance At end of Yr – Earnings Invested Excess Passive Balance At end of Yr – Subpart F Income Balance At end of Yr – Total Sec 964(a) E&P

(150,377)

(150,377)

135

Hide ‘N Such, Inc.

11-0000002

Schedule M (5471) Test 2

Transactions Between Controlled Foreign Corporation and Shareholders or Other Related Persons

2006

Name of person filing Form 5471: Hide ‘N Such, Inc. Identifying number: 11-0000002 Name of foreign corporation: Foreign Corporation #3 Relevant functional currency and exchange rate used throughout this schedule: US 0.7000 (a) Transactions of (b) U.S. (c) Any dom (d) Any (e)10% or (f) 10% or foreign corporation person filing corp or other foreign more (other more corp this return partnership corp than U.S. controlling person) frgn corp 1 Sales of stock in trade 2 Sales of prop rights 3 Compensation rec'd 4 Commissions received 5 Rents, royalties, & lic 6 Dividends received 7 Interest received 8 Premiums received 9 Add lines 1 through 8 10 Purchases of stock 11 Purch of tangible prop 12 Purch of prop rights 13 Compensation paid 14 Commissions paid 15 Rents, royalties, & lic 16 Dividends paid 17 Interest paid 18 Add lines 10 thru 17 19 Amounts borrowed 105,165 20 Amounts loaned

136

Hide ‘N Such, Inc.

11-0000002

Sch O (F5471) Test 2

Organization or Reorganization of Foreign Corporation, and Acquisitions and Dispositions of its Stock

2006

Part I (a) (b) (c) (d) (e) Part II

(a) (b)(1) (b)(2) (b)(3) (c) Part II (a) (b) (c) (d) Part II (a) (b) (c) (d) (e)(1) (e)(2) (e)(3) (f)

(g) Part II (a) (b) (c) (d) (e)(1) (e)(2) (e)(3) (f) (g)

Line Amount / Write-in / Literal / Line Description Information Attachments Name of person filing: Hide ‘N Such, Inc. EIN 11-0000002 Name of foreign corporation Foreign Corporation #3 To Be Completed by U.S. Officers and Directors Name of shareholder Address of shareholder Identifying number Date of original 10% acquisition Date of additional 10% acquisition Sec A - To Be Completed by U.S. Shareholders Hide ‘N Such, Inc. 32 Any Street Anytown, TX 71232 Name, address, ID number 11-0000002 Type of return 1120 Date return filed 09/15/2006 IRS Center where filed OSPC Date shareholder last filed Sec B – U.S. Persons Who Are Officers or Directors of the Foreign Corporation Name of officer or director Address Social security number Officer or Director checkbox Sec C – Acquisition of Stock Name of shareholder(s) Hide ‘N Such, Inc. Class of stock acquired Common Date of acquisition 10/16/2006 Method of acquisition Stock Purchase Number share acquired - Directly 640 Number share acquired -Indirectly Number share acquired -Constrvly Amount paid or value given 192 Sue Doe, Name, address of person fm whom 68 Any Street, shares acquired Anytown, TX 71232 Sec D – Disposition of Stock Name of shareholder(s) Class of stock Date of disposition Method of disposition Num share disposed-Directly Num share disposed-Indirectly Num share disposed-Constrly Amount received Name, address of person to whom disposition made

137

Hide ‘N Such, Inc.

11-0000002

Sch O (F5471) Test 2

Organization or Reorganization of Foreign Corporation, and Acquisitions and Dispositions of its Stock

2006

Part II (a) (b) (c) (d)(1) (d)(2) (d)(3)

Sec E – Organization or Reorganization of Foreign Corporation Name, address of transferor Identifying number Date of transfer Description of assets Fair market value Adjusted basis Line Description Line Amount / Info Description of assets transferred (e) Part II Sec F – Additional Information Filed return last 3yrs (a) Date of reorganization last 4 yrs (b) Member of group constituting a chain of ownership (c)

Write-in / Literal

138

Hide ‘N Such, Inc.

11-0000002

Hide ‘N Such, Inc. 11-0000002 Foreign Corporation #3 Form 5471, Schedule O Part II, Schedule F – Additional Information (c)

Hide ‘N Such, Inc

100%

100%

64%

Foreign Corporation #1

Foreign Corporation #2

Foreign Corporation #3
36%

Shareholder Company #1

139

Hide ‘N Such, Inc.

11-0000002

Form 8827
Line Description

Credit for Prior Year Minimum Tax
Line Amount / Information Hide ‘N Such, Inc. 11-0000002 9,485,794 5,390,162

2006
Write-in / Literal / Attachments

1 2 3

4 5 6 7 8 9

Name EIN Alternative minimum tax (AMT) for 2005 Minimum tax credit carryforward from 2005 2005 unallowed nonconventional source fuel credit and unallowed qualified electric vehicle credit Add lines 1,2, and 3 Corporation's 2006 reg income tax liability minus allowable tax credits Is corporation a "small corporation "exempt from AMT for 2006? Subtract line 6 from line 5. If zero or less, enter 0 Minimum tax credit Minimum tax credit carryforward to 2007

14,875,956 29,116,352 17,799,010 11,317,342 11,317,342 3,558,614

140

Anywhere Telecommunications, Inc.

11-0000003

TEST SCENARIO 3 FORMS REQUIRED: 1120, Sch D, 4626, 4797, 4562, 6198, 8275, 8453-C ATTACHMENTS: ItemizedOtherCostsSchedule AnyoneOwned50PctOfCorpVotingStockStatement ItemizedOtherCurrentLiabilitiesSchedule ItemizedIncomeNotRecordedOnBooksSchedule ItemizedOtherDecreasesSchedule

BINARY ATTACHMENTS: Scanned Form 8453-C (8453 Signature Document) HEADER INFO: Tax Period: Preparer Firm Fiscal Year Filer 02/01/06 – 01/31/07 Electronic Tax Filers, Inc. 100 Efile Drive Anytown, TX 78621 11-0000011

MultipleSoftwarePackagesUsed: Yes or No Originator: EFIN: Self-select Type: ERO Practioner PIN: N/A EFIN: N/A PIN: N/A PIN Entered by: N/A Binary Attachment 8453 Signature Document 1120 EIN: 11-0000003 Name: Anywhere Telecommunications, Inc. Name Control: ANYW Address: 33 Any Street Anytown, ND 58204 Name: Susan Swan Title: Chief Executive Officer Taxpayer PIN: N/A Phone: 301-555-1212 Email Address: DateSigned: 02/10/07

Signature Option: Return Type: Filer:

Officer:

Preparer:

Name: Johnny Appleseed
141

Anywhere Telecommunications, Inc.

11-0000003

SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: Date Prepared: 02/03/07 Self Employed: Yes IRS PAYMENT: DIRECT DEPOSIT: N/A N/A

Details for attachments to Form 1120

Attachment 1, Form 1120, Page 2, Sch A, Line 5, Other Costs (ItemizedOtherCostsSchedule) Allocation of Cost of Goods Sold Cost of Service Total 2,877 105,665 108,542

Attachment 2, Form 1120, Page 3, Sch K, Line 5, 50% or More of Voting Stock (AnyoneOwned50PctOfCorpVotingStockStatement) Name: Counselor #1 Employer ID: 11-0000014

Attachment 3, Form 1120, Page 4, Sch L, Line 18, Other Current Liabilities (ItemizedOtherCurrentLiabilitiesSchedule) Beginning 146,300 1,173,504 1,319,804 Ending 2,844 1,253,703 1,256,547

Accrued Benefits Miscellaneous Total

Attachment 4, Form 1120, Page 4, Sch M-1, Line 4, Itemized Schedule of Income Not Recorded on Books (ItemizedIncomeNotRecordedOnBooksSchedule) Income From Partnerships Attachment 5, Form 1120, Page 4, Sch M-2, Line 6, Other decreases (ItemizedOtherDecreasesSchedule) 1,044,688

Prior Period Adjustment Total

1,058,746 1,058,746
142

Anywhere Telecommunications, Inc.

11-0000003

Form 1120 Test 3

U.S. Corporation Income Tax

2006

Calendar Year 2006 or tax year beginning 02/01 , 2006, ending 01/31 , 2006 Check if: 1,2,3,4 A Employer EIN B 11-0000003 Name and Address: Anywhere Telecommunications, Inc, 33 Any Street, Anytown, ND 58204 Date of incorporated C 07/31/1984 Total assets D 3,079,878 Check applicable boxes E Line Description Line Amount Write-in / Literal / Attachments Gross Receipts or sales 1a 473,225 Less returns and allowances 1b Balance 1c 473,225 Cost of goods sold (Sch A, line 8) 2 108,542 Gross profit. Subtract line 2 from line 3 364,683 1c Dividends 4 Interest 5 Gross rents 6 Gross royalties 7 104,683 Capital gain net income 8 1,791,022 Net gain or (loss) F4797 9 Other Income 10 Total income. Add lines 3 through 10 11 2,260,388 Compensation of officers 12 Salaries and wages (less employment 13 103,602 credits) Repairs and maintenance 14 1,373 Bad debts 15 Rents 16 18,085 Taxes and licenses 17 Interest 18 Charitable contributions 19 Depreciation (attach Form 4562) 20a 42,040 Depletion 21 Advertising 22 Pension, profit-sharing, etc., plans 23 22,028 Employee benefit programs 24 Domestic production act. 25 Other deductions (attach schedule) 26 Total deductions ( add lines 12 – 26 27 187,128 Taxable income before net operating 28 2,073,260 loss deduction Less NOL deduction 29a Less special deductions 29b Total NOL deduction 29c Taxable income 30 2,073,260 Total tax 31 704,908 Payments: 32a 2006 estimated tax payment 32b 800,000 Less 2006 refund applied for 32c Balance 32d 800,000

143

Anywhere Telecommunications, Inc.

11-0000003

Form 1120 Test 3
32e 32f (1) 32f (2) 32g 32h 33 34 35 36 36

U.S. Corporation Income Tax
Line Amount

2006
Write-in / Literal / Attachments

Line Description Tax deposited w/ F7004 Credit from F2439 Credit from F4136 Credit from tele excise tax F8913 Total Payments Estimated tax penalty Tax Due. Overpayment Credit to 2007 estimated tax Refund May IRS discuss? Preparer's SSN or PTIN: Preparer Firm's name/address:

800,000

95,092 95,092 Yes 999-06-0007 Electronic Tax Filers, Inc 100 Efile Drive, Anytown, TX 78621 11-0000011 512-555-1212

Preparer's EIN: Preparer's Phone no.: Schedule A Cost of Goods Sold Inventory at beginning of year 1 Purchases 2 Cost of labor 3 Additional section 263A cost 4 Other costs 5 Total 6 Inventory at the end of year 7 Cost of goods sold 8 Cost as described in Reg 1.471-3 9a (i) Lower of cost or market 9a (ii) Other 9a (iii) Check if writedown 9b Check if the LIFO… 9c If the LIFO inventory … 9d Sec 263A rules apply 9e Change in determining quantities, 9f cost, valuations? Schedule C Dividends and Special Deductions Dividends fm < 20% domestic corp 1 Dividends fm > 20% domestic corp 2 Dividends fm debt-financing 3 Dividends fm certain preferred stock < 4 20% Dividends fm certain preferred stock > 5 20% Dividends fm < 20% foreign corp 6

108,542 108,542 108,542

See Attachment 1

Checked

No No

144

Anywhere Telecommunications, Inc.

11-0000003

Form 1120 Test 3
7

U.S. Corporation Income Tax
Line Amount

2006
Write-in / Literal / Attachments

Dividends fm > 20% foreign corp Line Description Dividends fm wholly own 8 Total 9 Dividends fm domestic corp 10 Dividends fm affiliated group member 11 Dividends fm control group FSC 12 Dividends fm foreign corp 13 Income fm control foreign corp 14 Foreign dividends gross-up 15 IC-DISC and former DIS 16 Other dividends 17 Deduction for dividends 18 Total dividends 19 Total special dividends 20 Schedule E Compensation of Officers Name of officer 1(a) 1(b) SSN % of time devoted to bus 1(c) 1(d) % of common stock own % of preferred stock own 1(e) Amount of compensation 1(f) Total compensation 2 Comp claimed on Sch A 3 Subtract line 3 fm line 2 4 Schedule J Tax Computation Check if cntrl group mbr 1 Income tax – check PSC 2 Alternative minimum tax 3 Add lines 2 and 3 4 Foreign tax cr – F1118 5a Qualified electric cr 5b General business credit 5c Credit from prior year 5d Bond credit from 8860; 8912 5e Total credits 6 Subtract line 6 fm ln 4 7 Personal holding com tx 8 Other taxes – check if. 9 Total tax 10 Schedule K Other Information Cash 1(a) 1(b) Accrual Other 1(c) Business activity code 2(a) 2(b) Business Activity Product or Service 2(c) Corp own 50% or more? 3 Sub in affiliated group? 4 Indiv own 50% or more? 5 Line Description Percentage owned 5

704,908 0 704,908

704,908

704,908

Checked 624100 Family Services Family Services No No Yes Line Amount 100

See Attachment 2 Write-in / Literal / Attachments

145

Anywhere Telecommunications, Inc.

11-0000003

Form 1120 Test 3

U.S. Corporation Income Tax
No No

2006

Corp paid dividends? 6 Foreign owned > 25% 7 Percentage owned 7a Owner’s country 7b Number of F5472 attach 7c Issued pub offrd debt ins 8 Tax-exempt interest rcvd 9 Number of shareholders 10 Has NOL forego cybk pd 11 Avail NOL cybk fm pr yr 12 Total receipts less than $250,000? 13 Schedule L Balance Sheets per Books Beginning of tax year

1,064,615

No End of tax year Write-in / Literal / Attachments

1 2a 2b 3 4 5 6 7 8

9 10a 10b 11a 11b 12 13a 13b 14 15 16 17

Assets Cash Trade notes Less allowance Inventories U.S. govt oblig Tax-exempt securities Other current assets Loans to shareholders Mortgage & real estate loan Other investments Bldgs & other deprec assets Less accumulated deprec
Depletable assts

(a) 1,765,346 (2,000)

(b) 1,714,930

(c) 1,050,698

(d) 1,723,702

1,763,346

(2,000)

1,048,698

320,264 (115,865) 204,399

446,364 (138,886) 307,478

Less accumulated depletion Land Intangible assets Less accum amortization Other assets Total assets Liabilities Accounts payable Mortgages, notes, bonds payable < 1yr

1,964,222 1,964,222 3,682,675 (b) 1,723,680

1,964,222 1,964,222 3,079,878 (d) 991,540

(a)

(c)

146

Anywhere Telecommunications, Inc.

11-0000003

Form 1120 Test 3
18

U.S. Corporation Income Tax

2006

Other current See 1,319,804 1,256,547 Attachment 3 liabilities Loans from 19 shareholders Mortgages, 20 notes, bonds payable > 1yr Other liabilities 21 Cap stock-Pref 22a Cap stock 22b Common 25,000 25,000 25,000 25,000 Additional paid 23 –in capital Retained earn24 ingsAppropria Retained earn25 ings- Unappro 614,191 806,791 Adjustments to 26 shareholders equity Less cost of 27 treasury stock Total liabilities 28 & shareholders equity 3,682,675 3,079,878 Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Return Line Description Line Amount Write-in / Literal / Attachments Net Income 1 1,251,346 Fed income tax per bks 2 862,950 Excess of capital loss 3 Income taxed not recrd 4 1,044,688 See Attachment 4 Expenses recorded on books 5 Depreciation 5a Charitable contribution 5b Travel & entertainment 5c Line 5 total 5 Add lines 1 – 5 6 3,158,984 Tax-exempt interest 7 1,064,615 Income recorded on books (itemize) 7 Line 7 total 7 1,064,615 Deductions not charged against book 8 (itemize) Depreciation 8a 21,109 Charitable contribution 8b Line 8 total 8 21,109 Add lines 7 & 8 9 1,085,724 Income 10 2,073,260 Schedule M-2 Analysis of Unappropriated Retained Earning per Books Balance at beg of year 1 614,191 Line Description Line Amount Write-in / Literal / Attachments Net incm (loss) per bk 2 1,251,346 Other increases 3
147

Anywhere Telecommunications, Inc.

11-0000003

Form 1120 Test 3
4 5a 5b 5c 6 7 8

U.S. Corporation Income Tax
1,865,537

2006

Add lines 1, 2, and 3 Distributions - Cash Distributions – Stock Distributions – Property Other decreases Add lines 5 and 6 Balance at end of year

1,058,746 1,058,746 806,791

See Attachment 5

148

Anywhere Telecommunications, Inc.

11-0000003

Sch D (1120) Test 3

Capital Gains and Losses

2006

Name: Anywhere Telecommunications, Inc. EIN: 11-0000003 Part I Short-Term Capital Gains & Losses 1(a) 1(b) 1(c) 1(d) 1(e) 1(f) 2 3 4 5 Part II 6(a) 6(b) 6(c) 6(d) 6(e) 6(f) 7 8 9 10 11 Part III 12 13 14 Description of Property Date acquired Date sold Sales price Cost or other basis Gain or loss Short-term capital gain from installment sales Short-term capital gain from like-kind exchanges Unused capital loss carryover Net short-term capital gain or loss Long-Term Capital Gains & Losses Description of property Date acquired Date sold Sales price Cost or other basis Gain or loss Enter gain from Form 4797, line 7 or 9 Long-term capital gain from installment sales Long-term capital gain or loss from likekind exchanges Capital gain distributions Net long-term capital gain or loss Summary of Parts I and II Excess of net short-term capital gain over net long-term capital loss Net capital gain Add lines 12 & 13. Enter here and on Form 1120, page 1, line 8

Write-in / Literals / Attachments

1,791,022

1,791,022

1,791,022 1,791,022

149

Anywhere Telecommunications, Inc.

11-0000003

Form 4562 Test 3

Depreciation and Amortization

2006

Name: Anywhere Telecommunications, Inc. Business or Activity: Family Services EIN: 11-0000003 Line Description Line Amount/Info Part I Election to Expense Certain Property Under Section 179 Maximum amount 108,000 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 430,000 3 Reduction in limitation 4 Dollar limitation for TY 5 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 29,527 Property subject to sec 168(f)(1) electio 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 5,623

Write-in /Literal / Attachments

Sec 168(i)(4) election 18 Section B – Assets Placed in Service During 2006 Tax Year Using the General Depreciation System
(a)Classification of property (b)Mont h & Year (c) Basis for deprec (d)Recovery period (e)Convention (f)Method (g)Deprc deduct Write-in / Literal

3-year property 5-year property 68,895 5 HY SL 6,890 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary Listed property 21 Total 22 42,040 19a 19b 19c 19d 19e 19f 19g 19h

150

Anywhere Telecommunications, Inc.

11-0000003

Form 4562 Test 3

Depreciation and Amortization

2006

Assets for CY 23 Part V Listed Property Section A – Depreciation and Other Information Evidence? 24a Evidence written? 24b Special depreciation allowance 25 26(a) Type of property 26(b) Date in service 26(c) Business investment % 26(d) Cost or other basis 26(e) Basis for depreciation Recovery period 26(f) 26(g) Method/Convention 26(h) Depreciation deduction Election Sec 179 cost 26(i) 27(a) Type of property 27(b) Date in service 27(c) Business investment % 27(d) Cost or other basis 27(e) Basis for depreciation Recovery period 27(f) 27(g) Method/Convention 27(h) Depreciation deduction Election Sec 179 cost 27(i) Add column (h), lines 25 - 27 28 Add column (i), line 26 29 Section B – Information on Use of Vehicles 30(a) Total bus/invest miles driven 31(a) Total commuting miles driven 32(a) Tot other personal miles driven 33(a) Total miles driven Vehicle available for personal use? 34 Vehicle used > 5% ? 35 Another vehicle avail for personal use? 36 Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? 37 Maint written policy prohibits pers use 38 Vehicles treated as personal use? 39 Provide > 5 vehicle? 40 Qualified auto demonstration use? 41 Part VI Amortization
(a)Depreciation of costs (b)Date amort begins (c) Amort amount (d)Code section (e)Amort period or percent Write-in / Literal / Attachments (f)Method

42 43 44

Amort of costs during 2006 TY Amort of costs before 2006 TY Total

151

Anywhere Telecommunications, Inc.

11-0000003

Form 4626 Test 3

Alternative Minimum Tax – Corporations

2006

Name: Anywhere Telecommunications, Inc. EIN: 11-0000003 Line Description Taxable Income before NOL 1a Depreciation of post-1986 prop 2a Amortization of certified pollution control 2b facilities Amortization of mining explora- tion and 2c development costs Amortization of circulation ex- penses 2d (PHCs only) Adjusted gain or loss 2e Long-term contracts 2f Merchant marine capital con- struction 2g funds Section 833(b) deduction 2h Tax shelter farm activities 2i Passive activities (CHC and PSC only) 2j Loss limitations 2k Depletion 2l Tax-exempt interest income 2m Intangible drilling costs 2n Other adjustments and preferences 2o Pre-adjustment AMTI 3 ACE from line 10 of ACE worksheet 4a Subtract line 3 from line 4a 4b Multiply line 4b by 75% (.75) 4c Enter the excess, if any, of the 4d corporation’s total increases in AMTI from prior year ACE adjustment 4e Combine lines 3 and 4e 5 Alternative tax net operating loss deduction 6 Alternative minimum taxable income 7 Subtract $150,000 from line 7 8a Multiply line 8a by 25% (.25) 8b Exemption – Subtract line 8b from 8c $40,000. If zero or less, enter -0Subtract line 8c from line 7 9 Multiply line 9 by 20% (.20) 10 Alternative minimum tax foreign tax credit 11 (AMTFTC) Tentative minimum tax 12 Regular tax liability 13 Alternative minimum tax 14

Line Amount 2,073,260 51,349

Write-in / Literal / Attachment

435,679

2,560,288 2,452,755 (107,533) 80,650

104,256 (80,650) 2,479,638 2,479,638

0 2,479,638 495,928

495,928 704,908 0

152

Anywhere Telecommunications, Inc.

11-0000003

Form 4797 Test 3

Sales of Business Property

2006

Name: Anywhere Telecommunications, Inc. EIN: 11-0000003 Line Description Line Amount Write-in / Literal / Attachment Gross proceeds fm sales or 1 exchg Part I Sales or Exchanges of Property Used in a Trade or Business Description of property 2(a) Furniture & Equipmnt Date acquired 2(b) 06/15/95 Date sold 2(c) 11/07/65 Gross sales price 2(d) Depreciation allowed 2(e) 597,269 Cost or other basis 2(f) 982,910 Gain or (loss) 2(g) (385,641) Description of property 2(a) Ptnrshp Flow Thru 2(b) From Schedule K-1 Date acquired F1120S Date sold 2(c) 12/31/06 Gross sales price 2(d) (2,176,663) Depreciation allowed 2(e) Cost or other basis 2(f) Gain or (loss) 2(g) (2,176,663) Description of property 2(a) Ptnrshp #2 Flow Thru 2(b) From Schedule K-1 Date acquired F1120S Date sold 2(c) 12/31/06 Gross sales price 2(d) 4,353,326 Depreciation allowed 2(e) Cost or other basis 2(f) Gain or (loss) 2(g) 4,353,326 Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 1,791,022 Nonrecaptured net sec 1231 8 loss Subtract line 8 from line 7 9 Part II Ordinary Gains and Losses 10(a) Description of property 10(b) Date acquired 10(c) Date sold 10(d) Gross sales price 10(e) Depreciation allowed Cost or other basis 10(f) 10(g) Gain or loss Loss fm line 7 11 Gain fm line 7 12 Gain fm line 31 13 Net gain F4684 14 Ordinary gain F6252 15

153

Anywhere Telecommunications, Inc.

11-0000003

Form 4797 Test 3

Sales of Business Property

2006

Line Description Line Amount Write-in / Literal / Attachment Ordinary gain F8824 16 Combine lines 10 to16 17 Part of loss F4684 18a Redetermined gain or (loss) on 18b line 17 Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a) Description of property 19(b) Date acquired 19(c) Date sold Gross sales price 20 Cost or other basis 21 Depreciation allowed 22 Adjusted basis 23 Total gain 24 Depreciation allowed 25a Smaller of lines 24 and 25a 25b Additional depreciation after 26a 1975 Applicable % 26b Subtract line 26a from line 24 26c Additional depreciation after 26d 1969 Smaller of lines 26c and 26c 26e Sec 291 amount 26f Add lines 26b,26e and 26f 26g Soil, water, land 27a Line 27 multiplied by 27b applicable % Smaller of lines 24 and 27b 27c Intangible drilling 28a Smaller of lines 24 and 28a 28b Applicable % of payment 29a excluded Smaller of lines 24 and 29a 29b Total gain all property 30 Add property columns A – D 31 Subtract line 31 from line 30 32 Part IV Recapture Amounts Under Sections 179 and 280F(b)(2) 33(a) Sec 179 expn ded – Sec 179 33(b) Sec 179 expn ded – Sec 280F(b) 34(a) Recomputed deprc – Sec 179 34(b) Recomputed deprcSec280F(b) 35(a) Recapture amount – Sec 179 35(b) Recapture amount – Sec 280F(b)

154

Anywhere Telecommunications, Inc.

11-0000003

Form 6198 Test 3

At-Risk Limitations

2006

Name(s) shown on return: Telecommunications, Inc. Identifying number: 11-0000003 Description of activity: Partnership Flow Thru Somewhere Communications Line Description Line Amount

Write-in / Literal Attachment Part I Current Year Profit (Loss) Form the Activity, Including Prior Year Nondeductible Amounts 1 Ordinary income (loss) 2 Gain (loss) from the sale or other disposition 2a Schedule D 2b Form 4797 (2,176,663) 2c Other form or schedule 3 Other income and gains from the activity 4 Other deductions and losses from the activity ( ) 5 Current year profit (loss) from the activity (2,176,663) Part II Simplified Computation of Amount At Risk 6 Adjusted basis 1,843,261 7 Increases for the tax year 987,252 8 Add lines 6 and 7 2,830,513 9 Decreases for the tax year 570,435 10a Subtract line 9 from line 8 2,260,078 10b If line 10a is more than zero, enter that amount here and go to line 20 (or complete Part III) 2,260,078 Part III Detailed Computation of Amount At Risk 11 Investment in the activity at the effective date 12 Increases at effective date 13 Add lines 11 and 12 14 Decreases at effective date 15a Amount at risk at effective date 15b Amount at risk from 2005 Form 6198, line 19b 16a Increases since effective date 16b Increases since the end of your 2005 tax year 17 Add line 15 and 16 18a Decreases since effective date 18b Decreases since the end of your 2005 tax year 19a Subtract line 18 from line 17 19b If line 19a is more than zero, enter amount here and go to line 20. Otherwise, enter 0. Part IV Deductible Loss 20 Amount at risk. Enter larger of line 10b or 19b 2,260,078 21 Deductible loss. Enter smaller of line 5 or line 20 (2,176,663)

155

Anywhere Telecommunications, Inc.

11-0000003

Form 8275

Disclosure Statement

2006

Name(s) as shown on return: Anywhere Telecommunications, Inc. EIN: 11-0000003 Part I General Information Line Description Rev. Rul., Rev.Proc., etc. Item or Group of Items Detailed Description of Items Line Amount / Information IRC Section 404(a)(6) Pension Prft Shr Pln Contributions to 401(K) plan 1120 24 14,225 Write-In / Literal / Attachment

1(a) 1(b) 1(c)

1(d) Form or Schedule 1(e) Line No. 1(f) Amount 2(a) Rev. Rul., Rev.Proc., etc. 2(b) Item or Group of Items 2(c) Detailed Description of Items 2(d) Form or Schedule 2(e) Line No. 2(f) Amount 3(a) Rev. Rul., Rev.Proc., etc. 3(b) Item or Group of Items 3(c) Detailed Description of Items 3d) Form or Schedule 3(e) Line No. 3(f) Amount Part II Detailed Explanation 1 Amendments to Anywhere Telecommunications 401(K) plan during the year allow contributions that are made after the close of a tax year that are not on account of that tax year to be deducted as if actually in that year pursuant to IRC Section 404(a)(6) 2 3 Part III Information About Pass-Through Entity Name, address, and Zip code of 1 pass-through entity Identifying number of pass2 through entity Tax year of pass-through entity 3 Internal Revenue Service Center 4 where pass-through entity filed its return Part IV Explanations (continued from Parts I and/or II)

156

Anywhere Telecommunications, Inc.

11-0000003

Form 8453-C Test 3

US Corporation Income Tax Declaration for an IRS e-file Return

2006

Name: Anywhere Telecommunications, Inc. EIN: 11-0000003 Part I Tax Return Information Line Description Total Income (Form 1120, line 11) Taxable Income (Form 1120, line 30) Total tax (Form 1120, line 31) Line Amount / Information 2,260,388 2,073,260 704,908 Write-in / Literal / Attachments

1 2 3

Tax due (Form 1120, line 34) 4 0 Overpayment (Form 1120, line 35) 5 95,092 Part II Declaration of Officer Consent for direct deposit 6a Do not want direct deposit 6b Checked Authorization for EFW 6c Signature: John Doe 03/15/07 President Part III Declaration of Electronic Return Originator (ERO) and Paid Preparer ERO’s Signature: Jane Smith 03/15/07 Check if also paid preparer Checked Check if self-employed Checked ERO’s SSN or PTIN 999-06-0007 Electronic Tax Firm’s name Filers, Inc. 100 Efile Drive, Firm’s address Anytown, TX 78621 Firm’s EIN 11-0000011 Firm’s phone no. 512-555-1212 Paid Preparer’s Signature: Bob White 03/10/06 Check if self-employed Preparer’s SSN or PTIN Firm’ name Firm’s address Firm’s EIN Firm’s phone no.

157

Mail Order Trinkets, Inc. TEST SCENARIO 4 FORMS REQUIRED: 1120, 4562, 5472 (2), 8833, 8886 ATTACHMENTS: ItemizedOtherIncomeSchedule ItemizedOtherDeductionsSchedule ItemizedOtherCostsSchedule AnyoneOwned50PctOf”CorpVotingStockStatement ItemizedOtherCurrentAssetsSchedule ItemizedOtherAssetsSchedule ExchangeRateSchedule (2) BINARY ATTACHMENTS: None HEADER INFO: Tax Period: Preparer Firm Fiscal Year Filer 02/01/06 – 01/31/07 Electronic Tax Filers, Inc. 100 Efile Drive Anytown, TX 78621 11-0000011

11-0000004

MultipleSoftwarePackagesUsed: Yes or No Originator: EFIN: Self-select Type: ERO Practioner PIN: EFIN: Self-select PIN: Self-select PIN Entered by – ERO PIN Number 1120 EIN: 11-0000004 Name: Mail Order Trinkets, Inc.. Name Control: MAIL Address: 34 Any Street Anytown, IL 60615 Name:D.A. Terminator Title: Chief Executive Officer Taxpayer PIN: Self-select Phone: 888-555-1212 Email Address: DateSigned: 02/15/07

Signature Option: Return Type: Filer:

Officer:

Preparer:

Name: Johnny Appleseed

158

Mail Order Trinkets, Inc. SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: Date Prepared: 01/20/07 Self Employed: Yes IRS PAYMENT: N/A

11-0000004

Details for attachments to Forms 1120, 4562 and 5472s

Attachment 1, Form 1120, Page 1, Line 10, Other Income (ItemizedOtherIncomeSchedule) Miscellaneous Income Total Attachment 2, Form 1120, Page 1, Line 26, Other Deductions (ItemizedOtherDeductionsSchedule) Operation Costs Administration Costs Total Attachment 3, Form 1120, Page 2, Sch A, Line 5, Other Costs (ItemizedOtherCostsSchedule) Cost of Sales Manufacturing Costs Total 313,197 109,192 422,389 8,202 147,903 156,105 169,701 169,701

Attachment 4, Form 1120, Page 3, Sch K, Line 5, 50% or More of Voting Stock (AnyoneOwned50PctOfCorpVotingStockStatement) Name: Souvenir Holdings, S.A.

Attachment 5, Form 1120, Page 4, Sch L, Line 6, Other Current Assets (ItemizedOtherCurrentAssetsSchedule) Beginning 103,040 103,040 Ending 0 0

Advance Payment on Novelty Sales Total

159

Mail Order Trinkets, Inc. Attachment 6, Form 1120, Page 4, Sch L, Line 14, Other Assets (ItemizedOtherAssetsSchedule) Beginning 7,174 7,174 Ending 6,895 6,895

11-0000004

Novelty Reserves Total

Attachment 7, Form 5472-Souvenir Holdings, S.A. Exchange Rate Schedule (ExchangeRateSchedule) 1.08 Line 18b Euro

Attachment 8, Form 5472-Novelty Sales Exchange Rate Schedule (ExchangeRateSchedule) 1.08 1.08 1.08 1.08 Line 1 Euro Line 7b Euro Line 11 Euro Line 18b Euro

160

Mail Order Trinkets, Inc.

11-0000004

Form 1120 Test 4

U.S. Corporation Income Tax

2006

Calendar Year 2006 or tax year beginning 02/01 , 2006, ending 01/31 , 2007 Check if: 1,2,3,4 A Employer EIN B 11-0000004 Name and Address: Mail Order Trinkets, Inc, 34 Any Street, Anytown, IL 60615 Date of incorporated C 05/27/1981 Total assets D 657,951 Check applicable boxes E Line Description Line Amount Write-in / Literal / Attachment Gross Receipts or sales 1a 452,446 Less returns and allowances 1b Balance 1c 452,446 Cost of goods sold (Sch A, line 8) 2 612,475 Gross profit. Subtract line 2 from line 1c 3 (160,029) Dividends 4 Interest 5 Gross rents 6 Gross royalties 7 Capital gain net income 8 Net gain or (loss) F4797 9 Other Income 10 169,701 See Attachment 1 Total income. Add lines 3 through 10 11 9,672 Compensation of officers 12 Salaries and wages (less employment 13 credits) Repairs and maintenance 14 Bad debts 15 Rents 16 Taxes and licenses 17 Interest 18 17,344 Charitable contributions 19 Depreciation (attach Form 4562) 20 59,253 Depletion 21 Advertising 22 Pension, profit-sharing, etc., plans 23 Employee benefit programs 24 Domestic production act. 25 Other deductions (attach schedule) 26 156,105 See Attachment 2 Total deductions ( add lines 12 – 26 27 232,702 Taxable income bfr net operating loss 28 (223,030) deduction Less NOL deduction 29a Less special deductions 29b Total NOL deduction 29c Taxable income 30 (223,030) Total tax 31 0 Payments: 32a 2006 estimated tax pymt 32b Less 2006 refund app for 32c Balance 32d Tax deposited w/ F7004 32e

161

Mail Order Trinkets, Inc. Form 1120 Test 4
32f (1) 32f (2) 32g 32h 33 34 35 36 36 Credit from F2439 Credit from F4136 Credit from tele excise tax F8913 Total Payments Estimated tax penalty Tax Due. Overpayment Credit to 2007 est tax Refund May IRS discuss? Preparer's SSN or PTIN: Preparer Firm's name/address:

11-0000004 U.S. Corporation Income Tax 2006

Yes 999-06-0007 Electronic Tax Filers, Inc 100 Efile Drive, Anytown, TX 78621 11-0000011 512-555-1212 325,426 156,810

Preparer's EIN: Preparer's Phone no.: Schedule A Cost of Goods Sold Inventory at beginning of year 1 Purchases 2 Cost of labor 3 Additional section 263A cost 4 Other costs 5 Total 6 Inventory at the end of year 7 Cost of goods sold 8 Cost as described in Reg 1.471-3 9a (i) Lower of cost or market 9a (ii) Other 9a (iii) Check if writedown 9b Check if the LIFO… 9c If the LIFO inventory … 9d Sec 263A rules apply 9e Change in determining quantities, cost, 9f valuations? Line Description Schedule C Dividends and Special Deductions Dividends fm < 20% dom 1 Dividends fm > 20% dom 2 Dividends fm debt-financ 3 Dividends fm certain preferred stock < 20% 4 Dividends fm certain preferred stock > 20% 5 Dividends fm < 20% frgn 6 Dividends fm > 20% frgn 7 Dividends fm wholly own 8

422,389 904,625 292,150 612,475 Checked

See Attachment 3

No No Line Amount Write-in / Literal / Attachment

162

Mail Order Trinkets, Inc. Form 1120 Test 4 U.S. Corporation Income Tax

11-0000004 2006

Total 9 Dividends fm dom corp 10 Dividends fm affl grp mbr 11 Dividends fm contrl grp 12 Dividends fm frgn corp 13 Income fm contrl frgn crp 14 Frgn dividends gross-up 15 IC-DISC and former DIS 16 Other dividends 17 Deduction for dividends 18 Total dividends 19 Total special dividends 20 Schedule E Compensation of Officers Name of officer 1(a) SSN 1(b) % of time devoted to bus 1(c) % of common stock own 1(d) % of preferred stock own 1(e) Amount of compensation 1(f) Total compensation 2 Comp claimed on Sch A 3 Subtract line 3 fm line 2 4 Schedule J Tax Computation Check if cntrl group mbr 1 2a(1) Corp's share of brackets 2a(2) Corp's share of brackets 2a(3) Corp's share of brackets Corp share of additional 5% tax 2b (1) Corp share of additional 3% tax 2b (2) Income tax – check PSC 3 Alternative minimum tax 4 Add lines 3 and 4 5 Foreign tax cr – F1118 6a Possessions tax cr 6b Credit from 8907; 8834 6c General business credit 6d F3800 or Form(s)? 6d Credit from prior year 6e Bond credit from 8860; 8912 6f Total credits 7 Subtract line 7 fm ln 5 8 Personal holding com tx 9 Other taxes – check if.. 10 Total tax 11 Schedule K Other Information Cash 1(a) Accrual 1(b) Other 1(c) Business activity code 2(a) Business Activity 2(b)

Checked 453220 Gifts Novelties

163

Mail Order Trinkets, Inc. Form 1120 Test 4 U.S. Corporation Income Tax
Gifts Novelties No No Yes 100 No Yes 100 Italy 2

11-0000004 2006

Product or Service 2(c) Corp own 50% or more? 3 Sub in affiliated group? 4 Indiv own 50% or more? 5 Percentage owned 5 Corp paid dividends? 6 Foreign owned > 25% 7 Percentage owned 7a Owner’s country 7b Number of F5472 attach 7c Issued pub offrd debt ins 8 Tax-exempt interest rcvd 9 Number of shareholders 10 Has NOL forego cybk pd 11 Avail NOL cybk fm pr yr 12 Total receipts less than $250,000? 13 Schedule L Balance Sheets per Books Beginning of tax year Assets Cash Trade notes Less allowance Inventories U.S. govt oblig Tax-exempt securities Other current assets Loans to shareholders Mortgage & real estate loan Other investments Bldgs & other deprec assets Less accumulated deprec
Depletable assts

See Attachment 4

1

No End of tax year (c) 52,128 (d) 44,156 Write-in / Literal

(a) 43,652

1 2a 2b 3 4 5 6

(b) 13,138

43,652 325,426

52,128 292,150

103,040 7 8 1,150

0 79,517

See Attachment 5

9 10a 10b 11a 11b 12 13a 13b 14

394,416 (394,416)

394,416 (394,416)

Less accumulated depletion Land Intangible assets Less accum amortization Other assets

183,105

183,105

7,174

6,895

See Attachment 6

164

Mail Order Trinkets, Inc. Form 1120 Test 4
15

11-0000004 U.S. Corporation Income Tax 2006

Total assets 676,685 657,951 Liabilities (a) (b) (c) (d) Accounts 16 payable 369,078 329,011 Mortgages, 17 notes, bonds payable < 1yr Other current 18 liabilities Loans from 19 shareholders 265,297 Mortgages, 20 notes, bonds payable > 1yr 220,187 140,000 Other liabilities 21 Cap stock-Pref 22a Cap stock 22b 300,000 300,000 300,000 Common Additional paid 23 1,733,316 1,733,316 –in capital Retained earn24 ings- Appropria Retained earn25 ings- Unappro (1,945,896) (2,109,673) Adjustments to 26 shareholders equity Less cost of 27 treasury stock Total liabilities 28 & shareholders equity 657,951 676,685 Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Return Line Description Line Amount Write-in / Literal / Attachment Net Income 1 (163,777) Fed income tax per bks 2 Excess of capital loss 3 Income taxed not recrd 4 Expenses recorded on books 5 Depreciation 5a Charitable contribution 5b Travel & entertainment 5c Line 5 total 5 Add lines 1 – 5 6 (163,777) Tax-exempt interest 7 Income recorded on books (itemize) 7 Line 7 total 7 Deductions not charged against book 8 (itemize) Depreciation 8a 59,253 Charitable contribution 8b Line 8 total 8 59,253

165

Mail Order Trinkets, Inc. Form 1120 Test 4 U.S. Corporation Income Tax

11-0000004 2006

Add lines 7 & 8 9 59,253 Income 10 (223,030) Schedule M-2 Analysis of Unappropriated Retained Earning per Books Balance at beg of year 1 (1,945,896) Net incm (loss) per bk 2 (163,777) Other increases 3 Add lines 1, 2, and 3 4 (2,109,673) Distributions - Cash 5a Distributions – Stock 5b Distributions – Property 5c Other decreases 6 Add lines 5 and 6 7 Balance at end of year 8 (2,109,673)

166

Mail Order Trinkets, Inc.

11-0000004

Form 4562 Test 4

Depreciation and Amortization

2006

Name: Mail Order Trinkets, Inc. Business or Activity: Mail Order Sales EIN: 11-0000004 Line Description Line Amount Part I Election to Expense Certain Property Under Section 179 Maximum amount 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 3 Reduction in limitation 4 Dollar limitation for TY 5 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 Property subject to sec 168(f)(1) electio 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 59,253

Write-in / Literal / Attachments

Sec 168(i)(4) election 18 Section B – Assets Placed in Service During 2006 Tax Year Using the General Depreciation System
(a)Classification of property (b)Mont h & Year (c) Basis for deprec (d)Recovery period (e)Convention (f)Method (g)Deprc deduct Write-in / Literal / Attachments

3-year property 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary Listed property 21 Total 22 59,253 19a 19b 19c 19d 19e 19f 19g 19h

167

Mail Order Trinkets, Inc. Form 4562 Test 4 Depreciation and Amortization

11-0000004 2006

Assets for CY 23 Part V Listed Property Section A – Depreciation and Other Information Evidence? 24a Evidence written? 24b Special depreciation allowance 25 26(a) Type of property 26(b) Date in service 26(c) Business investment % 26(d) Cost or other basis 26(e) Basis for depreciation Recovery period 26(f) 26(g) Method/Convention 26(h) Depreciation deduction Election Sec 179 cost 26(i) 27(a) Type of property 27(b) Date in service 27(c) Business investment % 27(d) Cost or other basis 27(e) Basis for depreciation Recovery period 27(f) 27(g) Method/Convention 27(h) Depreciation deduction Election Sec 179 cost 27(i) Add column (h), lines 25 - 27 28 Add column (i), line 26 29 Section B – Information on Use of Vehicles 30(a) Total bus/invest miles driven 31(a) Total commuting miles driven 32(a) Tot other personal miles driven 33(a) Total miles driven Vehicle available for personal use? 34 Vehicle used > 5% ? 35 Another vehicle avail for personal use? 36 Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? 37 Maint written policy prohibits pers use 38 Vehicles treated as personal use? 39 Provide > 5 vehicle? 40 Qualified auto demonstration use? 41 Part VI Amortization
(a)Depreciation of costs (b)Date amort begins (c) Amort amount (d)Code section (e)Amort period or percent (f)Amort for this Yr Write-in / Literal / Attachments

42 43 44

Amort of costs during 2006 TY Amort of costs before 2006 TY Total

168

Mail Order Trinkets, Inc.

11-0000004

Form 5472 Test 4

Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business
, 2006, ending 01/31 , 2007

2006

Tax year beginning 02/01 Part I Reporting Corporation

Line Amount / Line Description Write-in / Literal / Attachment Info Name and Address: Mail Order Trinkets, Inc., 34 Any Street, Anytown, IL 60615 1a EIN: 11-0000004 1b Total assets 1c 657,951 Prin bus acitivity 1d Mail Order Sales Bus activity code 1e 453220 Total value of gross payments 1f 1,150 Total Forms 5472 1g 2 Total value gross payment all F5472 1h 760,962 Consolidated filing 1i Country of Incorp 1j US Country whose laws rpt corp files 1k US Country where bus conducted 1l US Frgn owned 50% 2 Part II 25% Foreign Shareholder Name and Address of direct 25%: Souvenir Holdings, S.A.; P.O. Box 123, Anytown, Italy 1a U.S. ID number 1b 1c IT Cntry bus conduct Cntry of citz org 1d IT Cnty laws 25% 1e IT Name and Address of direct 25%: 2a U.S. ID number 2b 2c Cntry bus conduct Cntry of citz org 2d Cnty laws 25% 2e Name and Address of indirect 25%: 3a U.S. ID number 3b 3c Cntry bus conduct Cntry of citz org 3d Cnty laws 25% 3e Name and Address of indirect 25%: 4a U.S. ID number 4b 4c Cntry bus conduct Cntry of citz org 4d Cnty laws 25% 4e Part III Related Party Foreign person Checked US Person Name and Address: Souvenir Holdings, S.A..; P.O. Box 123, Anytown, Italy 1a U.S. ID number 1b Prin bus acitivity 1c Manufacturing Bus activity code 1d 339900 Related to reporting corporation 1e Related to 25% foreign shareholder 25% foreign shareholder Checked 1f IT Cntry bus conduct

169

Mail Order Trinkets, Inc. Form 5472 Test 4 Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business

11-0000004 2006

Country whose laws rel corp files 1g IT Part IV Monetary Transactions Between Reporting Corporations Estimates used checkbox Exchange Rate Schedule See Attachment 7 Line Description Line Amount / Info Write-in / Literal / Attachment Sales of stock 1 Sales of tangible property 2 Rents & Royalties 3 Sales, leases,etc 4 Technical, mgnrl 5 Commission rcvd 6 Amts borr beg bal 7a Amts borr end bal 7b Interest received 8 Premiums rcvd 9 Other amnts rcvd 10 Total 11 Prchs of stock 12 Prchs of tan prop 13 Rents, royal paid 14 Prchs, leases, etc 15 Technical, mgnrl 16 Commission paid 17 Amts loan beg bal 18a 1,150 Amts loan end bal 18b 1,150 Interest paid 19 Premiums paid 20 Other amnts paid 21 Total 22 1,150 Part V Nonmonetary and Less-Than Full Consideration Transactions Describe trans- actions checkbox Part VI Additional Information Corp import goods 1 No Basis valued grtr 2a Attach statement 2b Documents used 2c

170

Mail Order Trinkets, Inc.

11-0000004

Form 5472 Test 4

Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business

2006

Tax year beginning 02/01 , 2006, ending 01/31 , 2007 Part I Reporting Corporation Line Description Line Amount / Info Write-in / Literal / Attachment Name and Address: Mail Order Trinkets, Inc., 34 Any Street, Anytown, IL 60615 1a EIN: 11-0000004 1b Total assets 1c 657,951 Prin bus acitivity 1d Mail Order Sales Bus activity code 1e 453220 Total value of gross payments 1f 759,812 Total Forms 5472 1g 2 Total value gross payment all F5472 1h 760,962 Consolidated filing 1i Country of Incorp 1j US Country whose laws rpt corp files 1k US Country where bus conducted 1l US Frgn owned 50% 2 Part II 25% Foreign Shareholder Name and Address of direct 25%: Souvenir Holdings, S.A.; P.O. Box 123, Anytown, Italy 1a U.S. ID number 1b 1c IT Cntry bus conduct Cntry of citz org 1d IT Cnty laws 25% 1e IT Name and Address of direct 25%: 2a U.S. ID number 2b 2c Cntry bus conduct Cntry of citz org 2d Cnty laws 25% 2e Name and Address of indirect 25%: 3a U.S. ID number 3b 3c Cntry bus conduct Cntry of citz org 3d Cnty laws 25% 3e Name and Address of indirect 25%: 4a U.S. ID number 4b 4c Cntry bus conduct Cntry of citz org 4d Cnty laws 25% 4e Part III Related Party Foreign person Checked US Person Name and Address: Novelty Sales; P.O. Box 234, Anytown, Italy 1a U.S. ID number 1b Prin bus acitivity 1c Sales Bus activity code 1d 453220 Related to reporting corporation 1e Related to 25% foreign shareholder Checked 25% foreign shareholder Checked 1f SP Cntry bus conduct Country whose laws rel corp files 1g SP

171

Mail Order Trinkets, Inc. Form 5472 Test 4 Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business

11-0000004 2006

Part IV

Monetary Transactions Between Reporting Corporations Estimates used checkbox Exchange Rate Schedule See Attachment 8 Line Amount / Line Description Write-in / Literal / Attachment Info Sales of stock 1 401,406 Sales of tangible property 2 Rents & Royalties 3 Sales, leases,etc 4 Technical, mgnrl 5 Commission rcvd 6 Amts borr beg bal 7a Amts borr end bal 7b 265,297 Interest received 8 Premiums rcvd 9 Other amnts rcvd 10 Total 11 666,703 Prchs of stock 12 Prchs of tan prop 13 Rents, royal paid 14 Prchs, leases, etc 15 Technical, mgnrl 16 Commission paid 17 Amts loan beg bal 18a Amts loan end bal 18b 78,367 Interest paid 19 14,742 Premiums paid 20 Other amnts paid 21 Total 22 93,109 Part V Nonmonetary and Less-Than Full Consideration Transactions Describe trans- actions checkbox Part VI Additional Information Corp import goods 1 No Basis valued grtr 2a Attach statement 2b Documents used 2c

172

Mail Order Trinkets, Inc.

11-0000004

Form 8833

Test 4

Treaty-Based Return Position Disclosure Under Section 6114 or 7701(b)
Line Amount / Information

2006

Line Description

Write-in / Literal / Attachment

1a 1b 2

3 4

5

Name: Mail Order Trinkets, Inc. EIN: 11-0000004 Address in country of res: P.O. Box 123, Anytown, Italy Address in U.S. 34 any Street, Anytown, IL 60615 Disclosing treaty-based ret per sec Checked 6114 Dual-res & disclosing treaty-based ret per Reg 301.7701(b)-7 TP is US citizen or res or inc in US Checked Treaty Country IT Articles Article 11 IRC provisions IRC Sectins 881 and 1442 Mail Order Trinkets, Inc. 11-0000004 34 Any Street Name, ID & Add Anytown, IL 60615 Provisions of limit N/A The interest payments of $14,742 made by Mail Order Trinkets, Inc. to its foreign shareholder, Souvenir Holdings, S.A., would require imposing a 30% withholding rate on such payment, for a total of $4,423 withholding tax. Per the US – Italy Treaty, Article 11, the rate of tax on interest is reduced to 15%. Thus, only $2,211 of Explanation of treaty-based rewhithholding tax is required turn position taken by such treaty.

173

Mail Order Trinkets, Inc.

11-0000004

Form 8886

Test 4

Reportable Transaction Disclosure Statement

2006

Name: Mail Order Trinkets, Inc. EIN: 11-0000004 Address: 34 Any Street, Anytown, IL 60615 Line Description Line Amount / Information Form number of return attached to and year of return form is filed Initial year filer or Protective disclosure Name reportable transaction Initial year participated Material advisor or Tax shelter regs no: Listed transaction Confidential transaction Contract protect Loss transaction Identify listed transaction
Number of transact

Write-in / Literal / Attachment

A B 1a 1b 1c 2a 2b 2c 2d 3 4 5a 5b 5c 5d

Checked

1

Entity name Type of entity Form number of tax return filed EIN Confidential 55 Another Street, Suite A, Anytown, IL 60615

6a 6b

Name, address to whom Fee Paid to Name, address to whom Fee Paid to

7

Facts

8

Expected tax benefits

9

Estimated tax benefits

Testers, enter this statement here for your test returns: “For purposes of this test, actual detailed information is not being provided. It is expected that the taxpayer filing this form will provide the appropriate information.” Testers, enter this statement here for your test returns: “For purposes of this test, actual detailed information is not being provided. It is expected that the taxpayer filing this form will provide the appropriate information.” Testers, enter this statement here for your test returns: “For purposes of this test, actual detailed information is not being provided. It is expected that the taxpayer filing this form will provide the appropriate information.”

174

Mail Order Trinkets, Inc.

11-0000004

175

International Finance Incorporated TEST SCENARIO 5

11-0000005

FORMS REQUIRED: 1120, Sch N (1120), Schedule M-3 (1120) 926, 1118, 1118 Sch J, 5471, 5471 Sch J, 5471 Sch M, 5471 Sch O, 8832, 8858 ATTACHMENTS: ItemizedOtherIncomeSchedule Owned50PercentVotingStockOfDomesticCorpStatement AnyoneOwned50PctOfCorpVotingStockStatement ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherDeductionsSchedule2 ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentSchedule ItemizedOtherCurrentLiabilitiesStmt OtherLiabilitiesStatement EarningsAndProfitsOtherAdjStmt OtherIncomeLossItemsWithDifferencesSchedule OtherExpenseDeductionItemsWithDifferencesSchedule Post1986UndistributedEarningsSchedule Category3FilerStatement

BINARY ATTACHMENTS: Organizational Chart for Form 5471 Sch O HEADER INFO: Tax Period: Preparer Firm Calendar Year 2006 Electronic Tax Filers, Inc. 100 Efile Drive Anytown, TX 78621 11-0000011

MultipleSoftwarePackagesUsed: Yes or No Originator: EFIN: Self-select Type: ERO Practioner PIN: EFIN: Self-select PIN: Self-select PIN Entered by – ERO PIN Number 1120 EIN: 11-0000005 Name: International Finance Incorporated Name Control: INTE Address: 35 Any Street Anytown, NY 10006

Signature Option: Return Type: Filer:

176

International Finance Incorporated Officer: Name: Poppy Seed Title: Chief Executive Officer Taxpayer PIN: Self-Select Phone: 888-555-1212 Email Address: DateSigned: 03/15/07

11-0000005

Preparer:

Name: Johnny Appleseed SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: Date Prepared:02/15/07 Self Employed: Yes N/A

IRS PAYMENT:

Details for attachments to Form 1120, 5471, Sch M-3, 1118

Attachment 1, Form 1120, Page 1, Line 26, Other Deductions (ItemizedOtherDeductionsSchedule) Audit Fees Professional Services Financial Service Costs TOTAL Attachment 2, Form 1120, Sch K, Line 3, Additional Information (Owned50PercentVotingStockOfDomesticCorpStatement) Name: ABC Energy Corporation Employer Identification Number: 11-0000015 Percentage Owned: 100.00 Net Taxable Income: 18,940,307 Attachment 3, Form 1120, Sch K, Line 5, Additional Information (AnyoneOwned50PctOfCorpVotingStockStatement) Same as Sch K, Line 3 above Attachment 4, Form 1120, Page 4, Sch L, Line 6, Other Current Assets (ItemizedOtherCurrentAssetsSchedule) Beginning Ending Prepaid Expenses & Special Deposits TOTAL 35,726 35,726 35,726 35,726 68,160 31,227 21,000 120,387

177

International Finance Incorporated Attachment 5, Form 1120, Page 4, Sch L, Line 9, Other investments (ItemizedOtherInvestmentsSchedule)

11-0000005

Investments in Subsidiaries TOTAL

Beginning Ending 139,197,191 250,072,971 139,197,191 250,072,971

Attachment 6, Form M-3, Line 26, Other Income (Loss) Items With Differences (OtherIncomeLossItemsWithDifferencesSchedule)
Per Books Temp. Difference Perm. Difference Per Tax Return

Recovery of Expense Total

512,526 512,526

(512,526) (512,526)

0 0

Attachment 7, Form M-3, Part III, Line 35, Other Expense/Deduction Items With Differences (OtherExpenseDeductionItemsWithDifferencesSchedule)
Per Books Temp. Difference Perm. Difference Per Tax Return

Prior Year Adjustments Total

(256,260) (256,260)

256,260 256,260

0 0

Attachment 8, Form 5471, Sch C, Line 16, Other deductions (ItemizedOtherDeductionsSchedule2) Functional Currency Miscellaneous deductions Operating supplies TOTAL 199,936 356,382 556,318 US Dollar 135,177 240,950 376,127

Attachment 9, Form 5471, Sch F, Line 4, Other current assets (ItemizedOtherCurrentAssetsSchedule) Beginning Miscellaneous TOTAL 255,108 255,108 Ending 243,012 243,012

Attachment 10, Form 5471, Sch F, Line 7, Other investments (ItemizedOtherInvestmentSchedule)
178

International Finance Incorporated

11-0000005

Investments in Stock (Non-affiliated) TOTAL

57,437 57,437

36,820,277 36,820,277

Attachment 11, Form 5471, Sch F, Line 15, Other current liabilities (ItemizedOtherCurrentLiabilitiesSchedule) Other accrued liabilities TOTAL 4,001,670 4,001,670 5,080,202 5,080,202

Attachment 12, Form 5471, Sch F, Line 17, Other liabilities (ItemizedOtherLiabilitiesSchedule) Deferred Federal Income Taxes TOTAL 2,016,428 2,016,428 1,247,422 1,247,422

Attachment 13, Form 5471, Sch H, Line 2h, Other (EarningsAndProfitsOtherAdjStmt) Increase Recognize Exchange Gain on Note Reverse Stock Write-down Reverse Book Remediation Reserve Reverse Book Exchange Gain TOTAL 1,848,728 86,410 11,146 0 1,946,284 Decrease 0 0 0 515,184 515,184

Attachment 14, Form 1118, Sch C, Col 4, Post 1986 Undistributed Earnings (Post1986UndistributedEarningsSchedule) Post 1986 E&P Beginning 20,546,204 Current E&P 13,886,424 Post 1986 E&P Ending 34,432,628

Attachment 15, Form 5471, Box B, Category of filer checkboxes (Category3FilerStatement) Amount of indebtedness Type of indebtedness Name Address Identifying Number Number of shares 0 New acquisition Foreign Finance Corporation 75 Any Street, Austin, TX 78737 none 1,000

179

International Finance Incorporated

11-0000005

Form 1120 Test 5

U.S. Corporation Income Tax

2006

Calendar Year 2006 or tax year beginning , 2006, ending , 2007 Check if: 1,2,3,4 A 4 is checked Employer EIN B 11-0000005 Name and Address: International Finance Incorporated, 31 Any Street, Anytown, NY 10006 Date of incorporated C 08/01/1985 Total assets D 250,306,361 Check applicable boxes E Line Description Line Amount Write-in / Literal / Attachment Gross Receipts or sales 1a Less returns and allowances 1b Balance 1c Cost of goods sold (Sch A, line 8) 2 Gross profit. Subtract line 2 from line 3 1c Dividends 4 9,503,893 Interest 5 Gross rents 6 Gross royalties 7 Capital gain net income 8 Net gain or (loss) F4797 9 Other Income 10 Total income. Add lines 3 through 10 11 9,503,893 Compensation of officers 12 Salaries and wages (less employment 13 credits) Repairs and maintenance 14 Bad debts 15 Rents 16 Taxes and licenses 17 Interest 18 Charitable contributions 19 Depreciation (attach Form 4562) 20 Depletion 21 Advertising 22 Pension, profit-sharing, etc., plans 23 Employee benefit programs 24 Domestic production act. 25 Other deductions (attach schedule) 26 120,387 See Attachment 1 Total deductions ( add lines 12 – 26 27 120,387 Taxable income bfr net operating loss 28 deduction 9,383,506 Less NOL deduction 29a Less special deductions 29b Total NOL deduction 29c Taxable income 30 9,383,506 Total tax 31 3,075,110 Payments: a 2005 overp 32a 2006 estimated tax pymt 32b 1,678,103 Less 2006 refund app for 32c Balance 32d Tax deposited w/ F7004 32e

180

International Finance Incorporated Form 1120 Test 5
32f (1) 32f (2) 32g 32h 33 34 35 36 36 Credit from F2439 Credit from F4136 Credit from tele excise tax Total Payments Estimated tax penalty Tax Due. Overpayment Credit to 2007 est tax Refund May IRS discuss? Preparer's SSN or PTIN: Preparer Firm's name/address:

11-0000005 2006

U.S. Corporation Income Tax

1,678,103 1,397,007

Yes 999-06-0007 Electronic Tax Filers, Inc 100 Efile Drive, Anytown, TX 71232 11-0000011 512-555-1212

Preparer's EIN: Preparer's Phone no.: Schedule A Cost of Goods Sold Inventory at beginning of year 1 Purchases 2 Cost of labor 3 Additional section 263A cost 4 Other costs 5 Total 6 Inventory at the end of year 7 Cost of goods sold 8 Cost 9a (i) Lower of cost or market 9a (ii) Other 9a (iii) Check if writedown 9b Check if the LIFO… 9c If the LIFO inventory … 9d Sec 263A rules apply 9e Change in determining quantities, 9f cost, valuations? Line Description Line Amount Schedule C Dividends and Special Deductions Dividends fm < 20% dom 1 Dividends fm > 20% dom 2 Dividends fm debt-financ 3 Dividends fm certain preferred stock < 4 20% Dividends fm certain preferred stock > 5 20% Dividends fm < 20% frgn 6 Dividends fm > 20% frgn 7 Dividends fm wholly own 8

Write-in / Literal

181

International Finance Incorporated Form 1120 Test 5 U.S. Corporation Income Tax

11-0000005 2006

Total 9 Dividends fm dom corp 10 Dividends fm affl grp mbr 11 Dividends fm contrl grp FSC 12 Dividends fm frgn corp 13 Income fm contrl frgn crp 14 Frgn dividend gross-up 15 IC-DISC and former DIS 16 Other dividends 17 Deduction for dividends 18 Total dividends 19 Total special dividends 20 Schedule E Compensation of Officers Name of officer 1(a) SSN 1(b) % of time devoted to bus 1(c) % of common stock own 1(d) % of preferred stock own 1(e) Amount of compensation 1(f) Total compensation 2 Comp claimed on Sch A 3 Subtract line 3 fm line 2 4 Schedule J Tax Computation Check if cntrl group mbr 1 2a(1) Corp's share of brackets 2a(2) Corp's share of brackets 2a(3) Corp's share of brackets Corp share of additional 5% tax 2b (1) Corp share of additional 3% tax 2b (2) Income tax – check PSC 3 Alternative minimum tax 4 Add lines 3 and 4 5 Foreign tax cr – F1118 6a Possessions tax cr 6b Credit from 8907; 8834 6c General business credit 6d F3800 or Form(s)? 6d Credit from prior year 6e Bond credit from 8860; 8912 6f Total credits 7 Subtract line 7 fm ln 5 8 Personal holding com tx 9 Other taxes – check if.. 10 Total tax 11 Schedule K Other Information Cash 1(a) Accrual 1(b) Other 1(c) Business activity code 2(a) 2(b) Business Activity

9,388,611 115,282

9,503,893

3,190,392 3,190,392 115,282

115,282 3,075,110

3,075,110

Checked 522293 International Finance
182

International Finance Incorporated Form 1120 Test 5
2(c) 3 4 Product or Service Corp own 50% or more?

11-0000005 2006
Attachment 2 ABC Finance (ABCF) 110000021 Attachment 3

U.S. Corporation Income Tax
International Finance Yes

Sub in affiliated group? Yes Indiv own 50% or more? 5 Yes Percentage owned 5 Corp paid dividends? 6 No Foreign owned > 25% 7 No Percentage owned 7a Owner’s country 7b Number of F5472 attach 7c Issued pub offrd debt ins 8 Tax-exempt interest rcvd 9 Number of shareholders 10 Has NOL forego cybk pd 11 Avail NOL cybk fm pr yr 12 Total receipts less than $250,000? 13 No Schedule L Balance Sheets per Books Beginning of tax year Assets Cash Trade notes Less allowance Inventories U.S. govt oblig Tax-exempt securities Other current assets Loans to shareholders Mortgage & real estate loan Other investments Bldgs & other deprec assets Less accumulated deprec
Depletable assts

End of tax year (c) (d) 197,664

Write-in / Literal

(a)

1 2a 2b 3 4 5 6 7 8

(b) 250,328

35,726 5,000

35,726 0

See Attachment 4

9 10a 10b 11a 11b 12 13a 13b 14 15

139,197,191

250,072,971

See Attachment 5

Less accumulated depletion Land Intangible assets Less accum amortization Other assets Total assets

139,488,245

250,306,361

183

International Finance Incorporated Form 1120 Test 5 U.S. Corporation Income Tax

11-0000005 2006

Liabilities Accounts 16 payable Mortgages, 17 notes, bonds payable < 1yr Other current 18 liabilities Loans from 19 shareholders Mortgages, 20 notes, bonds payable > 1yr 21 Other liabilities 22a Cap stock-Pref Cap stock 22b Common 5,000 5,000 5,000 5,000 23 Additional paid 249,913,85 139,231,622 –in capital 9 24 Retained earnings- Appropria 25 Retained earnings- Unappro 251,623 387,502 26 Adjustments to shareholders equity Less cost of 27 treasury stock Total liabilities 28 & shareholders equity 139,488,245 250,306,361 Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Return Line Description Line Amount Write-in / Literal Net Income 1 Fed income tax per bks 2 Excess of capital loss 3 Income taxed not recrd 4 Expenses recorded on books 5 Depreciation 5a Charitable contribution 5b Travel & entertainment 5c Line 5 total 5 Add lines 1 – 5 6 Tax-exempt interest 7 Income recorded on books (itemize) 7 Line 7 total 7 Deductions not charged against book 8 (itemize) Depreciation 8a Charitable contribution 8b Line 8 total 8 Add lines 7 & 8 9 Income 10

184

International Finance Incorporated Form 1120 Test 5 U.S. Corporation Income Tax

11-0000005 2006

Schedule M-2 Analysis of Unappropriated Retained Earning per Books Balance at beg of year 1 251,623 Net incm (loss) per bk 2 135,879 Other increases 3 Add lines 1, 2, and 3 4 387,502 Distributions - Cash 5a Distributions – Stock 5b Distributions – Property 5c Other decreases 6 Add lines 5 and 6 7 Balance at end of year 8 387,502

185

International Finance Incorporated

11-0000005

Form Sch N (1120) Test 5

Foreign Operations of U.S. Corporations

2006

Name: International Finance Incorporated EIN: 11-0000005 Line Description Line Amount / Information Owned foreign 1a disregarded entity Yes Number F8858 1b 4 Number F8865 2 Owned 10% interest in other frgn partnership 3 No US Shareholder of 4a CFC Yes Number F5471 4b 1 Distribution/grantor/ transferor foreign 5 trust No Interest in financial 6a account Yes Name of foreign country 6b UK Extraterritorial 7a income exclusion No Number F8873 7b Line 52 totals all 7c F8873

Write-in / Literal

186

International Finance Incorporated

11-0000005

Form Schedule M-3 (1120) Test 5

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

2006

Name: International Finance Incorporated EIN: 11-0000005

Part I

Financial Information and Net Income (Loss) Reconciliation
Write-in / Literal

Line Description Line Amount / Information Filed SEC F10-K income stmt? 1a No Certified audit income stmt? 1b No Income stmt for period? 1c Yes Income statement period 2a 01/01/2006 12/31/2006 Income statement restated? 2b No Income stmt restated for 5 prds? No 2c Voting stock publicly traded? 3a No Symbol of pub trd’d stock 3b 9-digit CUSIP of pub trd’d stk 3c Worldwide consol net incm 4 Net income nonincludible frgn 5a Net loss nonincludible frgn 5b Net income nonincludible US 6a Net loss fnonincludible US 6b Net income nonincludible Oth 7a Net loss nonincludible Oth 7b Adj to eliminations of transact 8 Adj to reconcile incm stmt 9 Intercompany adjustments 10a Other statutory adjustments 10b Other adjustments 10c Net income (loss) per stmt 11 135,879 Schedule M-3 (Form 1120) 2005 Page 2 Name: International Finance Incorporated EIN: 11-0000005 Consolidated Return checkbox Name of Subsidiary: EIN:

Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return
(a) Income (loss) per Income Stmt Incm (loss) fm equ mthd frgn Gross frgn div Subpart F,QEF Sec 78 grossup Gross frgn dist Incm (loss) fm equ mthd US US div not elim Minority interest Incm (loss) US Incm (loss) frgn (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax Return Write-in / Literal

1 2 3 4 5 6 7 8 9 10

9,388,611 115,282

9,388,611 115,282

187

International Finance Incorporated Form Schedule M-3 (1120) Test 5
11 12 13 14 15 16 17 18 19 20 21 22 23a 23b 23c 23d 23e 23f 23g 24 25 26 27 28 Incm (loss) oth pass-thru entity Reportable transact items Interest incm Total accrual to cash adj Hedging trans Mark-Mkt incm Cost of gds sold Sale vs lease Sec 481(a) adj Unearned/ deferred revenue Incm recogn Org issue disc Incm stmt gain/ loss on sale Gross cap gain Gross cap loss Net gain/loss Abandonment Worthless stck Oth gain/loss Capital loss Oth incm (loss) Tot incm (loss) Tot expns/ded Oth incm (loss) w/ no diff Add line 26 thur 28 512,526 512,526 (256,260) (120,387) 9,132,335 115,282 (512,526) 8,876,085 256,250

11-0000005 2006

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

See Attachment 6 115,282 9,503,893 0 (120,387) 9,383,506

29a 135,878 29b 29c 30 135,878 Reconciliation tot Name: International Finance Incorporated EIN: 11-0000005 Consolidated Return checkbox Name of Subsidiary: EIN:

9,132,335

115,282

9,383,506

Part III
1 2 3 4

Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items

US curr incm tax expense US defer incmn tax expns State local curr incm tax expns State local defer incm tax expns

188

International Finance Incorporated Form Schedule M-3 (1120) Test 5
5 6 7 8 Frgn curr incm tax expense Frgn deferred
incm tax expns

11-0000005 2006

Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More

Frgn w/hld tax Interest expns (a) Income (loss) per Income Stmt (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax Return

Write-in / Literal

9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36

Stock opt expns Oth equ comp Meals Entrtmnt Fines penalties Judgements
Parachute pymnt Comp sec 162m Pension profit-sh Oth post-retrmnt Deferred comp Charitable contribution cash tang Charitable contribution intang prop

Charitable contribution limitita Domestic prod CY acquis or
reorg inv banking

CY acquis or
reorg legal/acct

CY acquis oth costs Amort of gdwill Amort of acquis Other amortizat Sec 198 environ Depletion Depreciation Bad debt expns Corp-own life ins
Purch vs lease Other expns/ded Total expense/ deduction items

(256,260) (256,260)

256,260 256,260

0 0

See Attachment 7

189

International Finance Incorporated

11-0000005

Form 926 Test 5

Return by a U.S. Transferor of Property to a Foreign Corporation

TY 2006

Part I U.S. Transferor Information Line Description

Line Amount / Write-in / Literal Information Name of transferor: International Finance Incorporated Identifying number: 11-0000005 Transferor controlled by 5 or fewer 1a domestic corps? Yes Transferor remain in existence after 1b transfer? If not, list controlling shareholder(s) and ID(s): Yes Controlling shareholder Identifying number Controlling shareholder Identifying number Controlling shareholder Identifying number Controlling shareholder Identifying number If member of affiliated group, was it the 1c parent corporation? No Name of parent corporation ABC Finance EIN of parent corporation 11-0000021 If transferor partner in a partnership that 2 was transferor but not treated as such, list name and EIN Name of partnership EIN of partnership Part II Transferee Foreign Corporation Information Name of transferee (foreign corp) 3 Foreign Finance Corporation Identifying number, if any 4 Address (including country) 5 75 Any Street Birmingham England 126375 Country of incorporation or organization 6 United Kingdom Foreign law characterization 7 Corporation Is the transferee foreign corporation a 8 controlled foreign corp? Yes Part III Information Regarding Transfer of Property Date of transfer 9 03/15/2006 Type of nonrecognition transaction 10 351 11 Transferor: International Finance Incorporated, 35 Any Street, Anytown, NY 10006 Transferee: Foreign Finance Corporation, 75 Any Street, Birmingham England 126375 Transferor transferred U.S. $5,000 cash to Description of property transferred: transferee on March 16, 2006 Transfer result from a change in 12 classification? No Transferor required to recognize income 13 under Temp Regulations sections 1.367(a)-4T through 1.367(a)-6T No
190

International Finance Incorporated Form 926 Test 5
14a 14b

11-0000005 TY 2006

Return by a U.S. Transferor of Property to a Foreign Corporation
No

Intangible property transferred as a result of the transaction? If yes, describe the nature of the rights to the intangible property:

191

International Finance Incorporated

11-0000005

Form 1118 Test 5

Foreign Tax Credit – Corporations

2006

For calendar year 2006, or other tax year beginning , and ending Name of corporation: International Finance Incorporated EIN: 11-0000005 Line Description Line Amount / Information Categories of income Passive Income Checkbox Schedule A Income or (Loss) Before Adjustments Frgn country A1 UK Deemed Dividends - Exclude A2a gross-up 9,388,611 Deemed Dividends -Gross-up A2b Sec 78 115,282 Other Dividends -Exclude A3a gross-up Other Dividends -Gross –up A3b Sec 78 Interest A4 Gross Rents, Royalties A5 Gross income fm PS A6 Other A7 Total (2a – 7) A8 9,503,893 Add lines A through F Totals Total column 2a 9,388,611 Total column 2b 115,282 Total column 3a Total column 3b Total column 4 Total column 5 Total column 6 Total column 7 Total column 8 9,503,893 Depreciation, Depletion, Amr A9a Other Expenses A9b Expenses related to Grs Incm A9c Other definitely allocable ded A9d 120,387 Total Definitely allocable ded A9e 120,387 Apportioned share of deduct A10 Total Deductions (9e & 10) A11 120,387 Total income or (loss) bfr Adj A12 9,383,506 Totals Add lines A through F Total column 9a Total column 9b Total column 9c Total column 9d 120,387 Total column 9e 120,387 Total column 10 Total column 11 120,387 Total column 12 9,383,506 Schedule B Part I – Foreign Taxes Paid, Accrued, and Deemed Paid Cr is claimed for taxes chkbx A1 Accrued is Checked – 12/06 Dividends A2a Interest A2b

Write-in / Literals

192

International Finance Incorporated Form 1118 Test 5
A2c A2d A2e A2f A2g A2h A3 Totals

11-0000005 2006

Foreign Tax Credit – Corporations

Rents, Royalties, Lic Fees Section 863(b) Income Foreign Branch Income Services Income Other Total Foreign Taxes Paid Tax Deemed Paid 115,282 Add lines A through F Total column 2a Total column 2b Total column 2c Total column 2d Total column 2e Total column 2f Total column 2g Total column h Total column 3 115,282 Schedule B Part II – Separate Foreign Tax Credit Total foreign taxes paid 1 Total taxes deem paid 2 115,282 Reductions of taxes paid 3 Total carryover of foreign tax 4 Total foreign taxes 5 115,282 Sch J Part I, Line 11 amount 6 9,383,506 Total taxable income all scrs 7a 9,383,506 Adjustments to line 7a 7b Subtract line 7b from 7a 7c 9,383,506 Divide line 6 by line 7 8 1.000000 Total U.S. income tax against 9 3,190,392 Credit limitation 10 3,190,392 Separate foreign tax credit 11 115,282 Schedule B Part III – Summary of Separate Tax Credits Line Description Line Amount / Information Write-in / Literals Cr for tax on passive income 1 115,282 Cr for tax on high w/holding tx 2 Cr for tax on fnan srvc incm 3 Cr for tax on shipping income 4 Cr for tax on DISC dividends 5 Cr for tax on certain FSC distr 6 Cr for tax on gen limitati incm 7 Cr for tax on income re-srce 8 Total 9 115,282 Reduction in cr for intrnl boyct 10 Total foreign tax credit 11 115,282 Schedule C Part I – Dividends and Deemed Inclusions From Post-1986 Undistributed Earnings Line Description Line Amount / Information Write-in / Literals 1 Name of Foreign Corp Foreign Finance Corp. 2 Tax Year End 12/31 3 Country of Incorporation UK 4 Post-1986 Undistributed Earn 34,432,628 See Attachment 14 5 Opening Balance in Post-86 0 6a Taxes Paid Taxes Deemed Paid 6b 277,263
193

International Finance Incorporated Form 1118 Test 5 Foreign Tax Credit – Corporations

11-0000005 2006

Post-1986 Foreign Income Tx 7 277,263 Functional Currency 8a 14,316,654 U.S. Dollars 8b 9,679,489 Divide Col 8a by Col 4 9 .4158 Tax Deemed Paid 10 115,282 Total column 10 Total 115,282 Schedule C Part II – Dividends Paid Out of Pre-1987 Accumulated Profits Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 Accumulated Profits for TY 4 Foreign Taxes Paid 5 Functional Currency 6a U.S. Dollars 6b Divide Col 6a by Col 4 7 Functional Currency 8a U.S. Dollars 8b Total column 8b Total Schedule C Part III – Deemed Inclusions From Pre-1987 Earnings and Profits Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 E&P for TY Indicated 4 Foreign Taxes Paid 5 Functional Currency 6a U.S. Dollars 6b Divide Col 6a by Col 4 7 Tax Deemed Paid 8 Total column 8 Total Schedule D Part I, Sec A – Tax Deemed Paid by First-Tier Foreign Corporations Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 Post-1986 Undistributed Earn 4 Opening Balance in Post-86 5 Taxes Paid 6a Taxes Deemed Paid 6b Post-1986 Foreign Income Tx 7 2nd Tier Corp–Func currency 8a 1st Tier Corp-Func currency 8b Divide Col 8a by Col 4 9 Tax Deemed Paid 10 Schedule D Part I, Sec B – Dividends Paid Out of Pre-1987 Accumulated Profits Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 3 Country of Incorporation 4 Accumulated Profits for TY 5 Foreign Taxes Paid nd 6a 2 Tier Corp–Func currency
194

International Finance Incorporated Form 1118 Test 5 Foreign Tax Credit – Corporations

11-0000005 2006

st 6b 1 Tier Corp-Func currency 7 Divide Col 6a by Col 4 8a Functional Currency 8b U.S. Dollars Schedule D Part II, Sec A – Tax Deemed Paid by Second-Tier Foreign Corporations Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 Post-1986 Undistributed Earn 4 Opening Balance in Post-86 5 Taxes Paid 6a Taxes Deemed Paid 6b Post-1986 Foreign Income Tx 7 3rd Tier Corp–Func currency 8a 2nd Tier Corp-Func currency 8b Divide Col 8a by Col 4 9 Tax Deemed Paid 10 Schedule D Part II, Sec B – Dividends Paid Out of Pre-1987 Accumulated Profits Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 Accumulated Profits for TY 4 Foreign Taxes Paid 5 3rd Tier Corp–Func currency 6a 2nd Tier Corp-Func currency 6b Divide Col 6a by Col 4 7 Functional Currency 8a U.S. Dollars 8b Schedule E Part I – Tax Deemed Paid by Third-Tier Foreign Corporations Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 Post-1986 Undistributed Earn 4 Opening Balance in Post-86 5 Taxes Paid 6a Taxes Deemed Paid 6b Post-1986 Foreign Income Tx 7 4th Tier Corp–Func currency 8a 3rd Tier Corp-Func currency 8b Divide Col 8a by Col 4 9 Tax Deemed Paid 10 Schedule E Part II – Tax Deemed Paid by Fourth-Tier Foreign Corporation Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 Post-1986 Undistributed Earn 4 Opening Balance in Post-86 5 Taxes Paid 6a Taxes Deemed Paid 6b

195

International Finance Incorporated Form 1118 Test 5 Foreign Tax Credit – Corporations

11-0000005 2006

Post-1986 Foreign Income Tx 7 5th Tier Corp–Func currency 8a 4th Tier Corp-Func currency 8b Divide Col 8a by Col 4 9 Tax Deemed Paid 10 Schedule E Part III – Tax Deemed Paid by Fifth-Tier Foreign Corporation Line Description Line Amount / Information Write-in / Literals Name of Foreign Corp 1 Tax Year End 2 Country of Incorporation 3 Post-1986 Undistributed Earn 4 Opening Balance in Post-86 5 Taxes Paid 6a Post-1986 Foreign Income Tx 7 6th Tier Corp–Func currency 8a 5th Tier Corp-Func currency 8b Divide Col 8a by Col 4 9 Tax Deemed Paid 10 Schedule F Gross Income and Definitely Allocable Deductions for Foreign Branches Line Description Line Amount / Information Write-in / Literals Name of Foreign Cntry or US A1 Gross Income A2 Definitely Allocable Deduction A3 Name of Foreign Cntry or US B1 Gross Income B2 Definitely Allocable Deduction B3 Totals Add lines A through F Total column 2 Total column 3 Schedule G Reductions of Taxes Paid, Accrued, or Deemed Paid Line Description Line Amount / Information Write-in / Literals Reduction under Sec 901(e) A Reduction of Oil,Gas Extract B Reduction due to Intl Boycott C Reduction for Sec 6038(c) D Other Reduction of Taxes E Total – Lines A through E Schedule H Part I – Research and Development Deductions Line Description Line Amount / Information Write-in / Literals Col (a) Product line #1 SIC Code Col (b) Gross Income Method Chkbx 1(a)(i) Totals – Gross Sales 1(a)(ii) Totals – R&D Deductions 1(a)(v) Totals – Total R&D Deduction 1(b)(vi) Totals – Gross Income 1(b)(vii) Totals – Total R&D Deduction 1(c) Totals – Total R&D Deduction Not Definitely Allocable 2(a)(i) Total to be App – Gross Sales 2(a)(ii) Total to be App – R&D Deductions 2(a)(v) Total to be App – Total R&D Deduction
196

International Finance Incorporated Form 1118 Test 5
2(b) (vi) 2(b) (vii) 2(c)

11-0000005 2006

Foreign Tax Credit – Corporations

3a(a)(i)

3a(a) (ii) 3a(a) (v) 3a(b) (vi) 3a(b) (vii) 3a(c)

3b(a)(i)

3b(a) (ii) 3b(a) (v) 3b(b) (vi) 3b(b) (vii) 3b(c)

3c(a)(i)

3c(a) (ii) 3c(a) (v) 3c(b) (vi) 3c(b) (vii) 3c(c)

3d(a)(i)

3d(a) (ii) 3d(a) (v) 3d(b) (vi) 3d(b) (vii)

Tot to be App – Gross Income Tot to be App – Total R&D Deduction Tot to be App – Total R&D Deduction Not Definitely Allocable Gen limit Incm – Gross Sales Gen limit Incm – R&D Deductions Gen limit Incm – Total R&D Deduction Gen limit Incm – Gross Income Gen limit Incm – Total R&D Deduction Gen limit Incm – Total R&D Deduction Not Definitely Allocable Passive Income – Gross Sales Passive Income – R&D Deductions Passive Income – Total R&D Deduction Passive Income – Gross Income Passive Income – Total R&D Deduction Passive Income – Total R&D Deduction Not Definitely Allocable High w/hold Intr – Gross Sales High w/hold Intr – R&D Deductions High w/hold Intr – Total R&D Deduction High w/hold Intr – Gross Income High w/hold Intr – Total R&D Deduction High w/hold Intr – Total R&D Deduction Not Definitely Allocable Financial Srvc Incm – Gross Sales Financial Srvc Incm – R&D Deduction Financial Srvc Incm – Total R&D Deduction Financial Srvc Incm – Gross Income Financial Srvc Incm – Total R&D Deduction

197

International Finance Incorporated Form 1118 Test 5
3d(c)

11-0000005 2006

Foreign Tax Credit – Corporations

3e(a)(i)

3e(a) (ii) 3e(a) (v) 3e(b) (vi) 3e(b) (vii) 3e(c)

3f(a)(i)

3f(a) (ii) 3f(a) (v) 3f(b) (vi) 3f(b) (vii) 3f(c)

3g(a)(i)

3g(a) (ii) 3g(a) (v) 3g(b) (vi) 3g(b) (vii) 3g(c)

3h(a)(i)

3h(a) (ii) 3h(a) (v) 3h(b) (vi) 3h(b) (vii) 3h(c)

4(a)(i)

Financial Srvc Incm – Total R&D Deduction Not Definitely Allocable Shipping Incm – Gross Sales Shipping Incm – R&D Deduction Shipping Incm – Total R&D Deduction Shipping Incm – Gross Income Shipping Incm – Total R&D Deduction Shipping Incm – Total R&D Deduction Not Definitely Allocable Frgn Trd Incm – Gross Sales Frgn Trd Incm – R&D Deduction Frgn Trd Incm – Total R&D Deduction Frgn Trd Incm – Gross Income Frgn Trd Incm – Total R&D Deduction Frgn Trd Incm – Total R&D Deduction Not Definitely Allocable Sec 901j incm – Gross Sales Sec 901j incm – R&D Deduction Sec 901j incm – Total R&D Deduction Sec 901j incm – Gross Income Sec 901j incm – Total R&D Deduction Sec 901j incm – Total R&D Deduction Not Definitely Allocable Treaty resource Incm – Gross Sales Treaty resource Incm – R&D Deduction Treaty resource Incm – Total R&D Deduction Treaty resource Incm – Gross Income Treaty resource Incm – Total R&D Deduction Treaty resource Incm – Total R&D Deduction Not Definitely Allocable Total foreign – Gross Sales

198

International Finance Incorporated Form 1118 Test 5
4(a)(ii) 4(a)(v) 4(b) (vi) 4(b) (vii) 4(c)

11-0000005 2006

Foreign Tax Credit – Corporations

Total foreign – R&D Deduction Total foreign – Total R&D Deduction

Total foreign – Gross Income Total foreign – Total R&D Deduction Total foreign – Total R&D Deduction Not Definitely Allocable Schedule H Part II – Interest Deductions, All Other Deductions, and Total Deductions Line Description Line Amount / Information Write-in / Literals Col (a) Avg Value of Assets checkbox Totals – Nonfinancial Corp 1a(i) Totals – Financial Corp 1a(ii) Totals – Interest Deductions 1a(b) Nonfinancial Corp (iii) Totals – Interest Deductions 1a(b) Financial Corp (iv) Totals - All Other Deductions 1a(c) Not Definitely Allocable Totals - Totals 1a(d) Temp Regs 1.861-10T(e) – 1b(i) Nonfinancial Corp Temp Regs 1.861-10T(e) – 1b(ii) Financial Corp Temp Regs 1.861-10T(e) – 1b(b) Interest Deductions (iii) Nonfinancial Corp Temp Regs 1.861-10T(e) – 1b(b) Interest Deductions Financial (iv) Corp Temp Regs 1.861-10T(e) - All 1b(c) Other Deductions Not Definitely Allocable Temp Regs 1.861-10T(e) 1b(d) Totals Temp Regs 1.861-10T – 1c(i) Nonfinancial Corp Temp Regs 1.861-10T – 1c(ii) Financial Corp Temp Regs 1.861-10T – 1c(b) Interest Deductions (iii) Nonfinancial Corp Temp Regs 1.861-10T – 1c(b) Interest Deductions Financial (iv) Corp Temp Regs 1.861-10T - All 1c(c) Other Deductions Not Definitely Allocable Temp Regs 1.861-10T 1c(d) Totals

199

International Finance Incorporated Form 1118 Test 5
1d(i) 1d(ii) 1d(b) (iii) 1d(b) (iv) 1d(c)

11-0000005 2006

Foreign Tax Credit – Corporations

1d(d) 2a(i) 2a(ii) 2a(b) (iii) 2a(b) (iv) 2a(c)

2a(d) 3a(i) 3a(ii) 3a(b) (iii) 3a(b) (iv) 3a(c)

3a(d) 3b(i) 3b(ii) 3b(b) (iii) 3b(b) (iv) 3b(c)

3b(d)

Assets excl fm apprmnt forumula – Nonfinancial Corp Assets excl fm apprmnt forumula – Financial Corp Assets excl fm apprmnt forumula – Interest Deductions Nonfinancial Corp Assets excl fm apprmnt forumula – Interest Deductions Financial Corp Assets excl fm apprmnt forumula - All Other Deductions Not Definitely Allocable Assets excl fm apprmnt forumula - Totals Total to be apportioned – Nonfinancial Corp Total to be apportioned – Financial Corp Total to be apportioned – Interest Deductions Nonfinancial Corp Total to be apportioned – Interest Deductions Financial Corp Total to be apportioned - All Other Deductions Not Definitely Allocable Total to be apportioned Totals Gen Limt – Nonfinancial Corp Gen Limt – Financial Corp Gen Limt – Interest Deductions Nonfinancial Corp Gen Limt – Interest Deductions Financial Corp Gen Limt - All Other Deductions Not Definitely Allocable Gen Limt - Totals Passive Income – Nonfinancial Corp Passive Income – Financial Corp Passive Income – Interest Deductions Nonfinancial Corp Passive Income – Interest Deductions Financial Corp Passive Income - All Other Deductions Not Definitely Allocable Passive Income - Totals

200

International Finance Incorporated Form 1118 Test 5
3c(i) 3c(ii) 3c(b) (iii) 3c(b) (iv) 3c(c)

11-0000005 2006

Foreign Tax Credit – Corporations

3c(d) 3d(i) 3d(ii) 3d(b) (iii) 3d(b) (iv) 3d(c)

3d(d) 3e(i) 3e(ii) 3e(b) (iii) 3e(b) (iv) 3e(c)

3e(d) 3f(i) 3f(ii) 3f(b) (iii) 3f(b) (iv) 3f(c)

3f(d) 3g(i) 3g(ii)

High w/holding tax int – Nonfinancial Corp High w/holding tax int – Financial Corp High w/holding tax int – Interest Deductions Nonfinancial Corp High w/holding tax int – Interest Deductions Financial Corp High w/holding tax int - All Other Deductions Not Definitely Allocable High w/holding tax int - Totals Finan srvcs incm – Nonfinancial Corp Finan srvcs incm – Financial Corp Finan srvcs incm – Interest Deductions Nonfinancial Corp Finan srvcs incm – Interest Deductions Financial Corp Finan srvcs incm - All Other Deductions Not Definitely Allocable Finan srvcs incm - Totals Shipping Incm – Nonfinancial Corp Shipping Incm – Financial Corp Shipping Incm – Interest Deductions Nonfinancial Corp Shipping Incm – Interest Deductions Financial Corp Shipping Incm - All Other Deductions Not Definitely Allocable Shipping Incm - Totals Frgn trade income – Nonfinancial Corp Frgn trade income – Financial Corp Frgn trade income – Interest Deductions Nonfinancial Corp Frgn trade income – Interest Deductions Financial Corp Frgn trade income - All Other Deductions Not Definitely Allocable Frgn trade income - Totals FSC or fmr FSC – Nonfinancial Corp FSC or fmr FSC – Financial Corp

201

International Finance Incorporated Form 1118 Test 5
3g(b) (iii) 3g(b) (iv) 3g(c)

11-0000005 2006

Foreign Tax Credit – Corporations

3g(d) 3h(i) 3h(ii) 3h(b) (iii) 3h(b) (iv) 3h(c)

3h(d) 3i(i) 3i(ii) 3i(b) (iii) 3i(b) (iv) 3i(c)

3i(d) 3j(i) 3j(ii) 3j(b) (iii) 3j(b) (iv) 3j(c)

3j(d) 4(i) 4(ii) 4(b) (iii) 4(b) (iv) 4(c)

FSC or fmr FSC – Interest Deductions Nonfinancial Corp FSC or fmr FSC – Interest Deductions Financial Corp FSC or fmr FSC - All Other Deductions Not Definitely Allocable FSC or fmr FSC - Totals DISC or fmr DISC – Nonfinancial Corp DISC or fmr DISC – Financial Corp DISC or fmr DISC – Interest Deductions Nonfinancial Corp DISC or fmr DISC – Interest Deductions Financial Corp DISC or fmr DISC - All Other Deductions Not Definitely Allocable DISC or fmr DISC - Totals Sec 901j incm – Nonfinancial Corp Sec 901j incm – Financial Corp Sec 901j incm – Interest Deductions Nonfinancial Corp Sec 901j incm – Interest Deductions Financial Corp Sec 901j incm - All Other Deductions Not Definitely Allocable Sec 901j incm - Totals Treaty resource Incm – Nonfinancial Corp Treaty resource Incm – Financial Corp Treaty resource Incm – Interest Deductions Nonfinancial Corp Treaty resource Incm – Interest Deductions Financial Corp Treaty resource Incm - All Other Deductions Not Definitely Allocable Treaty resource Incm - Totals Total Frgn– Nonfinancial Corp Total Frgn – Financial Corp Total Frgn – Interest Deductions Nonfinancial Corp Total Frgn – Interest Deductions Financial Corp Total Frgn - All Other Deds Not Def Allcbl

202

International Finance Incorporated Form 1118 Test 5
4(d) Total Frgn - Totals

11-0000005 2006

Foreign Tax Credit – Corporations

203

International Finance Incorporated

11-0000005

Schedule J (1118) Test 5

Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

2006

For calendar year 2006, or other tax year beginning , and ending Name of corporation: International Finance Incorporated EIN: 11-0000005 Part I Adjustments to Separate Limitation Income or (Losses) in Determining Numerators of Lim
Fractions

Line Description 1(i) 1(ii) 1(iii) 1(iv) 1(v) 1(vi) 1(vii) 1(viii) 1(ix) 2a(i) 2a(ii) 2a(iii) 2a(iv) 2a(v) 2a(vi) 2a(vii) 2a(viii) 2a(ix) 2b(i) 2b(ii) 2b(iii) 2b(iv) 2b(v) 2b(vi) 2b(vii) 2b(viii) 2b(ix) 2c(i) 2c(ii) 2c(iii) 2c(iv) 2c(v) 2c(vi) 2c(vii) 2c(viii) 2c(ix) 2d(i) 2d(ii) 2d(iii) 2d(iv) 2d(v)
Incm before adj – Gen limitation Incm before adj – Passive incm Incm before adj – High w/hold int Incm before adj – Financial srvcs Incm before adj – Shipping incm Incm before adj – DISC dividends Incm before adj – Frgn trd incm Incm before adj – FSC distribution Incm before adj – Other income Gen limit incm – Gen limitation Gen limit incm – Passive incm Gen limit incm – High w/hold int Gen limit incm – Financial srvcs Gen limit incm – Shipping incm Gen limit incm – DISC dividends Gen limit incm – Frgn trd incm Gen limit incm – FSC distribution Gen limit incm – Other income Passive incm – Gen limitation Passive incm – Passive incm Passive incm – High w/hold int Passive incm – Financial srvcs Passive incm – Shipping incm Passive incm – DISC dividends Passive incm – Frgn trd incm Passive incm – FSC distribution Passive incm – Other income High w/hld incm – Gen limitation High w/hld incm – Passive incm High w/hld incm – High w/hold int High w/hld incm – Financial srvcs High w/hld incm – Shipping incm High w/hld incm – DISC dividends High w/hld incm – Frgn trd incm High w/hld incm – FSC distribution High w/hld incm – Other income Fin srvcs incm – Gen limitation Fin srvcs incm – Passive incm Fin srvcs incm – High w/hold int Fin srvcs incm – Financial srvcs Fin srvcs incm – Shipping incm

Line Amount / Information 9,383,506

Write-in / Literals

204

International Finance Incorporated Schedule J (1118) Test 5

11-0000005 2006

Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

2d(vi) 2d(vii) 2d(viii) 2d(ix) 2e(i) 2e(ii) 2e(iii) 2e(iv) 2e(v) 2e(vi) 2e(vii) 2e(viii) 2e(ix) 2f(i) 2f(ii) 2f(iii) 2f(iv) 2f(v) 2f(vi) 2f(vii) 2f(viii) 2f(ix) 2g(i) 2g(ii) 2g(iii) 2g(iv) 2g(v) 2g(vi) 2g(vii) 2g(viii) 2g(ix) 2h(i) 2h(ii) 2h(iii) 2h(iv) 2h(v) 2h(vi) 2h(vii) 2h(viii) 2h(ix) 2i(i) 2i(ii) 2i(iii) 2i(iv) 2i(v) 2i(vi) 2i(vii) 2i(viii)

Fin srvcs incm – DISC dividends Fin srvcs incm – Frgn trd incm Fin srvcs incm – FSC distribution Fin srvcs incm – Other income Shipping incm – Gen limitation Shipping incm – Passive incm Shipping incm – High w/hold int Shipping incm – Financial srvcs Shipping incm – Shipping incm Shipping incm – DISC dividends Shipping incm – Frgn trd incm Shipping incm – FSC distribution Shipping incm – Other income DISC dividends – Gen limitation DISC dividends – Passive incm DISC dividends – High w/hold int DISC dividends – Financial srvcs DISC dividends – Shipping incm DISC dividends – DISC dividends DISC dividends – Frgn trd incm DISC dividends – FSC distribution DISC dividends – Other income Frgn trd incm – Gen limitation Frgn trd incm – Passive incm Frgn trd incm – High w/hold int Frgn trd incm – Financial srvcs Frgn trd incm – Shipping incm Frgn trd incm – DISC dividends Frgn trd incm – Frgn trd incm Frgn trd incm – FSC distribution Frgn trd incm – Other income FSC distribution – Gen limitation FSC distribution – Passive incm FSC distribution – High w/hold int FSC distribution – Financial srvcs FSC distribution – Shipping incm FSC distribution – DISC dividends FSC distribution – Frgn trd incm FSC distribution – FSC distribution FSC distribution – Other income Other income – Gen limitation Other income – Passive incm Other income – High w/hold int Other income – Financial srvcs Other income – Shipping incm Other income – DISC dividends Other income – Frgn trd incm Other income – FSC distribution

205

International Finance Incorporated Schedule J (1118) Test 5

11-0000005 2006

Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

2i(ix) 3(i) 3(ii) 3(iii) 3(iv) 3(v) 3(vi) 3(vii) 3(viii) 3(ix) 4(i) 4(ii) 4(iii) 4(iv) 4(v) 4(vi) 4(vii) 4(viii) 4(ix) 5(i) 5(ii) 5(iii) 5(iv) 5(v) 5(vi) 5(vii) 5(viii) 5(ix) 6(i) 6(ii) 6(iii) 6(iv) 6(v) 6(vi) 6(vii) 6(viii) 6(ix) 7a(i) 7a(ii) 7a(iii) 7a(iv) 7a(v) 7a(vi) 7a(vii) 7a(viii) 7a(ix) 7b(i) 7b(ii)

Other income – Other income Subtotal – Gen limitation Subtotal – Passive incm Subtotal – High w/hold int Subtotal – Financial srvcs Subtotal – Shipping incm Subtotal – DISC dividends Subtotal – Frgn trd incm Subtotal – FSC distribution Subtotal – Other income Overall frgn loss – Gen limitation Overall frgn loss – Passive incm Overall frgn loss – High w/hold int Overall frgn loss – Financial srvcs Overall frgn loss – Shipping incm Overall frgn loss – DISC dividends Overall frgn loss – Frgn trd incm Overall frgn loss – FSC distribution Overall frgn loss – Other income Recpt frgn loss – Gen limitation Recpt frgn loss – Passive incm Recpt frgn loss – High w/hold int Recpt frgn loss – Financial srvcs Recpt frgn loss – Shipping incm Recpt frgn loss – DISC dividends Recpt frgn loss – Frgn trd incm Recpt frgn loss – FSC distribution Recpt frgn loss – Other income Subtotal (ln 6)– Gen limitation Subtotal (ln 6)– Passive incm Subtotal (ln 6)– High w/hold int Subtotal (ln 6)– Financial srvcs Subtotal (ln 6)– Shipping incm Subtotal (ln 6)– DISC dividends Subtotal (ln 6)– Frgn trd incm Subtotal (ln 6)– FSC distribution Subtotal (ln 6)– Other income Gen limit incm – Gen limitation Gen limit incm – Passive incm Gen limit incm – High w/hold int Gen limit incm – Financial srvcs Gen limit incm – Shipping incm Gen limit incm – DISC dividends Gen limit incm – Frgn trd incm Gen limit incm – FSC distribution Gen limit incm – Other income Passive incm – Gen limitation Passive incm – Passive incm

9,383,506

9,383,506

206

International Finance Incorporated Schedule J (1118) Test 5

11-0000005 2006

Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

7b(iii) 7b(iv) 7b(v) 7b(vi) 7b(vii) 7b(viii) 7b(ix) 7c(i) 7c(ii) 7c(iii) 7c(iv) 7c(v) 7c(vi) 7c(vii) 7c(viii) 7c(ix) 7d(i) 7d(ii) 7d(iii) 7d(iv) 7d(v) 7d(vi) 7d(vii) 7d(viii) 7d(ix) 7e(i) 7e(ii) 7e(iii) 7e(iv) 7e(v) 7e(vi) 7e(vii) 7e(viii) 7e(ix) 7f(i) 7f(ii) 7f(iii) 7f(iv) 7f(v) 7f(vi) 7f(vii) 7f(viii) 7f(ix) 7g(i) 7g(ii) 7g(iii) 7g(iv) 7g(v)

Passive incm – High w/hold int Passive incm – Financial srvcs Passive incm – Shipping incm Passive incm – DISC dividends Passive incm – Frgn trd incm Passive incm – FSC distribution Passive incm – Other income High w/hld incm – Gen limitation High w/hld incm – Passive incm High w/hld incm – High w/hold int High w/hld incm – Financial srvcs High w/hld incm – Shipping incm High w/hld incm – DISC dividends High w/hld incm – Frgn trd incm High w/hld incm – FSC distribution High w/hld incm – Other income Fin srvcs incm – Gen limitation Fin srvcs incm – Passive incm Fin srvcs incm – High w/hold int Fin srvcs incm – Financial srvcs Fin srvcs incm – Shipping incm Fin srvcs incm – DISC dividends Fin srvcs incm – Frgn trd incm Fin srvcs incm – FSC distribution Fin srvcs incm – Other income Shipping incm – Gen limitation Shipping incm – Passive incm Shipping incm – High w/hold int Shipping incm – Financial srvcs Shipping incm – Shipping incm Shipping incm – DISC dividends Shipping incm – Frgn trd incm Shipping incm – FSC distribution Shipping incm – Other income DISC dividends – Gen limitation DISC dividends – Passive incm DISC dividends – High w/hold int DISC dividends – Financial srvcs DISC dividends – Shipping incm DISC dividends – DISC dividends DISC dividends – Frgn trd incm DISC dividends – FSC distribution DISC dividends – Other income Frgn trd incm – Gen limitation Frgn trd incm – Passive incm Frgn trd incm – High w/hold int Frgn trd incm – Financial srvcs Frgn trd incm – Shipping incm

207

International Finance Incorporated Schedule J (1118) Test 5

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Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

7g(vi) 7g(vii) 7g(viii) 7g(ix) 7h(i) 7h(ii) 7h(iii) 7h(iv) 7h(v) 7h(vi) 7h(vii) 7h(viii) 7h(ix) 7i(i) 7i(ii) 7i(iii) 7i(iv) 7i(v) 7i(vi) 7i(vii) 7i(viii) 7i(ix) 8(i) 8(ii) 8(iii) 8(iv) 8(v) 8(vi) 8(vii) 8(viii) 8(ix) 9(i) 9(ii) 9(iii) 9(iv) 9(v) 9(vi) 9(vii) 9(viii) 9(ix) 10(i) 10(ii) 10(iii) 10(iv) 10(v) 10(vi) 10(vii) 10(viii)

Frgn trd incm – DISC dividends Frgn trd incm – Frgn trd incm Frgn trd incm – FSC distribution Frgn trd incm – Other income FSC distribution – Gen limitation FSC distribution – Passive incm FSC distribution – High w/hold int FSC distribution – Financial srvcs FSC distribution – Shipping incm FSC distribution – DISC dividends FSC distribution – Frgn trd incm FSC distribution – FSC distribution FSC distribution – Other income Other income – Gen limitation Other income – Passive incm Other income – High w/hold int Other income – Financial srvcs Other income – Shipping incm Other income – DISC dividends Other income – Frgn trd incm Other income – FSC distribution Other income – Other income Subtotal (ln 8)– Gen limitation Subtotal (ln 8) – Passive incm Subtotal (ln 8)– High w/hold int Subtotal (ln 8)– Financial srvcs Subtotal (ln 8)– Shipping incm Subtotal (ln 8)– DISC dividends Subtotal (ln 8) – Frgn trd incm Subtotal (ln 8)– FSC distribution Subtotal (ln 8) – Other income Subtotal (ln 9)– Gen limitation Subtotal (ln 9) – Passive incm Subtotal (ln 9)– High w/hold int Subtotal (ln 9)– Financial srvcs Subtotal (ln 9)– Shipping incm Subtotal (ln 9)– DISC dividends Subtotal (ln 9) – Frgn trd incm Subtotal (ln 9)– FSC distribution Subtotal (ln 9) – Other income Allocation CY – Gen limitation Allocation CY – Passive incm Allocation CY – High w/hold int Allocation CY – Financial srvcs Allocation CY – Shipping incm Allocation CY – DISC dividends Allocation CY – Frgn trd incm Allocation CY – FSC distribution

9,383,506

9,383,506

208

International Finance Incorporated Schedule J (1118) Test 5

11-0000005 2006

Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

10(ix) Allocation CY – Other income 11(i) Num Limit Frac – Gen limitation 11(ii) 9,383,506 Num Limit Frac – Passive incm 11(iii) Num Limit Frac – High w/hold int 11(iv) Num Limit Frac – Financial srvcs 11(v) Num Limit Frac – Shipping incm 11(vi) Num Limit Frac – DISC dividends 11(vii) Num Limit Frac – Frgn trd incm 11(viii) Num Limit Frac – FSC distribution 11(ix) Num Limit Frac – Other income Part II Year-End Balances of Future Separate Limitation Income That Must Be Recharacterized a(i) Gen limit incm – Gen limitation a(ii) Gen limit incm – Passive incm a(iii) Gen limit incm – High w/hold int a(iv) Gen limit incm – Financial srvcs a(v) Gen limit incm – Shipping incm a(vi) Gen limit incm – DISC dividends a(vii) Gen limit incm – Frgn trd incm a(viii) Gen limit incm – FSC distribution a(ix) Gen limit incm – Other income b(i) Passive incm – Gen limitation b(ii) Passive incm – Passive incm b(iii) Passive incm – High w/hold int b(iv) Passive incm – Financial srvcs b(v) Passive incm – Shipping incm b(vi) Passive incm – DISC dividends b(vii) Passive incm – Frgn trd incm b(viii) Passive incm – FSC distribution b(ix) Passive incm – Other income c(i) High w/hld incm – Gen limitation c(ii) High w/hld incm – Passive incm c(iii) High w/hld incm – High w/hold int c(iv) High w/hld incm – Financial srvcs c(v) High w/hld incm – Shipping incm c(vi) High w/hld incm – DISC dividends c(vii) High w/hld incm – Frgn trd incm c(viii) High w/hld incm – FSC distribution c(ix) High w/hld incm – Other income d(i) Fin srvcs incm – Gen limitation d(ii) Fin srvcs incm – Passive incm d(iii) Fin srvcs incm – High w/hold int d(iv) Fin srvcs incm – Financial srvcs d(v) Fin srvcs incm – Shipping incm d(vi) Fin srvcs incm – DISC dividends d(vii) Fin srvcs incm – Frgn trd incm d(viii) Fin srvcs incm – FSC distribution d(ix) Fin srvcs incm – Other income e(i) Shipping incm – Gen limitation

209

International Finance Incorporated Schedule J (1118) Test 5

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Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

e(ii) e(iii) e(iv) e(v) e(vi) e(vii) e(viii) e(ix) f(i) f(ii) f(iii) f(iv) f(v) f(vi) f(vii) f(viii) f(ix) g(i) g(ii) g(iii) g(iv) g(v) g(vi) g(vii) g(viii) g(ix) h(i) h(ii) h(iii) h(iv) h(v) h(vi) h(vii) h(viii) h(ix) i(i) i(ii) i(iii) i(iv) i(v) i(vi) i(vii) i(viii) i(ix) Part III 1(i) 1(ii) 1(iii)

Shipping incm – Passive incm Shipping incm – High w/hold int Shipping incm – Financial srvcs Shipping incm – Shipping incm Shipping incm – DISC dividends Shipping incm – Frgn trd incm Shipping incm – FSC distribution Shipping incm – Other income DISC dividends – Gen limitation DISC dividends – Passive incm DISC dividends – High w/hold int DISC dividends – Financial srvcs DISC dividends – Shipping incm DISC dividends – DISC dividends DISC dividends – Frgn trd incm DISC dividends – FSC distribution DISC dividends – Other income Frgn trd incm – Gen limitation Frgn trd incm – Passive incm Frgn trd incm – High w/hold int Frgn trd incm – Financial srvcs Frgn trd incm – Shipping incm Frgn trd incm – DISC dividends Frgn trd incm – Frgn trd incm Frgn trd incm – FSC distribution Frgn trd incm – Other income FSC distribution – Gen limitation FSC distribution – Passive incm FSC distribution – High w/hold int FSC distribution – Financial srvcs FSC distribution – Shipping incm FSC distribution – DISC dividends FSC distribution – Frgn trd incm FSC distribution – FSC distribution FSC distribution – Other income Other income – Gen limitation Other income – Passive incm Other income – High w/hold int Other income – Financial srvcs Other income – Shipping incm Other income – DISC dividends Other income – Frgn trd incm Other income – FSC distribution Other income – Other income

Overall Foreign Loss Account Balances (section 904(f)(1))
Begn balance – Gen limitation Begn balance – Passive incm Begn balance – High w/hold int

210

International Finance Incorporated Schedule J (1118) Test 5

11-0000005 2006

Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

1(iv) 1(v) 1(vi) 1(vii)
1(viii)

1(ix) 2(i) 2(ii) 2(iii) 2(iv) 2(v) 2(vi) 2(vii)
2(viii)

2(ix) 3(i) 3(ii) 3(iii) 3(iv) 3(v) 3(vi) 3(vii)
3(viii)

3(ix) 4(i) 4(ii) 4(iii) 4(iv) 4(v) 4(vi) 4(vii)
4(viii)

4(ix) 5(i) 5(ii) 5(iii) 5(iv) 5(v) 5(vi) 5(vii)
5(viii)

5(ix) 6(i) 6(ii) 6(iii) 6(iv) 6(v) 6(vi)

Begn balance – Financial srvcs Begn balance – Shipping incm Begn balance – DISC dividends Begn balance – Frgn trd incm Begn balance – FSC distribution Begn balance – Other income CY additions – Gen limitation CY additions – Passive incm CY additions – High w/hold int CY additions – Financial srvcs CY additions – Shipping incm CY additions – DISC dividends CY additions – Frgn trd incm CY additions – FSC distribution CY additions – Other income CY reductions – Gen limitation CY reductions – Passive incm CY reductions – High w/hold int CY reductions – Financial srvcs CY reductions – Shipping incm CY reductions – DISC dividends CY reductions – Frgn trd incm CY reductions – FSC distribution CY reductions – Other income Subtotal (ln 4) – Gen limitation Subtotal (ln 4) – Passive incm Subtotal (ln 4) – High w/hold int Subtotal (ln 4) – Financial srvcs Subtotal (ln 4) – Shipping incm Subtotal (ln 4) – DISC dividends Subtotal (ln 4) – Frgn trd incm Subtotal (ln 4) – FSC distribution Subtotal (ln 4) – Other income CY recapture – Gen limitation CY recapture – Passive incm CY recapture – High w/hold int CY recapture – Financial srvcs CY recapture – Shipping incm CY recapture – DISC dividends CY recapture – Frgn trd incm CY recapture – FSC distribution CY recapture – Other income Ending balance – Gen limitation Ending balance – Passive incm Ending balance – High w/hold int Ending balance – Financial srvcs Ending balance – Shipping incm Ending balance – DISC dividends

211

International Finance Incorporated Schedule J (1118) Test 5

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Adjustments to Separate Limitation Income (Loss) Categories for Determining Numerators of Limitation Fractions, Year-End Recharacterization Balances, and Overall Foreign Loss Account Balances

6(vii)
6(viii)

6(ix)

Ending balance – Frgn trd incm Ending balance – FSC distribution Ending balance – Other income

212

International Finance Incorporated

11-0000005

Form 5471 Test 5

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Annual Accounting Period beginning 01/01 , 2006, ending 12/31 , 2006 Part I Reporting Corporation Name and Address: International Finance Incorporated 35 Any Street, Anytown, NY 10006 Line Description Line Amount / Info Write-in / Literal EIN A 11-0000005 Category of filer checkboxes B Box 4 and 5 Checked Total % of frgn corp stock C 100 Filer’s tax year beginning 01/01 , 2006, ending 12/31 , 2006 Name D(1) Address D(2) Identifying Number D(3) Check applicable boxes D(4) Foreign Finance Corporation 75 Any Street, Birmingham Name/address of frgn corp 1a England 126375 EIN, if any 1b Cnty whose laws incorp 1c UK Date of Incorporation 1d 01/01/90 Principal place of business 1e United Kingdom Principal business act code 1f 523900 Other Financial Principal business activity 1g Investment Functional currency 1h British Pound U.S. name, address, EIN 2a Taxable income or (loss) 2b(i) 2b(ii) U.S. income tax paid Samual Addams 75 Any Street, Birmingham Frgn corp name, address 2c England 126375 Name, add of person w/ bks 2d Sch A Stock of the Foreign Corporation Desc of each class of stock (a) Common (b)(i) Beg of annual acct period 1,000 (b)(ii) End of annual acct period 1,000 Desc of each class of stock (a) Preferred (b)(i) Beg of annual acct period 258,280 (b)(ii) End of annual acct period 258,280 Sch B U.S. Shareholders of Foreign Corporation International Finance Incorporated 35 Any Street, Anytown, NY Name, add, EIN of shrholdr (a) 10006 11-0000005 Desc of each class of stock (b) Common Number shares held at beg (c) 1,000 Number shares held at end (d) 1,000 Pro rata share of subpart F (e) 100 International Finance Incorporated 35 Any Street, Anytown, NY Name, add, EIN of shrholdr (a) 10006 11-0000005
213

International Finance Incorporated Form 5471 Test 5
(b) (c) (d) (e) Sch C 1a 1b 1c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Sch E 1(a) 1(b) 1(c) 1(d) 2(a) 2(b) 2(c) 2(d) 8 Sch F

11-0000005 2006

Information Return of U.S. Persons With Respect to Certain Foreign Corporations
Class B Preferred 258,280 258,280 100 Func Curr US Dollars

Desc of each class of stock Number shares held at beg Number shares held at end Pro rata share of subpart F Income Statement Gross receipt or sales Returns and allowances Subtract line 1b fm line 1a Cost of goods sold Gross profit
Dividends

Interest Gross,rents,royalties,lic fees Net gain or (loss) Other income Total income Compensation of officers Rents, royalties, license fees Interest Deprec not deduc elsewhere Depletion Taxes Other deductions Total deductions Net income or (loss)
Extraordinary items & pr pd adj

8,224,411 14,988,962

5,560,524 10,134,037

23,213,373 2,588,175 36,977

15,694,561 1,749,865 25,000

121 556,318 3,181,591 20,031,782

82 376,127 2,151,074 13,543,487

See Attachment 8

1 2a 2b 3 4 5 6 7

7,818,965 5,286,402 12,212,817 8,257,085 Income, War Profits, and Excess Profits Taxes Paid or Accrued Country or U.S. possession U.S. Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Country or U.S. possession United Kingdom Amount of tax in frgn currency 7,969,922 Amount of tax conver rate 0.6761 Amount of tax in U.S. dollars 5,388,464 Total 5,388,464 Balance Sheet (a) Beginning of (b) End of annual Assets annual acct period acct period Cash 8,557,500 3,281,502 855,858 15,006,554 Trade notes and accts recvble Less allowances for bad debts Inventories
Current year net income (loss)

Provision for incm,war profits

Other current assets Loan to shareholders Investment in subsidiaries Other investments

255,108 46,001,741

243,012

See Attachment 9

57,437

36,820,277

See Attachment 10
214

International Finance Incorporated Form 5471 Test 5
8a 8b 9a 9b 10 11a 11b 11c 11d 12 13 14 15 16 17 18a 18b 19 20 21 22 Sch G

11-0000005 2006

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

Bldgs & other deprec assets Less accumulated deprec Depletable assets Less accumulated deprec Land Intangible assets-Goodwill Intangible assets-Org costs Intangible assets-Patents,etc Intangible assets-Less accum Other assets Total assets Liabilities Accounts payable Other current liabilities Loans fm shareholders Other liabilities Capital stock – Preferred Capital stock – Common Paid-in or capital surplus Retained earnings Less cost of treasury stock Total liabilities & shrhldr equi Other Information Line Description Frgn corp owned > 10% int chckbx Frgn corp owned int in stock
chckbx

11,727,492

21,085,517

67,455,136

76,436,862 68,312

4,001,670

5,080,202

See Attachment 11 See Attachment 12

2,016,428 76,727,110 1,000,000 (16,290,072) 67,455,136 Line Amount / Info No

1,247,422 76,727,110 1,000,000 (7,686,184) 76,436,862 Write-in / Literal

1 2

No Frgn corp owned frgn entities disre 3 No Sch H Current Earnings and Profits Current year net income 1 12,212,817 Net Additions Capital gains or losses 2a 2b Depreciation and amortization 2c Depletion 2d 355,647 Investment or incentive allw 2e Charges to statutory reserves 2f Inventory adjustments 2g Taxes 2h 3 4 5a 5b 5c 5d
Other

Net Subtractions

Write-in / Literal

113,140 515,184 628,324 See Attachment 13

Total net additions Total net subtraction Current earnings & profits 13,886,424 DASTM gain or (loss) Combine lines 5a and 5b 13,886,424 Current E&P in U.S. dollars 9,388,611 Exchange Rate Used .6761 Sch I Summary of Shareholder’s Income

1,946,284 2,301,931

215

International Finance Incorporated Form 5471 Test 5 Information Return of U.S. Persons With Respect to Certain Foreign Corporations
Line Amount / Info 9,388,611 Write-in / Literal

11-0000005 2006

1 2 3 4 5 6 7 8

Line Description Subpart F income Earnings invested in US prop Prev excld subpart F incm Prev excld export trade incm Factoring income Total of lines 1 through 5 Dividends received Exchange gain or (loss) Incm of frgn corp blk’d chckbx
Frgn corp incmn unblk’d chckbx

9,388,611

No No

216

International Finance Incorporated

11-0000005

Sch J (F5471) Test 5

Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation

2006

Line Description Name of person filing Form 5471 Identifying number Name of foreign corporation Balance Beginning of Yr – Post1986 Undistributed Earnings Balance Beginning of Yr – Pre-1987 E&P Not Previous Taxed Balance Beginning of Yr – Earnings Invested US Property Balance Beginning of Yr – Earnings Invested Excess Passive Balance Beginning of Yr – Subpart F Income Balance Beginning of Yr – Total Sec 964(a) E&P CY E&P – Post 1986 Undist Earn CY deficit in E&P – Post-1986 Undistributed Earnings Total E&P not previously taxed – Post-1986 Undistributed Earnings Total E&P not previously taxed – Pre-1987 not previously taxed Sec 951(a), 959(c) – Post-1986 Undistributed Earnings Sec 951(a), 959(c) – Pre-1987 E&P Not Previous Taxed Sec 951(a), 959(c) – Earnings Invested US Property Sec 951(a), 959(c) – Earnings Invested Excess Passive Sec 951(a), 959(c) – Subpart F Income Actual dist nonpreviously taxed – Earnings Invested US Property Actual dist nonpreviously taxed – Earnings Invested Excess Passive Actual dist nonpreviously taxed – Subpart F Income Actual dist previously taxed – Post1986 Undistributed Earnings Actual dist previously taxed – Pre1987 E&P Not Previous Taxed Balance of previously taxed E&P – Earnings Invested US Property Balance of previously taxed E&P – Earnings Invested Excess Passive Balance of previously taxed E&P –

Line Amount / Information International Finance Corporation 11-0000005 Foreign Finance Corporation 20,546,204 69,100,775

Write-in / Literal / Attachments

1(a) 1(b) 1(c)(i) 1(c)(ii) 1(c) (iii) 1(d) 2a(a) 2b(a) 3(a) 3(b) 4(a) 4(b) 4(c)(i) 4(c)(ii) 4(c) (iii) 5a(c) (i) 5a(c) (ii) 5a(c) (iii) 5b(a) 5b(b) 6a(c) (i) 6a(c) (ii) 6a(c)

430,230 90,077,209 13,886,424

34,432,628 69,100,775 13,886,424

13,886,424

14,316,654

217

International Finance Incorporated Sch J (F5471) Test 5 Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation 2006

11-0000005

(iii) 6b(a) 6b(b) 7(a) 7(b) 7(c)(i) 7(c)(ii) 7(c) (iii) 7(d)

Subpart F Income Balance of E&P not prev taxed – Post-1986 Undistributed Earnings Balance of E&P not prev taxed – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Post-1986 Undistributed Earnings Balance At end of Yr – Pre-1987 E&P Not Previous Taxed Balance At end of Yr – Earnings Invested US Property Balance At end of Yr – Earnings Invested Excess Passive Balance At end of Yr – Subpart F Income Balance At end of Yr – Total Sec 964(a) E&P

20,546,204 69,100,775 20,546,204 69,100,575

14,316,654 103,963,633

218

International Finance Incorporated

11-0000005

Schedule M (5471) Test2

Transactions Between Controlled Foreign Corporation and Shareholders or Other Related Persons

TY 2006

Name of person filing Form 5471: International Finance Incorporated Identifying number: 11-0000005 Name of foreign corporation: Foreign Finance Corporation Relevant functional currency and exchange rate used throughout this schedule: (a) Transactions of (b) U.S. (c) Any dom (d) Any (e)10% or foreign corporation person filing corp or other foreign more (other this return partnership corp than U.S. person) Sales of stock in trade 1 Sales of prop rights 2 Compensation rec'd 3 Commissions received 4 Rents, royalties, & lic 5 10,134,038 Dividends received 6 Interest received 7 5,560,524 Premiums received 8 Add lines 1 through 8 9 15,694,562 10 Purchases of stock 11 Purch of tangible prop 12 Purch of prop rights 13 Compensation paid 14 Commissions paid 15 Rents, royalties, & lic 16 Dividends paid 17 Interest paid 18 Add lines 10 thru 17 19 Amounts borrowed 20 Amounts loaned

(f) 10% or more corp controlling frgn corp

219

International Finance Incorporated

11-0000005

Sch O (F5471)Test 5

Organization or Reorganization of Foreign Corporation, and Acquisitions and Dispositions of its Stock

2006

Part I (a) (b) (c) (d) (e) Part II (a) (b)(1) (b)(2) (b)(3) (c) Part II (a) (b) (c) (d) Part II (a) (b) (c) (d) (e)(1) (e)(2) (e)(3) (f) (g) Part II (a) (b) (c) (d) (e)(1) (e)(2) (e)(3) (f) (g) Part II

Line Description Line Amount / Info Write-in / Literal Name of person filing: International Finance Incorporated EIN: 11-0000005 Name of frgn corp Foreign Finance Corp. To Be Completed by U.S. Officers and Directors International Finance Name of shareholder Incorporated 35 Any Street Address of shareholder Anytown, NY 10006 Identifying number 11-0000005 Date of orig 10% acquisition 1-1-1990 Date of addl 10% acquisition Sec A - To Be Completed by U.S. Shareholders International Finance Name, address, ID number Incorporated 35 Any Street Type of return Anytown, NY 10006 Date return filed 9-15-2007 IRS Center where filed Ogden Date shareholder last filed Sec B – U.S. Persons Who Are Officers or Directors of the Foreign Corporation Name of officer or director Address Social security number Officer or Director checkbox Sec C – Acquisition of Stock Foreign Finance Name of shareholder(s) Corporation Class of stock acquired Common Date of acquisition 12/31/2006 Method of acquisition Purchase Num shr aquired-Directly 1,000 Num shr aquired-Indirectly Num shr aquired-Constrvly Amount paid or value given $9,000,000 Name, address of person fm whom shares aquired Sec D – Disposition of Stock Name of shareholder(s) Class of stock Date of disposition Method of disposition Num shr disposed-Directly Num shr disposed-Indirectly Num shr disposed-Constrly Amount received Name, address of person to whom disposition made Sec E – Organization or Reorganization of Foreign Corporation

220

International Finance Incorporated Sch O (F5471)Test 5 Organization or Reorganization of Foreign Corporation, and Acquisitions and Dispositions of its Stock

11-0000005 2006

Name,address of transferor Identifying number Date of transfer Description of assets Fair market value Adjusted basis Line Description Line Amount / Info Desc of assets transfered (e) Part II Sec F – Additional Information Filed return last 3yrs (a) Date of reorg last 4 yrs (b) Member of group constituting a chain of ownership (c) (a) (b) (c) (d)(1) (d)(2) (d)(3)

Write-in / Literal

221

International Finance Incorporated

11-0000005

Form 8832 Test 5

Entity Classification Election

2005

Name of entity: DEF International Finance EIN: 11-0000017 Number, street and room or suite no: Helmstraat 100 City or town, state, and ZIP code: Maastricht Netherlands Line Description Line Amount / Information Write-in / Literal 1 Type of election Initial classification by a newly1a formed entity Checked Change in current 1b classification Has eligible entity previously 2a filed an election with effective date within 60 months Was prior election for initial 2b classification by newly formed entity effective on date of formation Does the eligible entity have 3 No more than one owner? If the eligible entity has only one owner, provide the following information: Name of owner 4a International Finance Identifying number of owner 4b 11-0000005 Eligible entity owned by one or more affiliated corporation that filed consolidated return Name of parent corporation 5a Employer identification No 5b Type of Entity Domestic eligible entity 6a classified as a association taxable as a corporation Domestic eligible entity 6b classified as a partnership Domestic eligible entity with 6c single owner to be disregarded as separate entity Foreign eligible entity to be 6d classified as association taxable as corporation Foreign eligible entity to be 6e classified as partnership Foreign eligible entity with 6f single owner to be disregarded as a separate entity Checked Name of organization of 7 created or organized in a foreign jurisdiction Netherlands Effective beginning (mo, day, 8 yr) 12/31/2006 Name and title of contact 9 Sam Brown Tax person Administrator Phone number of contact 10 person 512 555 5550 Signature, Date, Title
222

International Finance Incorporated

11-0000005

Form 8858 Test 5

Information Return of U.S. Persons With Respect To Foreign Disregarded Entities
Sam Shade 999-06-0010 35 Any Street Anytown, NY 10006 01/01 , 20 06 , and ending 12/31 Entry DEF International Finance Helmstraat 100 Maastricht, Netherlands 11-0000017 Netherlands Foreign Entity 12/30/2006 12/31/2006

2006

Name of person Filer’s Identification No. Number, street City or town, state, and ZIP code Filer's tax year beginning Line Description

, 20 06 Write-in / Literal

Name and address of foreign disregarded entity U.S. identifying number, if any Country(ies) under whose laws organized 1c and entity type 1d Date(s) of organization 1e Effective date as foreign disregarded entity 1f Treaty and article number Country in which principal business activity 1g is conducted Netherlands 1h Principal business activity 1i Functional currency Name, address, and id number of branch 2a office or agent in the U.S. Name and address with custody of books 2b and records 3a Tax owner name and address Annual accounting period covered by the 3b return 3c U.S. identifying number 3d Country under whose laws organized 3e Functional currency 4a Direct owner name and address 4b Country under whose laws organized 4c U.S. identifying number 4d Functional currency Attach an organizational chart 5 Schedule C Income Statement Gross receipts or sales (net of returns and allowances) 1 Cost of goods sold 2 Gross profit (subtract line 2 from line 1) 3 Other income 4 Total income (add lines 3 and 4) 5 Total deductions 6 Other adjustments 7 Net income (loss) per books 8 Schedule C-1 Section 987 Gain or Loss Information Remittances - Amount stated in functional 1a currency of foreign disregarded entity Remittances - Amount stated in functional 1b currency of recipient 1a 1b

223

International Finance Incorporated Form 8858 Test 5 Information Return of U.S. Persons With Respect To Foreign Disregarded Entities 2006

11-0000005

Section 987 gain (loss) of recipient Amount stated in functional currency of 2a foreign disregarded entity Section 987 gain (loss) of recipient Amount stated in functional currency of 2b foreign disregarded entity Was all remittances from foreign disregarded entity treated as made to direct owner? 3 Did the tax owner change its method of accounting for section 987 gain or loss 4 Schedule F Balance Sheet Line Description Line Amount Cash and other current assets - Beg of 1a annual accounting period Cash and other current assets - End of 1b annual accounting period Other assets - Beg of annual accounting 2a period Other assets - End of annual accounting 2b period Total assets - Beg of annual accounting 3a period Total assets - End of annual accounting 3b period 4a Liabilities - Beg of annual accounting period 4b Liabilities - End of annual accounting period Owner's equity - Beginning of annual 5a accounting period Owner's equity - End of annual accounting 5b period Total liabilities and owner's equity - Beg of 6a annual accounting period Total liabilities and owner's equity - End of 6b annual accounting period Schedule G Other Information Own any interest in any trust? 1 Own at least 10% interest? 2 Owner claim a loss as a result of the election? 3 Separate unit? 4 Any intracompany transactions? 5 Schedule H Current Earnings and Profits or Taxable Income Current year net income or (loss) per foreign books of account 1 Total net additions 2 Total net subtractions 3 Current earnings and profits 4 DASTM gain or loss 5 Combine lines 4 and 5 6 Current earnings and profits (or taxable income) 7

Write-in / Literal

224

International Finance Incorporated

11-0000005

225

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

TEST SCENARIO 6 FORMS REQUIRED: 1120S, 4562, 4797, Sch K-1(2), 8453-S ATTACHMENTS:
ItemizedOtherIncomeSchedule2 ItemizedOtherDeductionsSchedule2 ItemizedOtherCostsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentSchedule ItemizedOtherAssetsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedIncomeNotRecordedonBooksSchedule2 ItemizedDeductionsNotChargedAgainstBooksSchedule2 AccumulatedAdjustmentsAccountOtherAdditionsSchedule AccumulatedAdjustmentsAccountOtherReductionsSchedule DispositionOfPropWithSect179DeductionsStatement (2)

BINARY ATTACHMENTS: HEADER INFO: Tax Period: Preparer Firm

Scanned 8453-S (8453 Signature Document)

Calendar Year 2006 Electronic Tax Filers, Inc. 11-0000011 100 Efile Drive Anytown, TX 78621

MultipleSoftwarePackagesUsed: No Originator: EFIN: Self-select Type: ERO NameControl: GREA Practioner PIN: N/A EFIN: N/A PIN: N/A PIN Entered by: N/A Name: Carmen Sandiego Title: President Taxpayer PIN: N/A Phone: 202-555-1212 Email Address: Date Signed: 01/25/07 Binary Attachment 8453 Signature Document 1120S
Great Atomic Pyrotechnics & Designs, Inc.

Officer:

Signature Option: Return Type: Taxpayer Name: EIN: Name Control:

11-0000006
GREA

226

Great Atomic Pyrotechnics & Designs, Inc. Address: 36 Any Street Boomtown, CA 90062 Name: Johnny Appleseed SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: Date Prepared: 01/20/07 Self Employed: Yes N/A

11-0000006

Preparer:

IRS PAYMENT:

Details for attachments to Forms 1120S, 4562, 4797, Sch K-1(2) Attachment 1, Form 1120S, Page 1, Line 5: Other Income (Loss) (ItemizedOtherIncomeSchedule2) Miscellaneous Income 4,860

Attachment 2, Form 1120S, Page 1, Line 19: Other Deductions (ItemizedOtherDeductionsSchedule2) Vehicle Expenses Charges – Bank & Financial Dues & Subscriptions Insurance Miscellaneous Office Supplies Postage & Delivery Printing & Reproduction Professional Fees Repairs to Equipment Small Tools Utilities Amortization 50% of Meals & Entertainment Total (element not in schema do not need to input ... info purposes only) 19,567 415 200 22,232 255 1,220 207 158 620 679 3,247 4,551 18 487 53,856

Attachment 3, Form 1120S, Page 2, Sch A, Line 5: Other Costs (ItemizedOtherCostsSchedule) Subcontractors Total (element not in schema do not need to input ... info purposes only) 334,099 334,099

Attachment 4, Form 1120S, Page 4, Sch L Balance Sheets per Books, Line 6(d): Other current assets at end of tax year (ItemizedOtherCurrentAssetsSchedule) Employee Loans Spec House Costs Total (element not in schema do not need to input ... info purposes only) 2,950 275,026 277,976

Attachment 5, Form 1120S, Page 4, Sch L Balance Sheets per Books, Line 9(b): Other investments at beginning of tax year (ItemizedOtherInvestmentsSchedule) Other Investments 1,000
227

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Attachment 6, Form 1120S, Page 4, Sch L Balance Sheets per Books, Line 14 (b/d): Other assets at beginning of tax year (ItemizedOtherAssetsSchedule) Spec House Total (element not in schema do not need to input ... info purposes only) Attachment 7, Form 1120S, Page 4, Sch L Balance Sheets per Books, Line 18(b) & (d): Other current Liabilities at beginning and end of tax year (ItemizedOtherCurrentLiabilitiesSchedule) Beginning Spec House Loans Payroll Tax Liabilities Credit Card Liability 2,975 6,661 End 232,240 4,533 15,043 251,816 913 913

Total (element not in schema, do not need to input ... info purposes only) 9,636

Attachment 8, Form 1120S, Page 5, Sch M-1, Line 2: Total Income Not Recorded on Books (ItemizedIncomeNotRecordedOnBooksSchedule2) Form 4797 Book/Tax Diff Total (element not in schema do not need to input ... info purposes only) 2,885 2,885

Attachment 9, Form 1120S, Page 5, Sch M-1, Line 6, Total deductions (depreciation and itemized deductions) on this return not charged against book income this year (ItemizedDeductionsNotChargedAgainstBooksSchedule2) Miscellaneous Total (element not in schema do not need to input ... info purposes only) 6,768 6,768

Attachment 10, Form 1120S, Page 5, Sch M-2, Line 3:Other Additions, (Total of all other additions) (AccumulatedAdjustmentsAccountOtherAdditionsSchedule) Gain on Sale Sec 179 Assets Total (element not in schema do not need to input ... info purposes only) 2,800 2,800

Attachment 11, Form1120S, Page 5, Sch M-2, Line 5, Total of itemized other reductions (AccumulatedAdjustmentsAccountOtherReductionsSchedule) Disallowed Entertainment Exp Miscellaneous Total (element not in schema do not need to input ... info purposes only) 486 17,545 18,031

Attachment 12, Schedule K-1 (999-06-0005) Page 10, Line 17: Other Information (DispositionOf PropWithSect179DeductionsStatement) Description of Property: Gross Sales Price: Cost or Expense of Sale: Dodge 1977 Red Pickup Truck 1,400 1,000
228

Great Atomic Pyrotechnics & Designs, Inc.
Date Property was Acquired: Date Property was Sold: Section 179 Deduction: 07/29/2004 06/13/2006 1,000

11-0000006

Attachment 13, Schedule K-1 (999-06-0001) Page 11, Line 17: Other Information (DispositionOfPropWithSect179DeductionsStatement) Description of Property: Gross Sales Price: Cost or Expense of Sale: Date Property was Acquired: Date Property was Sold: Section 179 Deduction: Dodge 1977 Red Pickup Truck 1,400 1,000 07/29/2004 06/13/2006 1,000

229

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Form 1120S Test 6

U.S. Income Tax Return for an S Corporation

2006

Calendar Year 2006 or tax year beginning , 2006, ending , 2006 Effective date of S Election A 01/01/1990 Business code B 325100 Name and Address: Great Atomic Pyrotechnics & Designs, Inc. 36 Any Street, Boomtown, CA 90062 EIN C 11-0000006 Date of incorporated 08/01/2002 D Total assets E 498,034 Check applicable boxes F Number of Shareholders G 2 Sched M-3 attached H Line Description Line Amount / Info Write-in Literal/Attachments Gross Receipts or sales 1a 1,124,560 Less returns and allowances 1b Balance 1c 1,124,560 Cost of goods sold (Sch A, line 8) 2 669,365 Gross profit. Subtract line 2 from line 1c 3 455,195 Net gain (loss) 4 5,179 Other Income (loss) 5 4,860 See Attachment 1 Total income (loss). Add lines 3 thru 5 6 465,234 Compensation of officers 7 34,973 Salaries / wages (less employment crdts) 8 100,531 Repairs and maintenance 9 Bad debts 10 Rents 11 156,855 Taxes and licenses 12 13,685 Interest 13 13,220 Depreciation (attach Form 4562) 14 1,019 Depletion (Do not deduct oil/gas depletion) 15 Advertising 16 4,093 Pension, profit-sharing, etc., plans 17 Employee benefit programs 18 Other deductions (attach schedule) 19 53,856 See Attachment 2 Total deductions ( add amounts shown 20 378,232 far right for lines 7 - 19 Ordinary business income (loss) 21 87,002 Subtract line 20 from line 6 Tax: Excess net passive income tax 22a Tax from Schedule D 22b Add lines 22a and 22b 22c Payments: 23a Tax deposit with Form 7004 23b Credit for Federal tax paid on fuels 23c Credit for Federal telephone excise tax 23d Add lines 23a through 23d 23e Estimated tax penalty 24 Tax Due 25 Overpayment 26 Credit elected to 2007 Refund 27 May IRS discuss? Yes Preparer's SSN or PTIN: 999-06-0007 Preparer Firm's name/address: Electronic Tax Filers, Inc
230

Great Atomic Pyrotechnics & Designs, Inc. Form 1120S Test 6 U.S. Income Tax Return for an S Corporation
100 Efile Drive, Anytown, TX 78621 11-0000011 512-555-1212 Cost of Goods Sold

11-0000006 2006

Preparer's EIN: Preparer's Phone no.: 1 2 3 4 5 6 7 8 9a (i) 9a (ii) 9a (iii) 9b 9c 9d 9e 9f

1(a) 1(b) 1(c) 2(a) 2(b) 3 4 5 6 7 8 9 1 2 3a 3b 3c 4 5a 5b 6 7 8a 8b 8c 9 10 11 12a

Schedule A Inventory at beginning of year Purchases 335,266 Cost of labor Additional section 263A cost Other costs 334,099 See Attachment 3 Total 669,365 Inventory at the end of year Cost of goods sold 669,365 Cost as described in Reg. Sec. 1.471-3 Unchecked Lower of cost or market Other Write-down of sub goods LIFO adopted this TY % LIFO closing inventory Rules of Sec 263A apply? No Change in determining quantities, cost, valuations? No Schedule B Other Information Cash Accrual Other Hybrid Business Activity Construction Product or Service Pyrotechnics No Corp own 50% or more? Member of controlled group No Required to file F8264 Issued publicly offered debt instruments C corporation before elected Accumulated earnings/profits close of yr Unchecked Total receipts less than $250,000? No Schedule K Shareholders’ Shares of Income, Deductions, Credits, etc. Ordinary business income (loss) 87,002 Net rental real estate income (loss) 0 Other gross rental income (loss) Expenses from other rental activities Other net rental income (loss) Interest income Ordinary dividends Qualified dividends Royalties Net short-term capital gain (loss) Net long-term capital gain (loss) Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain (loss) Other income (loss) Section 179 deduction 17,545 Contributions
231

Great Atomic Pyrotechnics & Designs, Inc. Form 1120S Test 6
12b 12c(1) 12c(2) 12d 12d 13a 13b 13c 13d 13e 13f 13g 14a 14b 14c 14d 14e 14f 14g 14h 14i 14j 14k 14l 14m 14n 15a 15b 15c 15d 15e 15f 16a 16b 16c 16d 16e 17a 17b 17c 17d 18

11-0000006 2006

U.S. Income Tax Return for an S Corporation

Investment interest expense Section 59(e)(2) expenses – Type Section 59(e)(2) expenses – Amount Line Description Other deductions -Type Other deductions Low-income housing credit {sec 42(j)(5)} Low-income housing credit (other) Qualified rehabilitation expenses Other rental real estate credits Other rental credits Credit for alcohol used as fuel Other credits and credit recapture Name of country or U.S. possession Gross income from all sources Gross income at shareholder level Passive Listed categories General limitation Interest expense Other Passive Listed categories General limitation Foreign taxes aid Paid Accured Reduction in taxes available for credit Other Foreign tax Information Post-1986 depreciation adjustment Adjusted gain or loss Depletion Oil, gas, and geothermal propertiesgross income Oil, gas, and geothermal propertiesdeductions Other AMT items Tax-exempt interest income Other tax-exempt interest income Nondeductible expenses Property distributions Repayment of loans from shareholders Investment income Investment expenses Dividend distributions paid /accum E&P Other items and amounts Income/loss reconciliation

Line Amount / Info 0

Write-in Literal/Attachments

(354)

486 486 35,987

69,457

232

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

1 2a 2b 3 4 5 6 7 8 9 10a 10b 11a 11b 12 13a 13b 14 15 16 17

Cash Trade notes Less allowance Inventories U.S. govt oblig Tax-exempt sec. Other current assets Loans to sharhldrs Mortgage & real estate loan Other investmnts Buildings & other deprec assets Less accumulated depletion Depetable assets Less accumulated depletion Land Intangible assets Less accum amortiz Other assets Total assets Accts payable Mortgages, notes, bonds payable < 1yr Othr curr liabilities Loans frm Sharhldrs Mortgages, notes, bonds payable > 1yr Other liabilities Capital stock Additional paid – in capital Retained earnings Adj to sharhldrs equity Less cost of treasury stock Total liabilities & sharhldrs equity

Schedule L Balance Sheets per Books Beginning of tax year End of tax year (a) (b) (c) (d) 37,504 9,214 73,320 164,008 73,320 164,008

Write-in / Literal

277,976 See Attachment 4

1,000 69,032 18,478 50,554 69,395 22,583 46,812

See Attachment 5

90 48 42 913 163,333 8,891

90 66 24 See Attachment 6 498,034 75,087

18 19 20

9,636

251,816

See Attachment 7

47,999

36,971

21 22 23 24 25 26 27

1,325 95,482

1,325 132,835

163,333

498,034

233

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Schedule M-1 Reconciliation of Income (Loss) per Books With Income (Loss) per Return Net Income 1 73,340 Income included on Sch K 2 2,885 See Attachment 8 Expenses recorded on books 3 486 Depreciation 3a Travel & entertainment 3b 486 Add lines 1 – 3 4 76,711 Income recorded on books 5 Tax-exempt interest 5a 486 Deductions included on Sch K 6 6,768 See Attachment 9 Depreciation 6a 6,082 Add lines 5 & 6 7 7,254 Income (loss)(Sch K-1) 8 69,457 Schedule M-2 Analysis Accumulated Adjustments Account, Other Adjustments Account (a) (b) (c) Write-in / Literal Accumulated Other Shareholder adjustments adjustments undistributed account account taxable income Bal at begin of tax year 1 30,238 2 Ordinary income 87,002 Other additions 3 2,800 486 See Attachment 10 Loss from Pg 1, Ln 21 4 Other reductions 5 (18,031) See Attachment 11 Combine lines 1 – 5 6 102,009 486 Distributions other than 7 35,987 dividends distributions Balance at end of TY 8 66,022 486

234

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Form 4562 Test 6

Depreciation and Amortization

2006

Name: Great Atomic Pyrotechnics & Designs, Inc. Business or Activity: Pyrotechnics Design and Display EIN: 11-0000006 Line Description Line Amount Write-in / Literal / Attachments Part I Election to Expense Certain Property Under Section 179 Maximum amount $108,000 1 Total cost of section 179 prop 2 17,545 Threshold cost of section 179 prop $430,000 3 Reduction in limitation 4 Dollar limitation for TY 5 108,000 6(a) Description of Property Level 6(b) Cost 550 6(c) Elected cost 550 6(a) Description of Property Compressor 6(b) Cost 275 6(c) Elected cost 275 6(a) Description of Property: Ladder 6(b) Cost 115 6(c) Elected cost 115 6(a) Description of Property: Step Ladder 6(b) Cost 120 6(c) Elected cost 120 6(a) Description of Property Ladder 6(b) Cost 170 6(c) Elected cost 170 6(a) Description of Property: Ladder Big Giant 6(b) Cost 1,243 6(c) Elected cost 1,243 6(a) Description of Property: Lift Kit 6(b) Cost 6,985 6(c) Elected cost 6,985 6(a) Description of Property: Trailer 6(b) Cost 600 6(c) Elected cost 600 6(a) Description of Property: Trailer 6(b) Cost 7,023 6(c) Elected cost 7,023 Listed property 7 464 Total elected cost of sec 179 prop 8 17,545 Tentative deduction 9 17,545 Carryover of disallowed deduction 10 Business income limitation 11 69,457 Section 179 expense deduction 12 17,545 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 Property subject to sec 168(f)(1) election 15 Other depreciation 16 Part III MACRS Depreciation
235

Great Atomic Pyrotechnics & Designs, Inc. Form 4562 Test 6
17 18

11-0000006 2006

Depreciation and Amortization

MACRS deductions 1,019 Yes Assets placed in service (Sec 168(i)(4) election) No Section B – Assets Placed in Service During 2005 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprec deduct Write-in / Literal / Attachments

3-year property 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2005 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary Listed property 21 Total 22 1,019 Assets for CY 23 Part V Listed Property Section A – Depreciation and Other Information Evidence? 24a ‘No’ Checked Evidence written? 24b Special depreciation allowance 25 26(a) Type of property Computer 26(b) Date in service 01-15-2006 26(c) Business investment % 75% 26(d) Cost or other basis 580 26(e) Basis for depreciation 26(f) Recovery period 5 26(g) Method/Convention 200 DB-HY Depreciation deduction 26(h) Election Sec 179 cost 26(i) 464 Type of property 27(a) Date in service 27(b) Business investment % 27(c) Cost or other basis 27(d) Basis for depreciation 27(e) Recovery period 27(f) Method/Convention 27(g) Depreciation deduction 27(h) Election Sec 179 cost 27(i) Add column (h), lines 25 - 27 28 Add column (i), line 26 29 464 Section B – Information on Use of Vehicles 19a 19b 19c 19d 19e 19f 19g 19h
236

Great Atomic Pyrotechnics & Designs, Inc. Form 4562 Test 6
30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41

11-0000006 2006

Depreciation and Amortization

Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Amort for this Yr Write-in / Literal / Attachments

42 43 44

Amort of costs before 2004 TY Amort of costs before 2005 TY Total

18 18

237

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Form 4797 Test 6

Sales of Business Property

2006

Name: Great Atomic Buildings & Design, Inc EIN: 11-0000006 Line Description Line Amount Write-in / Literal / Attachments 1 Gross receipts fm sales or exchg 1 Part I Sales or Exchanges of Property Used in a Trade or Business Description of property 2(a) Date acquired 2(b) Date sold 2(c) Gross sales price 2(d) Depreciation allowed 2(e) Cost or other basis 2(f) Gain or (loss) 2(g) Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 Non-recaptured net sec 1231 loss 8 Subtract line 8 from line 7 9 Part II Ordinary Gains and Losses 10(a) Description of property 10(b) Date acquired 10(c) Date sold 10(d) Gross sales price 10(e) Depreciation allowed Cost or other basis 10(f) 10(g) Gain or loss Loss fm line 7 11 Gain fm line 7 12 Gain fm line 31 13 5,179 Net gain F4684 14 Ordinary gain F6252 15 Ordinary gain F8824 16 Combine lines 10 to16 17 5,179 Part of loss F4684 18a Re-determined gain/(loss) on line 17 18b Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a) Description of property 1996 Chevy Truck 19(b) Date acquired Various 19(c) Date sold 01-19-2006 Gross sales price 20 9,000 Cost or other basis 21 15,307 Depreciation allowed 22 11,486 Adjusted basis 23 3,821 Total gain 24 5,179 Depreciation allowed 25a 11,486 Smaller of lines 24 and 25a 25b 5,179 Additional depreciation after 1975 26a Applicable % 26b Subtract line 26a from line 24 26c Additional depreciation after 1969 26d Smaller of lines 26c and 26c 26e
238

Great Atomic Pyrotechnics & Designs, Inc. Form 4797 Test 6
26f 26g 27a 27b 27c 28a 28b 29a 29b 30 31 32 Part IV 33(a) 33(b) 34(a) 34(b) 35(a) 35(b)

11-0000006 2006

Sales of Business Property

Sec 291 amount Add lines 26b,26e and 26f Soil, water, land Line 27 multiplied by applicable % Smaller of lines 24 and 27b Intangible drilling Smaller of lines 24 and 28a Applicable % of payment excluded Smaller of lines 24 and 29a Total gain all property 5,179 Add property columns A – D 5,179 Subtract line 31 from line 30 Recapture Amounts Under Sections 179 and 280F(b)(2) Sec 179 expn ded – Sec 179 Sec 179 expn ded – Sec 280F(b) Recomputed deprc – Sec 179 Recomputed deprc- Sec280F(b) Recapture amount – Sec 179 Recapture amount – Sec 280F(b)

239

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Sch K-1 (Form 1120S) (Issa Salesbury) Test 6

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning January 1, 2006 ending December 31, 2006 Final K-1 Amended K Part I Information About the Corporation Line Description Line Amount A B Corporation's employer identification number Corporation's name, address, city, state, and Zip code 11-0000006 Great Atomic Pyrotechnics & Designs, Inc. 36 Any Street Boomtown, CA 90062 OSPC

Write-in / Literal / Attachments

C D E Part II F G

IRS Center where corporation filed return Tax shelter registration number, if any Check if Form 8271 is attached Information About the Shareholder Shareholder's Identification number Shareholder's name, address, city, state and ZIP code

999-06-0005 Issa Salesbury 49 Any Street, Anytown, PA 19561

SALE

Shareholder's percentage of stock ownership for tax year 50.000 Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Line Description Line Amount Write-in / Literal / Attachments Ordinary business income (loss) 1 43,501 Net rental real estate income (loss) 2 Other net rental income (loss) 3 Interest income 4 Ordinary dividends 5a Qualified dividends 5b Royalties 6 Net short-term capital gain (loss) 7 Net long-term capital gain (loss) 8a Collectibles (28%) gain (loss) 8b Un50 gain 8c Net section 1231 gain (loss) 9 Other income (loss) 10 Section 179 deduction 11 8,772 Other deductions 12 0 0 Credits & credit recapture 13 Foreign transactions 14 Alternative minimum tax (AMT) items 15 A (177) Items affecting shareholder basis 16 C 243 D 17,993 A 243 Other Information 17 E See Attachment 12 H

240

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Sch K-1 (Form 1120S) (Mak A. Desision) Test 6

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning January 1, 2006 ending December 31, 2006 Final K-1 Amended K Part I Information About the Corporation Line Description Line Amount A B Corporation's employer identification number Corporation's name, address, city, state, and Zip code 11-0000006 Great Atomic Pyrotechnics & Designs, Inc.

Write-in / Literal / Attachments

36 Any Street Boomtown, CA 90062
C D E Part II F G IRS Center where corporation filed return Tax shelter registration number, if any Check if Form 8271 is attached Information About the Shareholder Shareholder's Identification number Shareholder's name, address, city, state and ZIP code OSPC

999-06-0001 Mak A. Desision 45 Any Street, Anytown, NY 10005

DESI

Shareholder's percentage of stock ownership for tax year 50.000 Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Line Description Line Amount Write-in / Literal / Attachments Ordinary business income (loss) 1 43,501 Net rental real estate income (loss) 2 Other net rental income (loss) 3 Interest income 4 Ordinary dividends 5a Qualified dividends 5b Royalties 6 Net short-term capital gain (loss) 7 Net long-term capital gain (loss) 8a Collectibles (28%) gain (loss) 8b Un-recaptured section 1250 gain 8c Net section 1231 gain (loss) 9 Other income (loss) 10 Section 179 deduction 11 8,773 Other deductions 12 0 0 Credits & credit recapture 13 Foreign transactions 14 Alternative minimum tax (AMT) items 15 A (177) Items affecting shareholder basis 16 C 243 D 17,993 A 243 Other Information 17 E See Attachment 13 H
241

Great Atomic Pyrotechnics & Designs, Inc.

11-0000006

Form 8453-S Test 6

U.S. S Corporation Income Tax Declaration for an IRS e-file Return
Great Atomic Buildings & Designs, Inc. 11-0000006 Part I Tax Return Information Line Amount / Information 1,124,560 455,195 87,002 0

2006

Name:

EIN:

Line Description 1 2 3 4 5 6a 6b 6c Gross receipts or sales (F1120S, line 1c) Gross profit (F1120S, line 3) Ordinary business inc (F1120S, line 21) Net rental real estate inc (F1120S, Sch K, line 2)

Write-in / Literal / Attachments

Income (loss) reconc (F1120S, Sch K, line 18) 69,457 Part II Declaration of Officer Consent for direct deposit Do not want direct deposit Checked Authorization for EFW Part III Declaration of Electronic Return Originator (ERO) and Paid Preparer Check if also paid preparer Checked Check if self-employed ERO’s SSN or PTIN 999-06-0006 Electronic Tax Firm’s name Filers, Inc. 100 Efile Drive, Firm’s address Anytown, TX 78621 Firm’s EIN 11-0000011 Firm’s phone no. 512-555-1212 Check if self-employed Preparer’s SSN or PTIN 999-06-0007 Electronic Tax Firm’ name Filers, Inc. 100 Efile Drive, Firm’s address Anytown, TX 78621 Firm’s EIN 11-0000011 Firm’s phone no. 512-555-1212

242

WorkNAllDay, Inc.

11-0000007

TEST SCENARIO 7 FORMS REQUIRED: 1120S, Sch D (1120S), 4562, 4797, 8824, K-1(2) ATTACHMENTS: ItemizedOtherDeductionsSchedule2 ItemizedOtherCostsSchedule ItemizedOtherDeductionsSchedule3 ItemizedOtherCurrentAssetsSchedule ItemizedOtherAssetsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedExpensesRecordedOnBooksSchedule2 AccumulatedAdjustmentsAccountOtherAdditionsSchedule AccumulatedAdjustmentsAccountOtherReductionsSchedule BINARY ATTACHMENTS: None HEADER INFO: Tax Period: Preparer Firm Calendar Year 2006 EIN: 11-0000011 Electronic Tax Filers, Inc. 100 Efile Drive Anytown, NC 27057 Phone Number: 704-555-1212

MultipleSoftwarePackagesUsed: No Originator: EFIN: Self-select Type: ERO Name Control: WORK Practioner PIN: N/A EFIN: Self-select PIN: Self-select PIN Entered by – ERO Practitioner PIN 1120S EIN: 11-0000007 Taxpayer Name: WorkNAllDay, Inc. Name Control: WORK Address: 37 Any Street Anytown, NC 28041 0280 Name: Khiry U Farr Title: Chief Executive Officer Taxpayer PIN: N/A Phone: 301-555-1212 Email Address: N/A
243

Signature Option: Return Type: Filer:

Officer:

WorkNAllDay, Inc. DateSigned: 01/25/07 Authorized Third Party: Yes

11-0000007

Preparer:

Name: Johnny Appleseed SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Date Prepared: 01/20/06 Self Employed: Yes N/A

IRS PAYMENT:

Attachment 1, Form 1120S, Page 1, Lines 19: Other deductions (ItemizedOtherDeductionsSchedule2) Dues And Subscriptions Fuel 21,123 Insurance 143,673 Accounting and Legal 123,384 License 1,766 Miscellaneous 3,074 Supplies, Computer 11,283 Supplies, Office 5,351 Postage 1,262 Plan Expense / Reproduction 5,770 Small Tools and Supplies 6,381 Telephone 23,545 Travel 10,583 Utilities 7,109 50% of Meals % Entertainment 2,124 Total (element not in schema do not need to input ... info purposes only) 899

367,327

Attachment 2, Form 1120S, Page 2, Sch A: Line 5: Other costs, (ItemizedOtherCostsSchedule) Union Benefits Union Pension Expense Temporary Utilities Messenger Misc Expense Sub-Contracts Permits 91,608 77,549 17,118 414 4,423 8,216,719 30,950
244

WorkNAllDay, Inc.
Workers Compensation Purchases Discounts Payroll Taxes Pm Assistant Program Travel Total (element not in schema do not need to input ... info purposes only) 8,627,996 71,713 (7,721) 64,587 54,345 6,291

11-0000007

Attachment 4, Form 1120S, Page 3, Sch L Balance Sheets per Books, Line 6(b) & (d): Other current assets at end of tax year (ItemizedOtherCurrentAssetsSchedule) Beginning Notes Receivable Escrow Accrued Interest Receivable Work In Process Total 9,900 8,351 38,003 56,254 Ending 1,800 4,900 45,791

52,491

Attachment 5, Form 1120S, Page 4, Sch L Balance Sheets per Books, Line 14(b): Other assets at beginning of tax year (ItemizedOtherAssetsSchedule) Notes Receivable 41,754

Attachment 6, 1120S, Page 4, Sch L Balance Sheets per Books,18(b) & (d): Other current Liabilities at beginning and end of tax year (ItemizedOtherCurrentLiabilitiesSchedule) Beginning 19,400 400 2,316 (11,758) 12,473 Ending 231 760 10,388 21,701 33,080

Billings in Excess Union Benefits Payable Accrued Pension Contribution Payroll Taxes Payable Accrued Workers Compensation Accrued Payroll

Total 22,831 (element not in schema do not need to input ... info purposes only)

Attachment 7, Form 1120S, Page 4, Schedule M-1, Line 3b, Total expenses not deducted recorded on books this year (ItemizedExpensesRecordedOnBooksSchedule2) Officer Life Insurance Premiums 19,452

Attachment 8, Form 1120S, Page 4, Sch M-2, Line 3: Other Additions, (Total of all other additions) (AccumulatedAdjustmentsAccountOtherAdditionsSchedule) Interest Income Short-Term Cap Gain 71,147 78,649
245

WorkNAllDay, Inc.

11-0000007

Total (element not in schema do not need to input ... info purposes only)

149,796

Attachment 9, Form1120S, Page 4, Sch M-2, Line 5: Total of itemized other reductions (AccumulatedAdjustmentsAccountOtherReductionsSchedule) Disallowed Entertainment Exp Sec 179 Expense Officer Life Insurance Premiums Other Deductions 2,124 62,935 17,328 504,493

Total (element not in schema do not need to input ... info purposes only) 586,880

246

WorkNAllDay, Inc.

11-0000007

Form 1120S Test 7

U.S. Income Tax Return for an S Corporation

2006

Calendar Year 2006 or tax year beginning , 2006, ending , 2006 Effective date of S Election A 03-08-1992 Business code B 321900 Name and Address: WorkNAllDay, Inc., 37 Any Street, Anytown, NC 28041 0280 EIN C 11-0000007 Date of incorporated D 03-08-1992 Total assets E 3,605,885 Check applicable boxes F Number of Shareholders G 2 Schedule M-3 attached H Gross Receipts or sales 1a 11,468,259 Less returns and allowances 1b Balance 1c 11,468,259 Cost of goods sold (Sch A, line 8) 2 10,061,879 Gross profit. Subtract line 2 from line 1c 3 1,506,380 Net gain (loss) 4 14,433 Other Income (loss) 5 Total income(loss). Add lines 3 thru 5 6 1,420,813 Compensation of officers 7 161,698 Salaries/wages (less employ. credits) 8 196,941 Repairs and maintenance 9 17,760 Bad debts 10 Rents 11 160,574 Taxes and licenses 12 36,594 Interest 13 26,103 Depreciation (attach Form 4562) 14 6,726 Depletion (Do not deduct oil/gas depletion) 15 Advertising 16 8,257 Pension, profit-sharing, etc., plans 17 14,715 Employee benefit programs 18 Other deductions 19 367,327 Total deductions (add lines 7 – 19) 20 996,695 21 22a 22b 22c 23a 23b 23c 23d 23e 24 25 26 27 Business income/loss line 6 minus line 20 424,118 Tax: Excess net passive income tax Tax from Schedule D Add lines 22a and 22b Payments: Tax deposit with Form 7004 Credit for Federal tax paid on fuels Credit for Federal telephone excise tax Add lines 23a through 23d Estimated tax penalty Tax Due. Overpayment Credit Elect to 2007 Refund May IRS discuss? Yes Preparer's SSN or PTIN: 999-06-007 Preparer Firm's name/address: Electronic Tax Filers, Inc 100 Efile Drive, Anytown, TX 78621 Preparer's EIN: 11-0000011 Preparer's Phone no.: 512-555-1212

See Attachment 1

247

WorkNAllDay, Inc. Form 1120S Test 7 U.S. Income Tax Return for an S Corporation
Schedule A 1 2 3 4 5 6 7 8 9a (i) 9a (ii) 9a (iii) 9b 9c 9d 9e 9f Cost of Goods Line Amount

11-0000007 2006

1(a) 1(b) 1(c) 2(a) 2(b) 3 4 5 6 7 8 9 1 2 3a 3b 3c 4 5a 5b 6 7 8a 8b 8c 9 10 11 12a 12b 12c(1) 12c(2)

Line Description Write-in / Literal Inventory at the beginning of year Purchases 890,846 Cost of labor 543,037 Additional section 263A cost Other cost 8,627,996 See Attachment 2 Total 10,061,879 Inventory at the end of year Cost of goods sold 10,061,879 Cost as described in Reg. sec.1.471-3 Checked Lower of cost or market Other Write-down of sub goods LIFO adopted this TY % LIFO closing inventory Rules of Sec 263A apply? No Change in determining quantities, cost, valuations? No Schedule B Other Information Cash Accrual Checked Other Business Activity Manufacturing Product or Service Building Supplies Corp own 50% or more? No Member of controlled grp No Required to file F8264 Publicly issued debt instruments C corp before elected Accumu earnings/profits close of yr Total receipts less than $250,000? No Schedule K Shareholders’ Shares of Income, Deductions, Credits, etc. Ordinary business income (loss) Net rental real estate income (loss) Other gross rental income (loss) Expenses from other rental activities Other net rental income (loss) Interest income Ordinary dividends Qualified dividends Royalties Net short-term capital gain (loss) Net long-term capital gain (loss) Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain (loss) Other income (loss) Section 179 deduction Contributions Investment interest expense Section 59(e)(2) expenses – Type Section 59(e)(2) expenses – Amount 424,118

71,147

78,649

62,935

248

WorkNAllDay, Inc. Form 1120S Test 7
12d 12d 13a 13b 13c 13d 13e 13f 13g 14a 14b 14c 14d 14e 14f 14g 14h 14i 14j 14k 14l 14m 14n 15a 15b 15c 15d 15e 15f 16a 16b 16c 16d 16e 17a 17b 17c 17d 18

11-0000007 U.S. Income Tax Return for an S Corporation 2006

Other deductions - Type R Other deductions - Amount 502,369 Low-income housing credit (sec.42(j)(5) Low-income housing credit (other) Qualified rehabilitation expenses Other rental real estate credits Other rental credits Credit for alcohol used as fuel Other credits and credit recapture Name of country or U.S. possession Gross income from all sources Gross income sourced at shareholdr level Passive Listed categories General limitation Interest expense Other Passive Listed categories General limitation Foreign taxes Paid Accrued Reduction in taxes available for credit Other Foreign tax Information Post-1986 depreciation adjustment -2,011 Adjusted gain or loss -14,733 Depletion Oil, gas, and geothermal properties-gross income Oil, gas, and geothermal propertiesdeductions Other AMT items Tax Exempt Interest Income Other tax-exempt interest income Nondeductible expenses 19,452 Property distributions 174,200 Repayment of loans from shldrs Investment income 71,147 Investment expenses Dividend distributions paid from accumu E&P Other items and amounts Income/loss reconciliation 8,610 Schedule L Balance Sheets per Books Beginning of tax year End of tax year (a) (b) (c) (d) Cash Trade notes Less allowance Inventories U.S. govt oblig Tax exempt securities Other current assets 435,384 3,304,878 3,304,878 946,715 946,715 1,311,478

Write-in / Literal

1 2a 2b 3 4 5 6

56,254

52,491

See Attachment 4
249

WorkNAllDay, Inc. Form 1120S Test 7
7 8 9 10a 11b 12 13a 13b 14 15 16 17 18 19 20 21 22 23 24 25 26 27 Loans to shareholders Mortgage/real estate loan Other Investments Bldgs/other deprec assets Less accumu. depletion Land Intangible assets Less accumu. amort. Other assets Total assets Accounts payable Mortgages, notes, bonds payable < 1yr Other current liabilities Loans from sharholdrs Mortgages, notes, bonds payable > 1yr Other Liabilities Capital Stock Additional paid/in capital Retained earnings Adj to sharholdrs equity Less cost of treasury stk Total liabilities & sharholdrs equity

11-0000007 U.S. Income Tax Return for an S Corporation
800,000 1,235,158

2006

424,249 374,043

50,206

397,401 337,358

60,043

41,754 4,688,476 2,837,445

See Attachment 5 3,605,885 1,435,888

22,831

33,080

See Attachment 6

25,000 10,000 1,793,200

25,000 10,000 2,101,917

4,688,476

3,605,885

Schedule M-1 Reconciliation of Income (Loss) per Books with Income (Loss) per Return Net Income 1 (10,842) Income included on Sch K 2 Expenses recorded on books 3 19,452 See Attachment 7 Depreciation 3a 3b 4 5 5a 6 6a 7 8 Travel & entertainment 2,124 Add lines 1 – 3 8,610 Income recorded on books Tax-exempt interest Deductions included on Sch K Depreciation Add lines 5 & 6 Income (loss) 8,610 Schedule M-2 Analysis Accumulated Adjustments Account, Other Adjustments Account (a) (b) (c) Accumulated Other Shareholder Write-in / Literal adjustments adjustments undistributed account account taxable income Balance beginning of tax year 1,775,833 Ordinary income 424,118 Other additions 149,796 See Attachment 8 Loss from Pg 1, Line 21 Other reductions 586,880 See Attachment 9 Combine lines 1 – 5 1,762,867 Distributions other than dividends distributions 174,200
250

1 2 3 4 5 6 7

WorkNAllDay, Inc. Form 1120S Test 7
8 Balance at end of TY

11-0000007 U.S. Income Tax Return for an S Corporation
1,588,667

2006

251

WorkNAllDay, Inc.

11-0000007

Sch D (1120) Test 7 Name: WorkNAllDay, Inc.
EIN: 11-0000007

Capital Gains and Losses

2006

1(a) 1(b) 1(c) 1(d) 1(e) 1(f) 2 3 4 5 6 7(a) 7(b) 7(c) 7(d) 7(e) 7(f) 8 9 10 11 12 13 14 15 16 17 18 19 20 21

Part I Short-Term Capital Gains & Losses Line Description Line Amount Description of Property 5461 Americus Date acquired 04/01/2006 Date sold 07/15/2006 Sales price 1,030,000 Cost or other basis 951,351 Gain or loss 78,649 Short-term capital gain from installment sales Short-term capital gain from like-kind exchanges Combine lines 1 – 3 78,649 Tax on short-term capital gain Net short-term capital gain 78,649 Part II Long-Term Capital Gains & Losses Description of property Date acquired Date sold Sales price Cost or other basis Gain or loss Long-term capital gain from installment sales Long-term capital gain from like-kind exchanges Capital gain distributions Combine lines 7 - 10 Tax on long-term capital gain Net long-term capital gain Part III Built-in Gains Tax Excess of recognized built-in gains Taxable income Net recognized built-in gain Section1374(b)(2) deductible Subtract line 17 from line 16 Enter 35% of line 18 Section 1374(b) (3) business credit Tax

Write-in / Literal

252

WorkNAllDay, Inc.

11-0000007

Form 4562 Test 7 Name: WorkNAllDay, Inc.

Depreciation and Amortization

2006

Business or Activity: Engineering EIN: 11-0000007 Line Description Line Amount Write-in / Literal Part I Election to Expense Certain Property Under Section 179 Maximum amount 108,000 1 Total cost of section 179 prop 2 88,235 Threshold cost of section 179 prop 430,000 3 Reduction in limitation 4 Dollar limitation for TY 5 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 8 62,935 Total elected cost of sec 179 prop 9 62,935 Tentative deduction Carryover of disallowed deduction 10 Business income limitation 108,000 11 Section 179 expense deduction 12 62,935 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 15 Property subject to sec 168(f)(1) election 16 Other depreciation Part III MACRS Depreciation 17 MACRS deductions 5,761 Assets placed in service (Sec Yes 168(i)(4) election) No Section B – Assets Placed in Service During 2005 Tax Year Using the General Depreciation System 18
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprc deduct Write-in / Literal

3-year property 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2006 Tax Year Using the Alternative Depreciation System 19a 19b 19c 19d 19e 19f 19g 19h 20a 20b 20c 21 22 Class life 12-year 40-year Listed property Total 5,791 9.0 HY S/L 965

Part IV

Summary

6,726
253

WorkNAllDay, Inc. Form 4562 Test 7
23 Assets for CY

11-0000007 Depreciation and Amortization 2006

254

WorkNAllDay, Inc.

11-0000007

Part V Listed Property Section A – Depreciation and Other Information 24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41 Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment 50 %(1) Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 – 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle available for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commuting? Maint written policy prohibits personal use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Method Write-in / Literal

42 43 44

Amort of costs during 2006 TY Amort of costs before 2006 TY Total
255

WorkNAllDay, Inc.

11-0000007

Form 4797 Test 7 Name: WorkNAllDay, Inc.,
EIN: 11-0000011

Sales of Business Property

2006

Line Description Line Amount Write-in / Literal 1 14,560 Gross receipts fm sales or exchg Part I Sales or Exchanges of Property Used in a Trade or Business or business and Involuntary Conversions From Other Than Casualty or Theft – Most Held Property Held more Than 1 Year (see instructions) Description of property 2(a) 2000 Ford F150 Date acquired 08-30-2000 2(b) 2(c) 12-31-2006 Date sold Gross sales price 2(d) Depreciation allowed 2(e) 31,247 Cost or other basis 2(f) 31,247 Gain or (loss) 2(g) Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 Non-recaptured net sec 1231 loss 8 Subtract line 8 from line 7 9 Part II Ordinary Gains and Losses 10(a) Description of property 10(b) Date acquired 10(c) Date sold 10(d) Gross sales price 10(e) Depreciation allowed 10(f) Cost or other basis 10(g) Gain or loss Loss fm line 7 11 Gain fm line 7 12 Gain fm line 31 13 14,433 Net gain F4684 14 Ordinary gain F6252 15 Ordinary gain F8824 16 Combine lines 10 to16 17 14,433 Part of loss F4684 18a Re-determined gain or (loss) on line 17 18b Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a)(1) Description of property 1999 Chevy Tahoe 19(b)(1) Date acquired 01-06-1999 19(c)(1) Date sold 01-10-2006 19(a)(2) Description of property 1995 Dodge 3500 19(b)(2) Date acquired 07-01-1996 19(c)(2) Date sold 02-21-2006 19(a)(3) Description of property 1998 Chevy Pickup 19(b)(3) Date acquired 07-01-1997 19(c)(3) Date sold 12-31-2006 Gross sales price 20 A 5,000 Gross sales price 20 B 7,760 Gross sales price 20 C 1,800 Cost or other basis 21 A 19,930 Cost or other basis 21 B 19,467
256

WorkNAllDay, Inc. Form 4797 Test 7
21 C 22 A 22 B 22 C 23 A 23 B 23 C 24 A 24 B 24 C 25a A 25a B 25a C 25b A 25b B 25b C 26a A 26a B 26b A 26b B 26b C 26c A 26c B 26c C 26d A 26d B 26d C 26e A 26e B 26e C 26f A 26f B 26f C 26g A 26g B 26g C 27a A 27a B 27a C 27b A 27b B 27b C 27c A 27c B 27c C 28a A 28a B 28a C 28b A 28b B 28b C 29a A 29a B 29a C Cost or other basis Depreciation allowed Depreciation allowed Depreciation allowed Adjusted basis Adjusted basis Adjusted basis Total gain Total gain Total gain Depreciation allowed Depreciation allowed Depreciation allowed Smaller of lines 24 and 25a Smaller of lines 24 and 25a Smaller of lines 24 and 25a Additional depreciation after 1975 Additional depreciation after 1975 Applicable % Applicable % Applicable % Subtract line 26a from line 24 Subtract line 26a from line 24 Subtract line 26a from line 24 Additional depreciation after 1969 Additional depreciation after 1969 Additional depreciation after 1969 Smaller of lines 26c and 26c Smaller of lines 26c and 26c Smaller of lines 26c and 26c Sec 291 amount Sec 291 amount Sec 291 amount Add lines 26b,26e and 26f Add lines 26b,26e and 26f Add lines 26b,26e and 26f Soil, water, land Soil, water, land Soil, water, land Line 27 multiplied by applicable % Line 27 multiplied by applicable % Line 27 multiplied by applicable % Smaller of lines 24 and 27b Smaller of lines 24 and 27b Smaller of lines 24 and 27b Intangible drilling Intangible drilling Intangible drilling Smaller of lines 24 and 28a Smaller of lines 24 and 28a Smaller of lines 24 and 28a Applicable % of payment excluded Applicable % of payment excluded Applicable % of payment excluded

11-0000007 Sales of Business Property
24,619 19,930 19,467 24,492

2006

127 5,000 7,760 1,673

19,930
19,467 24,492 5,000 7,760 1,673

257

WorkNAllDay, Inc. Form 4797 Test 7
29b A 29b B 29b C 30 31 32 33(a) 33(b) 34(a) 34(b) 35(a) 35(b)

11-0000007 Sales of Business Property 2006

Smaller of lines 24 and 29a Smaller of lines 24 and 29a Smaller of lines 24 and 29a 14,433 Total gain all property 14,433 Add property columns A – D Subtract line 31 from line 30 Part IV Recapture Amounts Under Sections 179 and 280F(b)(2) Sec 179 expn ded – Sec 179 Sec 179 expn ded – Sec 280F(b) Recomputed deprc – Sec 179 Recomputed deprc- Sec280F(b) Recapture amount – Sec 179 Recapture amount – Sec 280F(b)

258

WorkNAllDay, Inc.

11-0000007

Form 8824

Like-Kind Exchanges

2006

Name(s) shown on return: . WorkNAllDay, Inc Identifying number: 11-0000007 Line Description Line Amount Write-in / Literal Part I Information on the Like-Kind Exchange Description of like-kind property given up 1 2000 Ford Pickup Description of like-kind property received 2 2006 Ford Pickup Date property given up, acquired (month, day, year) 3 03-05-2000 Date property was transferred (month, day, year) 4 10-14-2006 Date property received was identified by written 5 notice to other party (month, day, year) 10-01-2006 Date property received 6 10-14-2006 Was exchange of property with a related party 7 YES NO X Part II Related Party Exchange Information Name of related party 8 Relationship to you Related party’s identifying number Address Did related party directly/indirectly sell or dispose 9 of any part of the property received from you Did you sell/dispose of like-kind property received 10 Check the applicable box for exceptions that 11 apply Was after the death of either of the related parties 11a Disposition was an involuntary conversion, and 11b the threat of conversion occurred after the exchange Neither exchange / disposition had tax avoidance 11c Part III Realized Gain or (Loss), Recognized Gain, and Basis of Like-Kind Property Received Fair market value of other property given up 12 Adjusted basis of other property given up 13 Gain/Loss recognized (Subtract line 13 from line 12) 14 Cash received, FMV property received, net 15 liabilities assumed, less by exchange expenses FMV of like-kind property you received 16 40,000 Add lines 15 and 16 17 40,000 Adjusted basis of like-kind property given up 18 35,791 Realized gain or (loss) Subtract line 18 from 17 19 4,209 Enter smaller of line 15 or 19 but not less than 20 zero Ordinary income under recapture rules 21 Subtract line 21 from line 20 22 Recognized gain. Add lines 21 and 22 23 Deferred gain/loss. Subtract line 23 from line 19 24 4,209 Basis of like-kind property received. Subtract line 25 15 from the sum of lines 18 and 23 35,791 Part IV Deferral of Gain From Section 1043 Conflict-of-Interest Sales Enter number from certificate of divestiture 26 Description of divested property 27 Description of replacement property 28 Date divested property sold (month, day, year) 29 Sales price of divested property 30 Basis of divested property 31 Realized gain. Subtract line 31 from 30 32 Cost of replacement property 33
259

WorkNAllDay, Inc.
34 35 36 37 38 Subtract line 33 from line 30. If zero / less, enter 0 Line Description Ordinary income under recapture rules Subtract line 35 from line 34. If zero / less, enter 0 Deferred Gain. Subtract the sum of lines 35 and 36 from 32 Basis of replacement property. Subtract line 37 from line 33

11-0000007

Line Amount

Write-in / Literal

260

WorkNAllDay, Inc.

11-0000007

Sch K-1 (Bin Xempt) (Form 1120S) Test 7

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning January 1, 2006 ending December 31, 2006 Final K-1 Amended K Part I Information About the Corporation A Corporation's EIN 11-0000007 B Corporation's name, address, WorkNAllDay, Inc. city, state, and Zip code 37 Any Street, Anytown, NC 280410280 C D E F G IRS Center where return filed OSPC Tax shelter registration #, if any Check if Form 8271 is attached Part II Information About the Shareholder 999-06-0008 Shareholder's Identification # Shareholder's name, address, Bin Xempt XEMP city, state and ZIP code 51 Any Street Anytown, WI 53201 Shareholder's percentage of 50.000% stock ownership for tax year Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Line Description Line Amount Write-in / Literal Ordinary business income (loss) 212,059 Net rental real estate income (loss) Other net rental income (loss) Interest income 35,573 Ordinary dividends Qualified dividends Royalties Net short-term capital gain (loss) 39,324 Net long-term capital gain (loss) Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain (loss) Other income (loss) Section 179 deduction 31,467 Other deductions R 251,184 Credits & credit recapture Foreign transactions Alternative minimum tax (AMT) A -1,005 items Items affecting shareholder basis Other Information

H

1 2 3 4 5a 5b 6 7 8a 8b 8c 9 10 11 12 13 14 15

16 17

B C D A

-7,366 10,788 87,100 35,573

261

WorkNAllDay, Inc.

11-0000007

Sch K-1 (Carrie Ortiz) (Form 1120S) Test 7

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning January 1, 2006 ending December 31, 2006 Final K-1 Amended K Part I Information About the Corporation A Corporation's employer identification 11-0000007 number B Corporation's name, address, city, state, and Zip code WorkNAllDay, Inc. 37 Any Street, Anytown, NC 280410280 OSPC

C D E F G

H

1 2 3 4 5a 5b 6 7 8a 8b 8c 9 10 11 12 13 14 15 16 17

IRS Center where corporation filed return Tax shelter registration number, if any Check if Form 8271 is attached Part II Information About the Shareholder 999-06-0006 Shareholder's Identification number Shareholder's name, address, city, Carrie Ortiz ORTI state and ZIP code 55 Any Street Anytown, WI 53201 Shareholder's percentage of stock 50.000% ownership for tax year Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Line Description Line Amount Write-in / Literal Ordinary business income (loss) 212,059 Net rental real estate income (loss) Other net rental income (loss) Interest income 35,574 Ordinary dividends Qualified dividends Royalties Net short-term capital gain (loss) 39,325 Net long-term capital gain (loss) Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain (loss) Other income (loss) Section 179 deduction 31,468 Other deductions R 251,185 Credits & credit recapture Foreign transactions Alternative minimum tax (AMT) items A -1,006 Items affecting shareholder basis Other Information

B C D A

-7,366 10,788 87,100 35,574

262

Goldplated Detailing Service, Inc.

11-0000008

TEST SCENARIO 8 FORMS REQUIRED: 1120S, Sch D (1120S), 4562, 4797, 8082, 8283, 8825, 8881, Sch K-1 (2) ATTACHMENTS:
ItemizedOtherIncomeSchedule2 Section59e2ExpenditureStatement ItemizedOtherCostsSchedule CharitableContributionSchedule ItemizedOtherCreditsSchedule ItemizedOtherCurrentAssetsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedIncomeNotRecordedOnBooksSchedule2 ItemizedExpensesRecordedOnBooksSchedule2 ItemizedDeductionsNotChargedAgainstBooksSchedule2 FairMarketValueStatement DispositionOfPropWithSect179DeductionsStatement (2)

BINARY ATTACHMENTS: None HEADER INFO: Preparer Firm EIN: 11-0000011 Electronic Tax Filers, Inc. 100 Efile Drive Anytown, TX 78621 Phone Number: 512-555-1212

MultipleSoftwarePackagesUsed: No Originator: EFIN: Self-select Type: ERO NameControl: GOLD PractionerPIN: EFIN – Self-select, PIN – Self-select, PIN Entered by – ERO N/A 1120S EIN: 11-0000008 Taxpayer Name: Goldplated Detailing Service, Inc Name Control: GOLD Address: 36 Any Street Anytown, CA 90062 Name: Buff Ann Shine Title: Chief Executive Officer Taxpayer PIN: N/A Phone: 800-555-1212 Email Address: N/A DateSigned: Self-select Authorized Third Party: Yes Calendar Year 2006
263

Signature Option: Return Type: Filer:

Officer:

Tax Period:

IRS Payment:

N/A

Details for attachments to Forms 1120S, 8283, Sch K-1 (1120S) Attachment 1, Form 1120S, Page 1, Line 5: Other Income (ItemizedOtherIncomeSchedule2) Miscellaneous Total (3,272,375) (3,272,375)

Attachment 2, Form 1120S, Page 1, Line 19: Other Deductions (ItemizedOtherDeductionSchedule3 ) Telephone & Telegraph Warehouse Fees Professional Services Commissions Travel Expenses Freight Total 300,000 400,000 500,000 200,000 300,000 300,000 2,000,000

Attachment 3, Form 1120S, Page 2, Sch A, Line 5: Other Costs (ItemizedOtherCostsSchedule) Allocation of Cost of Goods Sold Cost of Service Total 70,480 628,265 698,745

Attachment 4, Form 1120S, Page 3, Sch K, Line 12a, Contributions (CharitableContributionSchedule) Description: Amount: Name: Code: It is expected that the taxpayer filing this form will provide the appropriate information. 5,931 Goldplated Detailing Service, Inc. A

Attachment 5, Form 1120S, Page 3, Sch K, Line 12c Section 59(e)(2) expenditures (Section59e2ExpenditureStatement) Type of Expenditure Portfolio Total Amount 377,465 377,465

Attachment 6, Form 1120S, Sch K, Line 13g: Other credits and credit recapture (ItemizedOtherCreditsSchedule) Trade or Business Activity: Description: Amount: Category: 811110 Pension Startup Costs 500 leave blank

Attachment 7, Form 1120S, Page 4, Sch L, Line 6 b/d: Other current assets (ItemizedOtherCurrentAssetsSchedule) Beginning Ending
264

Prepaid Expenses Unbilled Revenue Intercompany Advances Other Total

17,828 612,886 225,293 ______0 856,007

33,681 1,724,222 24,896 2,637,012 4,419,811

Attachment 8, Form 1127S, Page 4, Sch L Balance Sheets per Books, Line 18(b): Other current Liabilities at beginning and end of tax year (ItemizedOtherCurrentLiabilitiesSchedule) Beginning Deferred Comp. Payroll Taxes Payable Due to Broker Deferred Revenue Pension Insurance Accrued Expenses Total Ending 205,651 16,716

726,483 244,803 (1,534,505) 1,029,197 465,978 576,980 55,162 854,509

Attachment 9, Form 1128S, Page 4, Sch M-1, Line 2, Total Income Not Recorded on Books (ItemizedIncomeNotRecordedOnBooksSchedule2) OID on Treasury Strips Miscellaneous Total 7,217 939,146 946,363

Attachment 10, Form 1120S, Page 4, Sch M-1, Line 3: Expenses Recorded on Books, But Not Deducted on Return (ItemizedExpensesRecordedOnBooksSchedule2) Pension Profit Sharing Plan Adjustment Accrued Expenses Total 500 444,860 445,360

Attachment 11, Form 1120S, Page 4, Sch M-1, Line 6, Deductions on Return Not Charged Against Book Income (ItemizedDeductionsNotChargedAgainstBooksSchedule2) Prior RAR Adjustments Total 1,368,088 1,368,088

Attachment 12 Form 8283, Section A, Part 1, Information on Donated Property (FairMarketValueStatement ) Fair Market Value (FMV) Statement: The fair market value of the Industrial Sized Brushless and Waterless Car Waxer is reduced because the 50% limit, instead of the 30% limit, was chosen: (FMV) $6,500 – (Adj. Basis) $5,000 = (Appreciation) $1,500.

265

Attachment 13, Schedule K-1 (999-06-0010) Line 17: Other Information (DispositionOfPropWithSect179DeductionsStatement) Description Deductions from Investment Fees Category Portfolio (Other) Amount 188,732

Attachment 14, Schedule K-1 (999-06-0009) Line 17: Other Information (DispositionOfPropWithSect179DeductionsStatement)

Description Deductions from Portfolio Management

Category Portfolio (Other)

Amount 188,733

266

Form 1120S Test 8

U.S. Income Tax Return for an S Corporation

2006

Calendar Year 2006 or tax year beginning , 2006, ending , 2006 Effective date of S Election A 08/20/1986 Business code B 811190 Name and Address: Goldplated Detailing Service, Inc., 38 Any Street, Anytown, MI 49261 EIN C 11-0000008 Date of incorporated D 08/27/1985 Total assets E 6,688,675 Check applicable boxes F Number of Shareholders G 2 Schedule M-3 attached H Line Description Line Amount Write-in / Literal Gross Receipts or sales 1a 13,724,661 Less returns and allowances 1b Balance 1c 13,724,661 Cost of goods sold (Sch A, line 8) 2 10,400,672 Gross profit. Subtract line 2 from line 1c 3 3,323,989 Net gain (loss) 4 Other Income (loss) 5 (3,272,375) See Attachment 1 Total income (loss). Add lines 3 - 5 6 51,614 Compensation of officers 7 600,394 Salaries and wages (less employment credits) 8 790,556 Repairs and maintenance 9 186,826 Bad debts 10 Rents 11 138,516 Taxes and licenses 12 162,254 Interest 13 2,547 Depreciation (attach Form 4562) 14 142,900 Depletion (Do not deduct oil / gas depletion) 15 Advertising 16 Pension, profit-sharing, etc., plans 17 800,000 Employee benefit programs 18 250,000 Other deductions (attach schedule) 19 2,000,000 See Attachment 2 Total deductions ( add lines 7 – 19) 20 5,073,993 Ordinary business income (loss) Subtract line 21 20 from line 6 (5,022,379) Tax: Excess net passive income tax 22a Tax from Schedule D 22b Add lines 22a and 22b 22c Payments: 23a 23b Tax deposit with Form 7004 Credit for Federal tax paid on fuels 23c Credit for Federal telephone excise tax 23d Add lines 23a through 23d 23e Estimated tax penalty 24 Tax Due. 25 Overpayment 26 Credit elected to 2007 27 Refund

267

Write-in / Literal Yes 999-06-0007 Electronic Tax Filers, Inc 100 Efile Drive, Anytown, TX 78621 Preparer's EIN: 11-0000011 Preparer's Phone no.: 512-555-1212 Schedule A Cost of Goods Sold Inventory at beginning of year 1 92,281 Purchases 2 8,753,370 Cost of labor 3 1,001,648 Additional section 263A cost 4 Other costs 5 698,745 See Attachment 3 Total 6 10,546,044 Inventory at the end of yr 7 145,372 Cost of goods sold 8 10,400,672 9a (i) Cost described in Reg Sec1.471-3 9a (ii) Lower of cost or market Checked 9a (iii) Other Writedown of sub goods 9b LIFO adopted this TY 9c % LIFO closing inventory 9d Rules of Sec 263A apply? 9e No Change in determining quantities, 9f cost, valuations? No Schedule B Other Information 1(a) Cash 1(b) Accrual Checked 1(c) Other 2(a) Business Activity Auto Maintenance 2(b) Product or Service Car Wash/Detailing Corp own 50% or more? 3 No Member of controlled grp 4 No Required to file F8264 5 Issued publicly offered debt 6 instruments C corp before elected 7 Accum. earnings/profits close of yr 8 Total receipts less than $ 250,000? 9 No Schedule K Shareholders’ Shares of Income, Deductions, Credits, etc. Ordinary business income (loss) 1 (5,022,379) 2 Net rental real estate income (loss) 63,932 Other gross rental income (loss) 3a Expenses other rental activities 3b Other net rental income (loss) 3c Interest income 4 2,510,363 Ordinary dividends 5a Qualified dividends 5b 761,005 Royalties 6 Line Description Line Amount Write-in / Literal Net short-term capital gain (loss) 7 (259,012) Net long-term capital gain (loss) 8a 5,842,563
268

Line Description May IRS discuss? Preparer's SSN or PTIN: Preparer Firm's name/address:

Line Amount

8b 8c 9 10 11 12a 12b 12c (1) 12c (2) 12d 12d 13a 13b 13c 13d 13e 13f 13g 14a 14b 14c 14d 14e 14f 14g 14h 14i 14j 14k 14l 14m 14n 15a 15b 15c 15d 15e 15f 16a 16b 16c 16d 16e 17a 17b 17c 17d 18

Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain(loss) (500) Other income (loss) Section 179 deduction See Attachment 4 Contributions 5,931 Investment interest exp Section 59(e)(2) expenses – Type Portfolio Section 59(e)(2) expenses – Amt 377,465 See Attachment 5 Other deductions - Type Other deductions – Amount Low-income housing credit (sec 42(j)(5) Low-income housing credit (other) Qualified rehabilitation expenses Other rental real estate credits Other rental credits Credit for alcohol used as fuel Other credits and credit recapture 500 See Attachment 6 Country Name or U.S. possession Gross income all sources Gross income sourced at shareholder level Passive Listed categories General limitation Interest expense Other Passive Listed categories General limitation Paid Foreign taxes Accrued Reduction in taxes Other Foreign tax Information Post-1986 depreciation adjustment (50,466) Adjusted gain or loss Depletion Oil, gas, and geothermal propertiesgross income Oil, gas, and geothermal propertiesdeductions Other AMT items Tax-exempt interest income Other tax-exempt interest income Nondeductible expenses 18,005 Property distributions 5,500,000 Repayment of loans from sharhldrs Investment income 3,271,368 Investment expenses 377,465 Dividend distributions paid from accum E&P Other items and amts Income/loss reconciliation 3,512,576 Schedule L Balance Sheets per Books Beginning of tax year End of tax year Write-in /
269

Literal (a) 1 2a 2b 3 4 5 6 Cash Trade notes 852,560 744,659 Less allowance 744,659 852,560 Inventories 92,281 145,372 U.S. govt oblig Tax-exempt secs Other current 856,007 4,419,811 Attachment 7 assets Loan to shlders 7 Mortgage & real 8 estate loan Other investmnts 9 Bldgs & other 10a 3,410,332 deprec assets 3,235,804 Less accumu10b lated deprc 2,039,227 1,196,577 2,261,506 1,148,826 Depletable asst 11a Less accumu11b lated depletion Land 12 Intangible assets 13a 80,000 80,000 Less accum 13b amortization 39,000 41,000 42,000 38,000 Other assets 14 Total assets 15 3,411,559 6,688,675 Accts payable 16 442,820 418,547 Mortgages, 17 notes, bonds payable < 1yr Other current 18 liabilities 465,978 854,509 Attachment 8 Loans from 19 sharhldrs Mortgages, 20 notes, bonds payable > 1yr Other liabilities 21 Capital stock 22 8,866 8,866 Additional paid – 23 848,000 848,000 in capital Retained 24 earnings 5,426,103 2,243,245 Adjustments to 25 shareholders equity Less cost of 26 (867,350) (867,350) treasury stock Total liabilities & 27 shareholders equity 6,688,675 3,141,559 Schedule M-1 Reconciliation of Income (Loss) per Books With Income (Loss) per Return Line Description Line Amount Write-in / Literal Net Income 1 3,390,661 Income included on Sch K 2 946,363 Attachment 9
270

(b) 211,035

(c)

(d) 84,106

Expenses recorded on books 445,360 Attachment 10 Depreciation 3a 80,275 Travel & entertainment 3b 18,005 Add lines 1 – 3 4 4,880,664 Income recorded on 5 books Tax-exempt interest 5a Deductions included on 6 Sch K 1,368,088 Attachment 11 Depreciation 6a Add lines 5 and 6 7 1,368,088 Income (loss) Sch K 8 3,512,576 Schedule M-2 Analysis of Accumulated Adjustments Account, Other Adjustments Account (a) (b) (c) Accumulated Other Shareholder Write-in / adjustments adjustments undistributed Literal account account taxable income Balance at beginning of 1 tax year 104,845,406 Ordinary income 2 Other additions 3 9,177,863 Loss from pg 1, line 21 4 (5,022,379) Other reductions 5 (660,913) Combine lines 1 – 5 6 108,339,977 Distributions other than 7 dividends distributions 5,500,000 Balance at end of TY 8 102,839,977 3

271

Sch D (1120S) Test 8

Capital Gains and Losses and Built-in Gains

2006

Name: Goldplated Detailing Service, Inc. EIN: 11-0000008 Part I Short-Term Capital Gains & Losses Description of Property 1(a) 1000 sh USAFILE Date acquired 1(b) various Date sold 1(c) various Sales price 1(d) 702,615 Cost or other basis 1(e) 28,965 Gain or loss 1(f) 673,650 Description of Property 1(a) 5000 sh USACorp Date acquired 1(b) various Date sold 1(c) various Sales price 1(d) 565,424 Cost or other basis 1(e) 590,375 Gain or loss 1(f) (24,951) Description of Property 1(a) 4500 sh USATAX Date acquired 1(b) various Date sold 1(c) various Sales price 1(d) 2,468,135 Cost or other basis 1(e) 3,375,336 Gain or loss 1(f) (907,201) Description of Property 1(a) 5000 sh USAUSA Date acquired 1(b) various Date sold 1(c) various Sales price 1(d) 467,283 Cost or other basis 1(e) 467,793 Gain or loss 1(f) (510) Short-term capital gain from 2 installment sales Short-term capital gain from 3 like-kind exchanges Combine lines 1 – 3 4 Tax on short-term capital gain 5 Net short-term capital gain 6 (259,012) Part II Long-Term Capital Gains & Losses Description of property 7(a) 1000 sh FEDFILE Date acquired 7(b) various Date sold 7(c) various Sales price 7(d) 3,254,620 Cost or other basis 7(e) 1,378,896 Gain or loss 7(f) 1,875,724 Description of Property 7(a) 5000 sh FEDCORP Date acquired 7(b) various Date sold 7(c) various Sales price 7(d) 877,431 Cost or other basis 7(e) 964,060 Gain or loss 7(f) (86,629) Description of Property 7(a) 1050 sh FEDFILE Date acquired 7(b) various Date sold 7(c) various Sales price 7(d) 234,621 Cost or other basis 7(e) 169,742

Write-in / Literals

272

Sch D (1120S) Test 8
7(f) 7(a) 7(b) 7(c) 7(d) 7(e) 7(f) 8 9 10 11 12 13 14 15 16 17 18 19 20 21

Capital Gains and Losses and Built-in Gains
64,879 5000 sh FEDTAX various various 5,227,388 1,238,799 3,988,589

2006

Gain or loss Description of Property Date acquired Date sold Sales price Cost or other basis Gain or loss Long-term capital gain from installment sales Long-term capital gain from like-kind exchanges Capital gain distributions Combine lines 7 - 10 Tax long-term capital gain Net long-term capital gain Part III Excess recognized built-in gains Taxable income Net recognized built-in gain Section1374(b)(2) deductable Subtract line 17 from line 16 Enter 35% of line 18 Section 1374(b) (3) business credit Tax

5,842,563 5,842,563 Built-in Gains Tax

273

Form 4562 Test 8

Depreciation and Amortization

2006

Name: Goldplated Detailing Service, Inc. Business or Activity: Car Washing EIN: 11-0000008 Line Description Line Amount Write-in / Literal Part I Election to Expense Certain Property Under Section 179 Maximum amount $108,000 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop $430,000 3 Reduction in limitation 4 Dollar limitation for TY 5 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 Property subject to sec168(f)(1) election 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 131,212 18 Yes Assets placed in service (Sec 168(i)(4) election) No Section B – Assets Placed in Service During 2005 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprc deduct Write-in / Literal

3-year property 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2005 Tax Year Using the Alternative Depreciation System Class life 20a 222,205 9.5 HY 11,688 12-year 20b 40-year 20c Part IV Summary Listed property 21 Total 22 142,900 Assets for CY 23 19a 19b 19c 19d 19e 19f 19g 19h

274

Part V Listed Property Section A – Depreciation and Other Information 24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41 Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Amort for this Yr Write-in / Literal / Attachments

42 43 44

Amort of costs during 2004 TY Amort of costs before 2004 TY Total

275

Form 4797 Test 8

Sales of Business Property

2006

Name: Goldplated Detailing Service, Inc. EIN: 11-0000008 Line Description Line Amount Info Write-in / Literal Gross proceeds sales/ exchange 1 Part I Sales or Exchanges of Property Used in a Trade or Business Description of property 2(a) HD Vacuum Cleaner Date acquired 2(b) 03/30/01 Date sold 2(c) 12/10/06 Gross sales price 2(d) 4,000 Depreciation allowed 2(e) 3,500 Cost or other basis 2(f) 8,000 Gain or (loss) 2(g) (500) Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 (500) Non-recaptured net sec 1231 loss 8 Subtract line 8 from line 7 9 Part II Ordinary Gains and Losses 10(a) Description of property 10(b) Date acquired 10(c) Date sold 10(d) Gross sales price 10(e) Depreciation allowed Cost or other basis 10(f) 10(g) Gain or loss Loss fm line 7 11 Gain fm line 7 12 Gain fm line 31 13 Net gain F4684 14 Ordinary gain F6252 15 Ordinary gain F8824 16 Combine lines 10 to16 17 Part of loss F4684 18a Re-determined gain/loss line 17 18b Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a) Description of property 19(b) Date acquired 19(c) Date sold Gross sales price 20 Cost or other basis 21 Depreciation allowed 22 Adjusted basis 23 Total gain 24 Depreciation allowed 25a Smaller of lines 24 and 25a 25b Additional depreciation after 1975 26a Applicable % 26b Subtract line 26a from line 24 26c Additional depreciation after 1969 26d
276

Form 4797 Test 8
26e 26f 26g 27a
Smaller of lines 26c and 26c

Sales of Business Property

2006

Sec 291 amount Add lines 26b,26e and 26f Soil, water, land

277

27b 27c 28a 28b 29a 29b 30 31 32 33(a) 33(b) 34(a) 34(b) 35(a) 35(b)

Line Description Line Amount Info Write-in / Literal Line 27 multiplied by applicable % Smaller of lines 24 and 27b Intangible drilling Smaller of lines 24 and 28a Applicable % of payment excluded Smaller of lines 24 and 29a Total gain all property Add property columns A – D Subtract line 31 from line 30 Part IV Recapture Amounts Under Sections 179 and 280F(b)(2) Sec 179 expense deduction – Sec 179 Sec 179 expense deduction – Sec 280F(b) Recomputed deprc – Sec 179 Recomputed deprc-Sec280F(b) Recapture amount – Sec 179 Recapture amount – Sec 280F(b)

278

Form 8082 Test 8

Notice of Inconsistent Treatment or Administrative Adjustment Request (AAR)

Name: Goldplated Detailing Service, Inc. Identifying number: 11-0000008 Part I General Information Line Description Line Amount / Info Write-in / Literal (a) Notice of inconsistent Check boxes that apply 1 treatment If TMP, req substituted return treatment 2 “No” checkbox checked Type of pass-thru entity checkboxes 3 (a) Partnership checked Identifying number of pass-thru entity 4 11-0000024 Cleaner Solutions, 125 Any Street, Anytown, MI Name, address, Zip of pass-thru entity 49261 5 Tax shelter registration number 6 IRS Center where pass-thru entity filed 7 OSPC Tax year of pass-thru entity 8 1/1/2006 to 12/31/2006 Your tax year 9 1/1/2006 to 12/31/2006 Part II Inconsistent or Administrative Adjustment Request (AAR) Items (a) (c) (d) (b) (e) Desc of AAR Amount Amount Difference Inconsistency items shown on reporting between (c) Write-in / in or AAR to and (d) Sch K-1 Literal correct Schedule KAmount of 1, Line 1 item checked 10 163,932 63, 932 100,000 Part III Explanation – Enter the Part II item number before each explanation Part II, item 10 - It appears that a typographical error was made on the Schedule K-1 received from Cleaner Solutions. We know that the correct figure is $63,932 not $163,932 but the partnership has not filed an amended return.

279

Form 8283 Test 8

Noncash Charitable Contributions

Name: Goldplated Detailing Service, Inc. Identifying number: 11-0000008 Section A Part I Information on Donated Property Line Description Line Amount / Info Association for Cleaner Cars, 54 Any Street, Anytown, FL 32210 1(a)A Name, address of donee organization Industrial size brushless 1(b)A Description of donated property & waterless car waxer 1(c)A Date of the contribution 07/04/2006 1(d)A Date acquired by donor 07/1995 1(e)A How acquired by donor Purchase 1(f)A 1(g)A 1(h)A 2a 2b 2c 2d 2e 3a 3b 3c 4 5(a)A 5(b)A 5(c)A 5(d)A 5(e)A 5(f)A 5(g)A 5(h)A 5(i)A Donor’s cost or adjusted basis Fair market value 5,000 6,500

Write-in / Literal

Method used to determine the FMV Industry Price Section A Part II Other Information Enter letter fm Part I that IDs property Total amount claimed as a deduction Name, address of each organization contribution was made in a prior year Place where tangible property located Name of person w/ possession of prop Restriction on donee’s right to use prop Gave right to income from property Restriction limiting donated property Section B Part I Information on Donated Property Type of property checkboxes Description of donated property Tangible property – brief summary Appraised fair market value Date acquired by donor How acquired by donor Donor’s cost or adjusted basis Bargain sales amount received Amount claimed as a deduction Average trading price of securities Section B Part II Taxpayer (Donor) Statement Identifying letter and description Section B Part III Declaration of Appraiser Business address Identifying number Section B Part IV Donee Acknowledgment Date charitable org received property Org intend to use prop for unrelated use Name of charitable organization (donee) Address of charitable organization EIN

See Attachment 12

280

8825

Rental Real Estate Income and Expenses of a Partnership or an S Corporation

2006

Name: Goldplated Detailing Service, Inc. EIN: 11-0000008 Line Description Line Amount / Info Kind & location of each property 1A Gross rents 2A Advertising 3A Auto and travel 4A Cleaning and maintenance 5A Commissions 6A Insurance 7A Legal and other professional fees 8A Interest 9A Repairs 10A Taxes 11A Utilities 12A Wages and salaries 13A Depreciation 14A Other 15A Total expense for each property 16A Total gross rents 17 Total expenses 18 Net gain (loss) fm F4797) 19 Net income (loss) from rental real 20a estate activities 63,932 20b(1) Name Cleaner Solutions 20b(2) EIN 11-0000024 Net rental real estate income 21 63,932

Write-in / Literal

281

8881 Test 8

Credit for Small Employer Pension Plan Startup Costs

2006

Name: Goldplated Detailing Service, Inc. EIN: 11-0000008 Line Description Part I Qualified startup cost during TY 1 Enter ½ of line 1 2 Credits from small employer pension plan startup costs 3 Add lines 2 and 3 4 Current year credit 5

Line Amount Info Current Year Credit 1,000 500 0 500 500

Write-in / Literal

282

Sch K-1 (Form 1120S) Test 8

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning January 1, 2006 ending December 31, 2006 Final K-1 Amended K Part I Information About the Corporation Line Description Line Amount Info Write-in / Literal Corporation's employer A 11-0000008 identification number Corporation's name, address, B Goldplated Detailing Service, Inc., city, state, Zip code 38 Any Street, Anytown, MI 49261 IRS Center where corporation C OSPC filed return Tax shelter registration #, if any D Check if Form 8271 is attached E Part II Information About the Shareholder Shareholder's Identification F 999-06-0010 number Shareholder's name, address, G Tajh Mahal Shadrock SHAD city, state and ZIP code 53 Any Street Anytown CO 81601 Shareholder's percentage of H stock ownership for tax year 50.000 Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Line Description Line Amount Info Write-in / Literal / Attachments Ordinary business income (loss) 1 (2,511,190) Net rental real estate income (loss) 2 31,966 Other net rental income (loss) 3 Interest income 4 1,255,182 5a Ordinary dividends 380,502 5b Qualified dividends 380,502 Royalties 6 Net short-term capital gain (loss) 7 (129,506) 8a Net long-term capital gain (loss) 2,921,282 8b Collectibles (28%) gain (loss) 8c Un-recaptured section 1250 gain Net section 1231 gain (loss) 9 (250) 10 Other income (loss) 11 Section 179 deduction 12 Other deductions A 466 C 2,500 J 188,732 13 Credits & credit recapture P 250 14 Foreign transactions 15 Alternative minimum tax (AMT) items A (25,233) 16 Items affecting shareholder basis C 9,002 D 2,750,000 17 Other Information A 1,635,684 B 188,733 Attachment 13

283

Sch K-1 (Form 1120S) Test 8

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning January 1, 2006 ending December 31, 2006 Final K-1 Amended K Part I Information About the Corporation Line Description Line Amount Info Write-in / Literal Corporation's employer identification number A 11-0000008 Corporation's name, address, city, state, and B Goldplated Detailing Zip code Service, Inc., 38 Any Street, Anytown, MI 49261 IRS Center where corporation filed return C OSPC Tax shelter registration number, if any D Check if Form 8271 is attached E Part II Information About the Shareholder Shareholder's Identification number F 999-06-0009 Shareholder's name, address, city, state and G Waxer A. Cleanowski CLEA ZIP code 52 Any Street Anytown MO 64113 Shareholder's percentage of stock ownership H for tax year 50.000 Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Line Description Line Amount Info Write-in / Literal Ordinary business income (loss) 1 (2,511,189) Net rental real estate income (loss) 2 31,966 Other net rental income (loss) 3 Interest income 4 1,255,181 5a Ordinary dividends 380,503 5b Qualified dividends 380,503 Royalties 6 Net short-term capital gain (loss) 7 (129,506) 8a Net long-term capital gain (loss) 2,921,281 8b Collectibles (28%) gain (loss) 8c Un-recaptured section 1250 gain Net section 1231 gain (loss) 9 (250) 10 Other income (loss) 11 Section 179 deduction 12 Other deductions A 465 C 2,500 J 188,733 U 13 Credits & credit recapture P 250 14 Foreign transactions 15 Alternative minimum tax (AMT) items A (25,233) 16 Items affecting shareholder basis C 9,003 D 2,750,000 17 Other Information A 1,635,684 B 188,733 See Attachment 14

284

Tree Fixr Upper, Inc. TEST SCENARIO 9

11-0000009

FORMS REQUIRED: 1120S, Sch M-3, Sch N (1120), 4562, 5471, Sch J (5471), Sch M (5471), 5472, 8916-A (Attach in PDF until schema is published), Sch K-1 ATTACHMENTS: ItemizedOtherIncomeSchedule2 ItemizedOtherDeductionSchedule2 ItemizedOtherCostsSchedule CharitableContributionSchedule ItemizedOtherDeductionsSchedule3 ItemizedOtherCurrentAssetsSchedule ItemizedOtherInvestmentsSchedule ItemizedOtherCurrentLiabilitiesSchedule ItemizedOtherLiabilitiesSchedule USDividendsNotEliminatedInTaxConsolidationSchedule PartnershipInterestSchedule OtherExpenseDeductionItemsWithDifferencesSchedule BINARY ATTACHMENTS: None HEADER INFO: Tax Period: Preparer Firm Calendar Year 2006 Electronic Tax Filers, Inc. 11-0000011 100 Efile Drive Anytown, TX 78621

MultipleSoftwarePackagesUsed: Yes or No Originator: EFIN: Self-select Type: ERO Practioner PIN: EFIN: Self-select PIN: Self-select PIN Entered by – ERO PIN Number 1120S EIN: 11-0000009 Name: Tree Fixr Upper, Inc. Name Control: Tree Address: 39 Any Street Anytown, OK 74002 Name: Talbert Oaks Title: President Taxpayer PIN: Self-Select Phone: 301-555-1212 Email Address:
285

Signature Option: Return Type: Filer:

Officer:

Tree Fixr Upper, Inc. DateSigned: 01/25/07

11-0000009

Preparer:

Name: Johnny Appleseed SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: Date Prepared: 01/20/07 Self Employed: Yes N/A

IRS PAYMENT:

Attachment 1, Page 1, Line 5, Other Income (ItemizedOtherIncomeSchedule2) Miscellaneous Income US Partnership Loss Total 740,410 (320,210) 420,200

Attachment 2, Page 1, Line 19, Other Deductions (ItemizedOtherDeductionsSchedule2) Dues and Subscriptions Communications Employment Expenses Utilities & Telephone Travel Professional Expenses Workers Compensation Supplies Postage Transportation Life Insurance Miscellaneous 3,932,765 925,702 1,763,530 932,765 6,625,923 1,376,350 725,013 914,685 212,652 1,327,085 464,916 938,643 20,140,029

Total (element not in schema do not need to input ... info purposes only)

Attachment 3, Page 2, Sch A, Line 5, Other Costs (ItemizedOtherCostsSchedule) Allocation of Cost of Goods Sold Cost of Service 70,480 1,599,205,984 1,599,276,464

Total (element not in schema do not need to input ... info purposes only)

Attachment 4, Page 3, Sch K, Line 12a, Contributions (CharitableContributionSchedule) Name: Tree Fixr Upper, Inc. Category: Cash Contribution (50%) Description: It is expected that the taxpayer filing this form will provide the appropriate information.
286

Tree Fixr Upper, Inc.
Code: R Amount:

11-0000009

500,000

Attachment 5, Page 3, Sch K, Line 12 d, Other Deductions (ItemizedOtherDeductionSchedule3) Trade/Business Activity: 484110 Description: Deductions from ABC LLC Amount: 320,210 Code: P

Attachment 6, Page 4, Sch L Balance Sheets per Books, Line 6 (b & d): Other current assets at end of tax year (ItemizedOtherCurrentAssetsSchedule) Beginning Ending 2,300,000 Prepaids & Deposits 2,700,000 Total (element not in schema do not need to input ... info purposes only) 2,700,000 2,300,000

Attachment 7, Page 4, Sch L Balance Sheets per Books, Line 9 (b & d): Other investments at beginning of tax year (ItemizedOtherInvestmentsSchedule) Beginning Ending ABC LLC 125,000 125,000 TAX PAD’NERS 80,000 120,000 355,484 Life Insurance – Cash Surrender Value 975,400 Total (element not in schema do not need to input ... info purposes only) 1,180,400 600,484

Attachment 8, Page 4, Sch L, Line 18 (b & d): Other Current Liabilities (ItemizedOtherCurrentLiabilitiesSchedule) Beginning Ending 23,100,999 Accrued Expenses 10,500,600

Total (element not in schema do not need to input ... info purposes only)

10,500,600

23,100,999

Attachment 9, Page 4, Sch L, Line 21(d), Other Liabilities (ItemizedOtherLiabilitiesSchedule) Beginning Deferred Compensation Total (element not in schema do not need to input ... info purposes only) Ending 1,700,900 1,700,900

Attachment 10, Page 5, Sch M- 3, Part II, Line 6(a) & (d), U.S Dividends not eliminated in tax Consolidation (USDividendsNotEliminatedInTaxConsolidateionSchedule)

287

Tree Fixr Upper, Inc.
Class of Stock Columns b c

11-0000009

Name

EIN

a

d

Misc Corp 99-0000009 Common 2,480,000 0 0 2,480,000 Attachment 11, Page 5, Sch M- 3, Part II, Line 7(d): Income (Loss) from U.S. Partnerships (PartnershipInterestSchedule) Name EIN EoY Profit Sharing % 60% EoY Loss Sharing % 60% Columns b c 0

a (320,010)

d

ABC LLC 99-9060012

(200) (320,210)

Attachment 12, Page 7, Sch M- 3, Part III, Line 29 (d): Other expense/deduction items with differences (OtherExpenseDeductionItemsWithDifferencesSchedule) Description Accrued Legal Fees a 396,300 Columns b 980,050

c

d 1,376,350

288

Tree Fixr Upper, Inc.

11-0000009

Form 1120S Test 9

U.S. Income Tax Return for an S Corporation

2006

Calendar Year 2006 or tax year beginning , 2006, ending , 20 Effective date of S Election A 05/31/1999 Business code B 541320 Name and Address: Tree Fixr Upper, Inc., 39 Any Street, Anytown, OK 74002 EIN C 11-0000009 Date of incorporated D 11/19/1957 Total assets E 560,500,183 Check applicable boxes F Number of Shareholders G 1 Required Sched M-3 attached H Checked Line Description Line Amount / Info Write-in Literal/Attachments Gross Receipts or sales 1a 1,900,670,400 Less returns and allowances 1b Balance 1c 1,900,670,400 Cost of goods sold (Sch A, line 8) 2 1,860,100,750 Gross profit. Subtract line 2 from line 1c 3 40,569,650 Net gain (loss) 4 Other Income (loss) 5 420,200 Attachment 1 Total income (loss). Add lines 3 - 5 6 40,989,850 Compensation of officers 7 8,500,400 Salaries / wages (less employment credits) 8 6,372,055 Repairs and maintenance 9 500,101 Bad debts 10 Rents 11 6,650,188 Taxes and licenses 12 13,980,990 Interest 13 120,100 Depreciation (attach Form 4562) 14 26,234 Depletion (Do not deduct oil/gas depletion) 15 Advertising 16 890,700 Pension, profit-sharing, etc., plans 17 1,300,000 Employee benefit programs 18 Other deductions (attach schedule) 19 20,140,029 Attachment 2 Total deductions (add amounts shown far 20 right for lines 7 – 19) 58,480,797 Ordinary business income (loss) Subtract 21 line 20 from line 6 (17,490,947) Tax: Excess net passive income tax 22a Tax from Schedule D 22b Add lines 22a and 22b 22c Payments: 23a Tax deposit with Form 7004 23b Credit for Federal tax paid on fuels 23c Add lines 23a through 23c 23d Add lines 23a through 23d 23e Estimated tax penalty 24 Tax Due. 25 Overpayment 26 Credit elected to 2007 Refund 27 May IRS discuss? Yes Preparer's SSN or PTIN: 999-06-0007 Preparer Firm's name/address: Electronic Tax Filers, Inc
289

Tree Fixr Upper, Inc. Form 1120S Test 9
Preparer's EIN: Preparer's Phone no.: 1 2 3 4 5 6 7 8 9a (i) 9a (ii) 9a (iii) 9b 9c 9d 9e 9f Schedule A Inventory at beginning of year Purchases Cost of labor Additional section 263A cost Other costs Total Inventory at the end of year Cost of goods sold Cost as described in Reg. Sec. 1.471-3 Lower of cost or market Other Write-down of sub goods LIFO adopted this TY % LIFO closing inventory Rules of Sec 263A apply? Change in determining quantities, cost, valuations? Schedule B Cash Accrual Other Business Activity

11-0000009 U.S. Income Tax Return for an S Corporation
100 Efile Drive, Anytown, TX 78621 11-0000011 512-555-1212 Cost of Goods Sold 92,101,022 1,024,169 258,879,395 1,599,276,464 1,951,281,050 91,180,300 1,860,100,750 Checked Attachment 3

2006

No No Other Information Checked Architecture Commercial Landscaping No No

1(a) 1(b) 1(c) 2(a) 2(b) 3 4 5 6 7 8 9 1 2 3a 3b 3c 4 5a 5b 6 7 8a 8b 8c 9 10 11 12a

Product or Service Corp own 50% or more? Member of controlled group Required to file F8264 Issued publicly offered debt instruments C corporation before elected Accumulated earnings/profits close of yr Total receipts less than $250,000? No Schedule K Shareholders’ Shares of Income, Deductions, Credits, etc. Ordinary business income (loss) (17,490,947) Net rental real estate income (loss) Other gross rental income (loss) Expenses from other rental activities Other net rental income (loss) Interest income 2,500,000 Ordinary dividends Qualified dividends 2,480,000 Royalties Net short-term capital gain (loss) Net long-term capital gain (loss) Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain (loss) Other income (loss) Section 179 deduction Contributions 500,000 Attachment 4
290

Tree Fixr Upper, Inc. Form 1120S Test 9
12b 12c(1) 12c(2) 12d 12d 13a 13b 13c 13d 13e 13f 13g 14a 14b 14c 14d 14e 14f 14g 14h 14i 14j 14k 14l 14m 14n 15a 15c 15d 15e 15f 16a 16b 16c 16d 16e 17a 17b 17c 17d 18

11-0000009 U.S. Income Tax Return for an S Corporation 2006

1 2a 2b 3 4 5 6

Investment interest expense 340 Section 59(e)(2) expenses – Type Section 59(e)(2) expenses – Amount Other deductions -Type R Other deductions 320,210 Attachment 5 Low-income housing credit {sec 42(j)(5)} Low-income housing credit (other) Qualified rehabilitation expenses Other rental real estate credits Other rental credits Credit for alcohol used as fuel Other credits and credit recapture Name of country or U.S. possession Gross income from all sources Gross income at shareholder level Passive Listed categories General limitation Interest expense Other Passive Listed categories General limitation Paid Foreign taxes aid Accured Reduction in taxes available for credit Other Foreign tax Information 168,150 Post-1986 depreciation adjustment (165,700) Depletion Oil, gas, and geothermal properties-gross income Oil, gas, and geothermal propertiesdeductions Other AMT items Tax-exempt interest income Other tax-exempt interest income Nondeductible expenses 491,410 Property distributions Repayment of loans from shareholders Investment income 4,980,000 Investment expenses Dividend distributions paid from accum E&P Other items and amounts Income/loss reconciliation (13,331,497) Schedule L Balance Sheets per Books Beginning of tax year End of tax year Write-in / Literal (a) (b) (c) (d) Cash 61,000,300 125,954,114 Trade notes 88,799,978 310,294,485 Less allowance 88,799,978 310,294,485 Inventories 92,101,022 91,180,300 U.S. govt oblig Tax-exempt sec. Othr curr assets 2,700,000 2,300,000 Attachment 6
291

Tree Fixr Upper, Inc. Form 1120S Test 9
Loans to sharhldrs Mortgage & real estate loan Othr invest 9 10a Bldgs & othr deprec assets 10b Less accum deprec 11a Depletable assets 11b Less accum depeltn Land 12 13a Intang assets 13b Less accum amortiz Other assets 14 Total assets 15 Accts payable 16 Mortgages, notes, 17 bonds payable < 1yr Othr curr liabililties 18 Loans frm sharhldrs 19 Morrtgages, notes, 20 bonds payable > 1yr Other liabilities 21 Capital stock 22 Additional paid –in 23 capital Retained earnings 24 Adj to shareholders 25 equity Less cost of 26 treasury stock Total liabilities & 27 sharhldrs equity 7 8

11-0000009 U.S. Income Tax Return for an S Corporation 2006

1,180,400 40,270,500 12,250,400 40,270,500 12,300,600

600,484

Attachment 7

28,020,100

27,969,900

2,200,900

273,801,800 170,700,400 200,800 10,500,600

560,500,183 449,809,280 500,000 23,100,999

Attachment 8

18,660,600 2,000,700 3,005,550 68,733,150

18,300,300 1,700,900 2,300,130 6,120,200 58,668,374

Attachment 9

273,801,800

560,500,183

Schedule Reconciliation of Income (Loss) per Books with Income (Loss) per Return M-1 Net Income 1 Income included on Sch K 2 Expenses recorded on books 3 Depreciation 3a 3b Travel & entertainment Add lines 1 – 3 4 Income recorded on books 5 Tax-exempt interest 5a Deductions included on Sch K 6 Depreciation 6a Add lines 5 & 6 7 Income (loss) 8

292

Tree Fixr Upper, Inc.

11-0000009

Schedule M-2

1 2 3 4 5 6 7 8

Analysis of Accumulated Adjustments Account, Other Adjustments Account (a)Accumulated (b) Other (c)Shareholder Write-in / adjustments adjustments undistributed Literal account account taxable income Bal at begin of tax year 8,922,686 Ordinary income Other additions 4,980,000 Loss from Pg 1, Line 21 (17,490,947) Other reductions (1,311,960) Combine lines 1 - 5 (4,900,221) Distributions other than dividends distributions Balance at end of TY (4,900,221)

293

Tree Fixr Upper, Inc.

11-0000009

Form Schedule M-3 Net Income (Loss) Reconciliation for Corporations 2006 (1120S) Test 9 With Total Assets of $10 Million or More Name: Tree Fixr Upper, Inc. EIN: 11-0000009 Part I Financial Information and Net Income (Loss) Reconciliation Line Description Line Amount / Information Write-in / Literal Prepare certified audited income stmt? 1a Yes Prepare income stmt? 1b Income statement period 2 01/01/2006 12/31/2006 Income statement re-stated? 3a No Income stmt restated for 5 periods? 3b No Worldwide consol net income 4 (14,802,957) Net income non-includible foreign 5a Net loss non-includible foreign 5b 200 Net income non-includible US 6a Net loss from non-includible US 6b Net income from non-includible Other 7a Net loss non-includible Other 7b Adjust to eliminations of transact 8 Adjust to reconcile income stmt 9 Other adjust to reconcile 10 Net income (loss) per stmt 11 (14,802,757) Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return (a) Income (loss) per Income Stmt 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Incm (loss) fm equ mthd forgn Gross forgn div Subpart F,QEF Gross forgn dist Incm (loss) fm equ mthd US US div not elim Incm (loss) US Prtnshp Incm (loss) forgn Prtnrshp Incm (loss) othr pass-- entity Reportable transact items Interest income Total accrual to cash adj Hedging trans Mark-Mkt incm Cost of gds sold Sale vs lease Sec 481(a) adj Unearned/ defrrd revenue Income recogn (b) Temp Difference (c) Perm Difference (d) Income (loss) per Tax Return

Write-in / Literal

2,480,000 (320,010) (200)

2,480,000 Attachment 10 (320,010) Attachment 11

2,500,000

2,500,000

(1,860,100,750)

(1,860,100,750)

294

Tree Fixr Upper, Inc.

11-0000009

Form Schedule M-3 Net Income (Loss) Reconciliation for Corporations 2006 (1120S) Test 9 With Total Assets of $10 Million or More Org issue disc 20 Incom stmt gain/ loss on sale 21a Gross cap gain 21b Gross cap loss 21c Net gain/loss 21d Abandonment 21e Worthless stck 21f Othr gain/loss 21g Othr incm (loss) 22 Tot incm (loss) 23 (1,855,440,760) (200) (1,855,440,760) Tot expns/ded 24 (5,889,300) 980,050 491,410 (4,417,840) Othr incm (loss) w/ no diff 25 1,846,527,303 1,846,527,303 Reconcil 26 (14,802,757) 980,050 491,210 (13,331,497) Part III Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items (a) (d) Income (loss) Income per Income (b) (c) (loss) per Stmt Temp Perm Tax Write-in / Literal Difference Difference Return US curr incm tax 1 expense US defer incmn 2 tax expns State local curr 3 incm tax expns State local defer incm tax expns 4 Forgn curr incm 5 tax expense Forgn deferred 6 incm tax expns Equity-based 7 compensation Meals Entrtmnt 8 Fines penalties 9 336,410 (336,410) 0 Judgements 10 Pension profit 11 shar 1,300,000 1,300,000 Othr post retrmnt 12 Deferred comp 13 2,590,000 (1,960,100) 629,900 Charitable contribution 14 500,000 cash/tang 500,000 Charitable contribution intangible prop 15 CY acquis or reorg investmt 16 banking fees CY acquist/reorg legal/acct fees 17
295

Tree Fixr Upper, Inc.
Form Schedule M-3 (1120S) Test 9 CY acquis othr 18 costs Amort of gdwill 19 Amort of acquis 20 Other amortizat 21 Sec 198 environ 22 Depletion Oil & 23a Gas Depletion Othr Oil & Gas 23a Depreciation 24 Bad debt expns 25 Interest Expense 26 Corp-own life ins 27 Purch vs lease 28 Other expns/ded 29 Total expense/ 30 deduction items

11-0000009
Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More 2006

26,234

26,234

120,440 619,916 396,300 5,889,300 980,050 (980,050)

(155,000)

120,440 464,916 1,376,350 Attachment 12

(491,410)

4,417,840

296

Tree Fixr Upper, Inc.

11-0000009

Form Sch N (1120) Test 9
Name: Tree Fixr Upper, Inc. EIN: 11-0000009 Line Description 1a 1b 2 3 4a 4b 5 6a 6b 7a 7b 7c

Foreign Operations of U.S. Corporations

2006

Owned foreign disregarded entity Number F8858 Number F8865 Ownd 10% interest in othr forgn prtnrshp US Shareholder of CFC Number F5471 Distribution/grantor/ transferor foreign trust Form 3520 Interest in fin acct Form TD F 90-22.1 Name of foreign country Extraterritorial income exclusion Number F8873 Line 52 totals all F8873

Line Amount / Information No

Write-in / Literal / Attachments

No Yes 1 No No No

297

Tree Fixr Upper, Inc.

11-0000009

Form 4562 Test 9

Depreciation and Amortization

2006

Name: Tree Fixr Upper, Inc Business or Activity: Commercial Landscapers EIN: 11-0000009 Line Description Line Amount Write-in / Literal / Attachments Part I Election to Expense Certain Property Under Section 179 Maximum amount 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 3 Reduction in limitation 4 Dollar limitation for TY 5 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 Property subject to sec 168(f)(1) election 15 Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 26,234 Sec 168(i)(4) election 18 Section B – Assets Placed in Service During 2005 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprec deduct Write-in / Literal

3-year property 5-year property 7-year property 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2005 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary Listed property 21 Total 22 26,234 Assets for CY 23 Part V Listed Property 19a 19b 19c 19d 19e 19f 19g 19h
298

Tree Fixr Upper, Inc. Form 4562 Test 9
24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41

11-0000009 Depreciation and Amortization
Section A – Depreciation and Other Information

2006

Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Method Write-in / Literal

42 43 44

Amort of costs before 2004 TY Total

299

Tree Fixr Upper, Inc.

11-0000009

Form 5471 Test 9

Information Return of U.S. Persons With Respect to Certain Foreign Corporations

2006

Annual Accounting Period beginning 01/01 , 2006, ending 12/31 , 2006 Part I Reporting Corporation Name and Address: Tree Fixr Upper, Inc., 39 Any Street, Anytown, OK 74002 Line Description Line Amount / Info Write-in / Literal EIN A 11-0000009 Category of filer checkboxes B 4 and 5 checked Total % of frgn corp stock C Filer’s tax year beginning 01/01 , 2006, ending 12/31 , 2006 Name D(1) Address D(2) Identifying Number D(3) Check applicable boxes D(4) Foreign Corporation 54 Any Street Name/address of frgn corp 1a Anytown, CA EIN, if any 1b APPLD FOR Cnty whose laws incorp 1c CA Date of Incorporation 1d 08/16/1978 Principal place of business 1e CA Principal business act code 1f 211110 Landscaping Principal business activity 1g Development Functional currency 1h US U.S. name, address, EIN 2a Taxable income or (loss) 2b(i) 2b(ii) U.S. income tax paid Frgn corp name, address 2c Name, add of person w/ bks 2d Sch A Stock of the Foreign Corporation Desc of each class of stock (a) Common (b)(i) Beg of annual acct period 200 (b)(ii) End of annual acct period 200 Sch B U.S. Shareholders of Foreign Corporation Tree Fixr Upper, Inc. 39 Any Street Anytown , OK 74002 Name, add, EIN of shrholdr (a) 11-0000009 Desc of each class of stock (b) Common Number shares held at beg (c) 200 Number shares held at end (d) 200 Pro rata share of subpart F (e) 1.00000 Sch C Income Statement Functional Currency U.S. Dollars Gross receipt or sales 1a Returns and allowances 1b Subtract line 1b fm line 1a 1c Cost of goods sold 2 Gross profit 3 4 Dividends Interest 5 Gross,rents,royalties,lic fees 6 Net gain or (loss) 7

700

300

Tree Fixr Upper, Inc. Form 5471 Test 9
8 9 10 11 12 13 14 15 16 17 18 19 20 21 1(a) 1(b) 1(c) 1(d) 8(d)

11-0000009 Information Return of U.S. Persons With Respect to Certain Foreign Corporations 2006

Other income Total income Compensation of officers Rents, royalties, license fees Interest Deprec not deduc elsewhere Depletion Taxes Other deductions Total deductions Net income or (loss)
Extraordinary items & pr pd adj

700

900

900 (200)

Provision for incm,war profits
Current year net income (loss)

(200)

1 2a 2b 3 4 5 6 7 8a 8b 9a 9b 10 11a 11b 11c 11d 12 13 14 15 16 17 18a 18b 19 20 21 22

Sch E Income, War Profits, and Excess Profits Taxes Paid or Accrued Country or U.S. possession Amount of tax in frgn currency Amount of tax conver rate Amount of tax in U.S. dollars Total Sch F Balance Sheet (a) Beginning of (b) End of annual annual acct period acct period Cash
Trade notes and accts recvble Less allowances for bad debts

Inventories Other current assets Loan to shareholders Investment in subsidiaries Other investments Bldgs & other deprec assets Less accumulated deprec Depletable assets Less accumulated deprec Land Intangible assets-Goodwill Intangible assets-Org costs Intangible assets-Patents,etc Intangible assets-Less accum Other assets Total assets Accounts payable Other current liabilities Loans fm shareholders Other liabilities Capital stock – Preferred Capital stock – Common Paid-in or capital surplus Retained earnings Less cost of treasury stock Total liabilities & shrhldr equi

31,800 (2,000)

54,800 (4,000)

29,800

50,800

269,000

270,000

800 (240,000) 29,800 Sch G Other Information

800 (220,000) 50,800
301

Tree Fixr Upper, Inc. Form 5471 Test 9
1 2 3 1 2a 2b 2c 2d 2e 2f 2g 2h 3 4 5a 5b 5c 5d 1 2 3 4 5 6 7 8

11-0000009 Information Return of U.S. Persons With Respect to Certain Foreign Corporations
No No No Sch H Current Earnings and Profits

2006

Frgn corp owned > 10% int chckbx Frgn corp owned int in stock
chckbx

Frgn corp owned frgn entities disre Current year net income Net Additions Capital gains or losses
Depreciation and amortization Depletion Investment or incentive allow Charges to statutory reserves Inventory adjustments Taxes Other

(200) Net Subtractions

Total net additions Total net subtraction Current earnings & profits (200) DASTM gain or (loss) Combine lines 5a and 5b (200) Current E&P in U.S. dollars Sch I Summary of Shareholder’s Income Subpart F income (200) Earnings invested in US prop Prev excld subpart F incm Prev excld export trade incm Factoring income Total of lines 1 through 5 200) Dividends received Exchange gain or (loss) Incm of frgn corp blk’d chckbx No Frgn corp incmn unblk’d chckbx No

302

Tree Fixr Upper, Inc. Accumulated Earnings and Profits (E&P) of Controlled Foreign Corporation Name of person filing: Tree Fixr Upper, Inc.
Identifying number: 11-0000009 Name of foreign corporation: Foreign Corporation Line Amount / Line Description Information Bal – Post-1986 1(a) (28,000) Bal – Pre-1987 E&P 1(b) 1(c)(i) Bal-Earnings invested US prop 1(c)(ii) Bal- Earnings invested ex pass 1(c)(iii) Bal – Subpart F income Bal – Total Sec 964 1(d) (28,000) CY E&P – Post-1986 2a(a) CY deficit E&P – Post1986 2b(a) 200 Total current E&P – Post-1986 3(a) (28,200) Total current E&P – Pre-1987 3(b) Sec 951a –Post-1986 4(a) Sec 951a – Pre-1987 4(b) Sec 951a – Earn invested US 4(c)(i) property Sec 951a – Earn invested excess 4(a)(ii) passive assets 4(a)(iii) Sec 951a – Subpart F income Act distributions previously tax – 5a(c) Earn invested US property (i) Act distributions previously tax– Earn invested excess passive 5a(c) (ii) assets Act distributions previously tax – 5a(c) Subpart F income (iii) Act distributions non previously tax 5b(c) – Earn invested US property (i) Act distributions non prev tax– Earn 5b(c) investment excess passive assets (ii) Act distributions non previously tax 5b(c) – Subpart F income (iii) Bal-Earn invested US prop 6a(c) (i) Bal- Earn invested excess passive 6a(c) assets (ii) Bal – Subpart F income 6a(c) (iii) Bal – Post-1986 6b(a) (28,200) Bal – Pre-1987 E&P 6b(b) Bal end of yr – Post-1986 7(a) (28,200) Bal end of yr – Pre-1987 E&P 7(b) 7(c)(i) Bal end of yr -Earn invested US prop 7(c)(ii) Bal end of yr - Earn invested ex pass 7(c)(iii) Bal end of yr – Subpart F income Bal end of yr – Total Sec 964 7(d) (28,200)

11-0000009

Sch J (F5471)

Write-in / Literal / Attachments

303

Tree Fixr Upper, Inc. Schedule M (5471) Test 9 Transactions Between Controlled Foreign Corporation and Shareholders or Other Related Persons

11-0000009 TY 2006

Name of person filing Form 5471: Tree Fixr Upper, Inc. Identifying number: 11-0000009 Name of foreign corporation: Foreign Corporation Relevant functional currency and exchange rate used throughout this schedule: US (a) Transactions of (b) U.S. (c) Any (d) Any (e)10% or foreign corporation person dom corp other more (other filing this or foreign than U.S. return partnership corp person) Sales of stock in trade 1 Sales of prop rights 2 Compensation rec'd 3 Commissions received 4 Rents, royalties, & lic 5 Dividends received 6 Interest received 7 Premiums received 8 Add lines 1 through 8 9 10 Purchases of stock 11 Purch of tangible prop 12 Purch of prop rights 13 Compensation paid 14 Commissions paid 15 Rents, royalties, & lic 16 Dividends paid 17 Interest paid 18 Add lines 10 - 17 19 Amounts borrowed 270,000 20 Amounts loaned

(f) 10% or more corp controlling frgn corp

304

Tree Fixr Upper, Inc.

11-0000009

Form 5472 Test 9

Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business
01/01

2006

Tax year beginning

, 2006, ending 12/31 , 2006 Part I Reporting Corporation Line Description Line Amount / Information Write-in /Literal / Attachments Name and Address: Tree Fixr Upper, Inc., 39 Any Street, Anytown, OK 74002 1a EIN: 11-0000009 1b Total assets 1c 560,500,183 Principal business activity 1d Landscape Development Business activity code 1e Total value of gross payments 1f 6,658,278 Total Forms 5472 1g 1 Total value gross payment all 6,658,278 1h F5472 Consolidated filing 1i Country of Incorporation 1j Country under whose laws 1k reporting corporation files Country where bus conducted 1l Foreign owned 50% 2 Part II 25% Foreign Shareholder Name and Address of direct 25%: 1a U.S. ID number 1b 1c Country business conducted Country of citizenship organiz 1d County laws 25% 1e Name and Address of direct 25%: 2a U.S. ID number 2b 2c Country business conducted Country of citizenship organiz 2d County laws 25% 2e Name and Address of indirect 25%: 3a U.S. ID number 3b 3c Country business conducted Country of citizenship organiz 3d County laws 25% 3e Name and Address of indirect 25%: 4a U.S. ID number 4b 4c Country business conducted Country of citizenship organiz 4d County laws 25% 4e Part III Related Party Foreign person US Person Name and Address: William W. Stain & Assoc., 55 Any Foreign Street, Quebec, CA 1a U.S. ID number 1b 999-06-0012 Landscaping and Principal business activity 1c Development Business activity code 1d 541320 Related to reporting corporation 1e Checked Related to 25% foreign shareholder
305

Tree Fixr Upper, Inc. Form 5472 Test 9 Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business
Line Amount / Information

11-0000009 2006

Line Description 25% foreign shareholder 1f 1g
Country bus conduct

Write-in /Literal / Attachments

1 2 3 4 5 6 7a 7b 8 9 10 11 12 13 14 15 16 17 18a 18b 19 20 21 22

1 2a 2b 2c

CA Country whose laws rel corp files US Part IV Monetary Transactions Between Reporting Corporations Estimates used checkbox Sales of stock 8,090 Sales of tangible property Rents & Royalties Sales, leases,etc Technical, mgnrl Commission rcvd Amts borr beg bal Amts borr end bal Interest received Premiums rcvd Other amnts rcvd Total 8,090 Prchs of stock Prchs of tan prop Rents, royal paid 6,650,188 Prchs, leases, etc Technical, mgnrl Commission paid Amts loan beg bal Amts loan end bal Interest paid Premiums paid Other amnts paid Total 6,650,188 Part V Nonmonetary and Less-Than Full Consideration Transactions Describe trans- actions checkbox Part VI Additional Information Corp import goods No Basis valued grtr Attach statement Documents used

306

Tree Fixr Upper, Inc.

11-0000009

Form 8916-A Test 9 File in PDF format until schema is published
Name of common parent

Reconciliation of Cost of Goods Sold Reported on Schedule M-3 Attach to Schedule M-3 for Form 1065, 1120, or 1120S.
11 0000009

2006

Employer Identification Number Employer Identification Number

Tree Fixr Uppr, Inc.
Name of subsidiary

Line Description
Cost of Goods Sold Items Amts attribut cost flow assumpt Amts attribut sec. 263A costs Stock option expense Other equity based compensation

Line Amount / Info
(a) Income (Loss) per Income Statement (b) (c) Temporary Permanent Difference Difference

Write-in / Literal
(d) Income (Loss) per Tax Return

Write-in/ Literal

1 2 2a 2b 2c 2d 2e 2f 2g 2h 2i 2j 2k 2l 2m 2n 3 4 5 6 7

(260,789,322)

(260,789,322)

Meals and entertainment Parachute payments
Compensation with section 162(m) limitations Pension and profit sharing Other post-retirement benefits Deferred compensation Section 198 environmental remediation costs Amortization Depletion Depreciation Corporate owned life insurance premiums Other section 263A costs Inventory shrinkage accruals Excess inventory and obsolescence reserves Lower of cost or market writedowns Inventory shrinkage accruals Other items with no differences Total cost of goods sold. Add lines 1 - 7. Enter total on Schedule M-3 (Form 1065), Part II, line 15; Schedule M-3 (Form 1120), Part II, line 17; or Schedule M-3 (Form 1120S), Part II, line 15.

(21,000)

(21,000)

(13,964)

(13,964)

(1,599,276,464)

(1,599,276,464)

8

(1,860,100,750)

(1,860,100,750)

307

Tree Fixr Upper, Inc.

11-0000009

Sch K-1 (Form 1120S) Test 9

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning January 1, 2006 ending December 31, 2006 Final K-1 Amended K Part I Information About the Corporation A Corporation's employer identification number B Corporation's name, address, city, state, and Zip code C IRS Center where corporation filed return D Tax shelter registration number, if any E Check if Form 8271 is attached Part II Information About the Shareholder F Shareholder's Identification number G Shareholder's name, address, city, state and ZIP code H

11-0000009 Tree Fixr Upper, Inc. 39 Any Street Anytown, OK 74002 OSPC

ROSE Shareholder's percentage of stock ownership for tax year 100.000 Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Line Description Line Amount / Write-in / Literal / Information Attachments 1 Ordinary business income (loss) (17,490,947) 2 Net rental real estate income (loss) 3 Other net rental income (loss) 4 Interest income 2,500,000 5a Ordinary dividends 2,480,000 5b Qualified dividends 2,480,000 6 Royalties 7 Net short-term capital gain (loss) 8a Net long-term capital gain (loss) 8b Collectibles (28%) gain (loss) 8c Un-recaptured section 1250 gain 9 Net section 1231 gain (loss) 10 Other income (loss) 11 Section 179 deduction 12 Other deductions A 500,000 R 320,210 G 340 13 Credits & credit recapture 14 Foreign transactions 15 Alternative minimum tax (AMT) items A 168,150 B (165,700) 16 Items affecting shareholder basis C 491,410 17 Other Information A 4,980,000

999-06-0014 Rose B. Trim 57 Any Street, Anytown, PA 17201

308

Pack For You Incorporated

11-0000010

TEST SCENARIO 10 FORMS REQUIRED: 1120S, Sch M-3 (1120S), 4562, 4797, 8865, Sch O (8865), Sch K-1 (8865), Sch K1, 8916-A (Attach in PDF until schema is published) ATTACHMENTS: ItemizedOtherIncomeSchedule2 ItemizedOtherDeductionSchedule2 ItemizedOtherCostsSchedule CharitableContributionsSchedule ItemizedOtherDeductionsSchedule3 ItemizedOtherCurrentAssetsSchedule(2) ItemizedOtherInvestmentsSchedule ItemizedOtherAssetsSchedule(2) ItemizedOtherCurrentLiabilitiesSchedule(2) ItemizedOtherLiabilitiesSchedule(2) PartnershipInterestSchedule(2) OtherExpenseDeductionItemsWithDifferencesSchedule ItemizedOtherIncomeLossSchedule ItemizedOtherIncreasesSchedule2 BINARY ATTACHMENTS: None NO ENTRY FIELDS: HEADER INFO: Tax Period: Preparer Firm Fiscal Year Filer 04/01/06 – 03/31/07 Electronic Tax Filers, Inc.11-0000011 100 Efile Drive Anytown, TX 78621

MultipleSoftwarePackagesUsed: Yes or No Originator: EFIN: Self-select Type: ERO Practioner PIN: EFIN: Self-select PIN: Self-select PIN Entered by – ERO PIN Number 1120S EIN: 11-0000010 Name: Pack For You Incorporated Name Control: PACK Address: 40 Any Street Anytown, IA 52544 Name: Hans Dolly Title: Chief Executive Officer

Signature Option: Return Type: Filer:

Officer:

Taxpayer PIN: Self-Select
Phone: 301-555-1212 Email Address: N/A
309

Pack For You Incorporated
DateSigned: 01/25/07 Preparer: Name: Johnny Appleseed SSN: 999-06-0007, 11-0000011 Phone: 512-555-1212 Email Address: N/A Date Prepared: 01/20/07 Self Employed: Yes

11-0000010

IRS PAYMENT:N/A

Details for attachments to Forms 1120S, 8865 Attachment 1, Form 1120S, Page 1, Line 5:Other Income (ItemizedOtherIncomeSchedule2) Miscellaneous Income Total 84,820,790 84,820,790

Attachment 2, Form 1120S, Page 1, Line 19: Other Deductions (ItemizedOtherDeductionSchedule2) Dues and Subscriptions Communications Employment Expenses Utilities & Telephone Travel Professional Expenses Workers Compensation Supplies Postage Transportation Miscellaneous 13,932,765 4,925,702 1,763,530 932,765 16,625,923 11,376,350 5,858,746 6,914,685 212,652 21,327,085 13,130,827 97,001,030

Total (element not in schema do not need to input ... info purposes only)

Attachment 3, Form 1120S, Page 2, Sch A, Line 5: Other Costs (ItemizedOtherCostsSchedule) Depreciation Allocation of Cost of Goods Sold Cost of Service 97,613,964 270,480 132,770,633 230,655,077

Total (element not in schema do not need to input ... info purposes only)

Attachment 4, Form 1120S, Page 2, Sch K, Line 12a: Contributions (CharibableContributionsSchedule) Name: Pack For You Incorporated Description: The category is Cash Contribution (50%) /SWD choice Amount: Attachment 5, Form 1120S, Page 3, Sch K, Line 12d(1-4): Other Deductions (ItemizedOtherDeductionsSchedule3) Trade/Business Activity: 484110 Description: Ded. frm ABC LLC
310

150,260

Pack For You Incorporated
Amount: 9,099,724 Code: R Attachment 6, Form 1120S, Page 3, Sch L, Line 6 (b/d): Other current assets (ItemizedOtherCurrentAssetsSchedule) Beginning Ending 164,993,893 Pre-paid & Deposits 582,977,903 Total 582,977,903

11-0000010

164,993,893

Attachment 7, Form 1120S, Page 4, Sch L, Line 9 (b/d): Other Investments (ItemizedOtherInvestmentsSchedule) Beginning Ending EFILE LLC 149,749,547 37,937,837 1120 INC 198,654,945 78,440,109 43,689,054 1120S FILE LLC 91,588,407 Total 439,992,899 160,067,000

Attachment 8, Form 1120S, Page 4, Sch L, Line 14 (b/d): Other Assets (ItemizedOtherAssetsSchedule) Beginning Ending Mortgages and Notes Receivable 79,840,873 11,630,971 Capital Leases 3,841,803 16,100,999 Prepaid Commissions 80,500,600 Total (element not in schema do not need to input ... info purposes only) 164,183,276 27,731,970

Attachment 9, Form 1120S, Page 4, Sch L, Line 18(b/d): Other Current Liabilities (ItemizedOtherCurrentLiabilitiesSchedule) Beginning Ending 932,691,230 Accrued Expenses 1,360,057,720 Total (element not in schema do not need to input ... info purposes only)1,360,057,720 932,691,230

Attachment 10, Form 1120S, Page 4, Sch L, Line 21: Other Liabilities (ItemizedOtherLiabilitiesSchedule) Beginning Ending 77,986,049 Deferred Compensation 357,533,671 Total 357,533,671 77,986,049

Attachment 11, Page 5, Schedule M-3, Part II, Line 7: Income (Loss) from U.S. Partnerships (PartnershipInterestSchedule(1)) Name EIN EoY Profit Sharing % 60% EoY Loss Sharing % 60% Columns b c 0

a (12,495,003)

d

ABC LLC 99-9060012

3,395,279 (9,099,724)

Attachment 12, Page 5, Schedule M-3, Part II, Line 8: Income (Loss) from Foreign (PartnershipInterestSchedule (2)) Name EIN EoY Profit EoY Loss Columns
311

Pack For You Incorporated
Sharing % Sharing % a b c

11-0000010
d

0 4,584,550 (12,287,100) Hank R Truck 99-9060013 100% 100% (16,871,650 Attachment 13, Page 7, Sch M- 3, Part III, Line 29:Other expense/deduction items with differences (OtherExpenseDeductionItemsWithDifferencesSchedule) Description Translation Adjustment Column a 2,647,716 Column b 0 Column c (2,647,716) Column d 0

Attachment 14, Page 12, Form 8865, Sch B, Line 7: Itemized Other Income Loss Schedule (ItemizedOtherIncomeLossSchedule) Interest Income Total 12,900 12,900

Attachment 15, Form 8865, Page 14, Sch L, Line 6(b):Other current assets (ItemizedOtherCurrentAssetsSchedule) Beginning Ending Pre-paid & Deposits 1,083,000 Total 1,083,000

Attachment 16, Form 8865, Page 14, Sch L, Line 13(b) & (d): Other Assets (ItemizedOtherAssetsSchedule) Beginning Ending 3,868,628 Prepaid Commissions 2,262,195 Total 2,262,195 3,868,628

Attachment 17, Form 8865, Page 14, Sch L, Line 17(b) & (d): Other Current Liabilities (ItemizedOtherCurrentLiabilitiesSchedule) Beginning Ending 3,892,000 Accrued Expenses 3,704,000 Total 3,704,000 3,892,000

Attachment 18, Form 8865, Page 14, Sch L, Line 20(b) & (d): Other Liabilities (ItemizedOtherLiabilitiesSchedule) Beginning Ending Loans From Pack & Move Inc. 10,642,318 4,878,682 Deferred Compensation 5,610,000 Total 5,610,000 15,521,000

Attachment 19, Form 8865, Page 15, Sch M-2, Line 4: Other Increases (ItemizedOtherIncreasesSchedule2) Translation Adjustment Total 1,612,000 1,612,000

312

Pack For You Incorporated

11-0000010

Form 1120S Test 10

U.S. Income Tax Return for an S Corporation

2006

Calendar Year 2005 or tax year beginning April 1 , 2006, ending March 31 , 2007 Effective date of S Election A 05/29/1992 Business code B 488990 Name and Address: Pack For You, 40 Any Street, Anytown, IA 52544 EIN C 11-0000010 Date of incorporated D 02/12/1989 Total assets E 930,600,500 Check applicable boxes F Number of Shareholders G 1 Required Sched M-3 attached H Checked Line Description Line Amount / Info Write-in Literal/Attachments Gross Receipts or sales 1a 710,300,800 Less returns and allowances 1b 20,100,300 Balance 1c 690,200,500 Cost of goods sold (Sch A, line 8) 2 483,305,500 Gross profit. Subtract line 2 from line 1c 3 206,895,000 Net gain (loss) 4 (2,000) Other Income (loss) 5 84,820,790 Attachment 1 Total income (loss). Add lines 3 through 5 6 291,713,790 Compensation of officers 7 2,970,600 Salaries/wages (less employment credits) 8 24,250,860 Repairs and maintenance 9 24,696 Bad debts 10 12,652 Rents 11 1,050,744 Taxes and licenses 12 7,742,830 Interest 13 87,656,234 Subtract line 14b from 14a 14c 11,132,439 Depletion (Do not deduct oil/gas depletion) 15 2,461,590 Advertising 16 8,007,828 Pension, profit-sharing, etc., plans 17 7,989,977 Employee benefit programs 18 6,002,121 Other deductions (attach schedule) 19 97,001,030 Attachment 2 Total deductions ( add amounts shown far 20 right for lines 7 through 19 256,303,601 Ordinary business income (loss) Subtract 21 line 20 from line 6 35,410,189 Tax: Excess net passive income tax 22a Tax from Schedule D 22b Add lines 22a and 22b 22c Payments: 23a Tax deposit with Form 7004 23b Credit for Federal tax paid on fuels 23c Add lines 23a through 23c 23d Add lines 23a through 23d 23e Estimated tax penalty 24 Tax Due. 25 Overpayment 26 Credit elected to 2007 Refund 27 Line Description Line Amount / Info Write-in Literal/Attachments May IRS discuss this return? Yes Preparer's SSN or PTIN: 999-06-0007 Preparer Firm's name/address: Electronic Tax
313

Pack For You Incorporated Form 1120S Test 10 U.S. Income Tax Return for an S Corporation
Filers, Inc 100 Efile Drive, Anytown, TX 78621 11-0000011 512-555-1212 Cost of Goods Sold 42,121,005 220,583,445 50,950,284

11-0000010 2006

Preparer's EIN: Preparer's Phone no.: 1 2 3 4 5 6 7 8 9a (i) 9a (ii) 9a (iii) 9b 9c 9d 9e 9f

1(a) 1(b) 1(c) 2(a) 2(b) 3 4 5 6 7 8 9 1 2 3a 3b 3c 4 5a 5b 6 7 8a 8b 8c 9 10 11 12a

Schedule A Inventory at beginning of year Purchases Cost of labor Additional section 263A cost Other costs 230,655,077 Attachment 3 Total 544,309,811 Inventory at the end of year 61,004,311 Cost of goods sold 483,305,500 Cost as described in Reg. Sec. 1.471-3 Checked Lower of cost or market Other Write-down of sub goods LIFO adopted this TY % LIFO closing inventory Rules of Sec 263A apply? No Change in determining quantities, cost, valuations? No Schedule B Other Information Cash Accrual Checked Other Business Activity Transportation Product or Service Moving Service Corp own 50% or more? No Member of controlled group No Required to file F8264 Issued publicly offered debt instruments C corporation before elected Accumulated earnings/profits close of yr Total receipts less than $250,000? No Schedule K Shareholders’ Shares of Income, Deductions, Credits, etc. Ordinary business income (loss) 35,410,189 Net rental real estate income (loss) Other gross rental income (loss) Expenses from other rental activities Other net rental income (loss) Interest income 319,441 Ordinary dividends Qualified dividends Royalties Net short-term capital gain (loss) Net long-term capital gain (loss) Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain (loss) Other income (loss) Section 179 deduction Contributions 150,260 Attachment 4
314

Pack For You Incorporated Form 1120S Test 10
12b 12c(1) 12c(2) 12d(1) 12d(2) 12d(3) 12d(4) 13a 13b 13c 13d 13e 13f 13g 14a 14b 14c 14d 14e 14f 14g 14h 14i 14j 14k 14l 14m 14n 15a 15c 15d 15e 15f 16a 16b 16c 16d 16e 17a 17b 17c 17d 18

11-0000010 2006

U.S. Income Tax Return for an S Corporation

1 2a 2b

Investment interest expense Section 59(e)(2) expenses – Type Section 59(e)(2) expenses – Amount Other deductions Trade/Business Activity 484110 Other deductions Description Deductions from ABC LLC Other deductions -Amount 9,099,724 Other deductions - Code R Attachment 5 Low-income housing credit {sec 42(j)(5)} Low-income housing credit (other) Qualified rehabilitation expenses Other rental real estate credits Other rental credits Credit for alcohol used as fuel Other credits and credit recapture Name of country or U.S. possession Gross income from all sources Gross income at shareholder level Passive Listed categories General limitation Interest expense Other Passive Listed categories General limitation Foreign taxes paid Paid Accrued Reduction in taxes available for credit Other Foreign tax Information Post-1986 depreciation adjustment Depletion Oil, gas, and geothermal properties-gross income Oil, gas, and geothermal propertiesdeductions Other AMT items Tax-exempt interest income Other tax-exempt interest income Nondeductible expenses Property distributions Repayment of loans from shareholders Investment income 319,441 Investment expenses Dividend distributions paid from accum E&P Other items and amounts Income/loss reconciliation 26,479,646 Schedule L Balance Sheets per Books Beginning of tax year End of tax year Write-in / Literal (a) (b) (c) Cash 5,480,500 5,921,010 Trade notes 71,930,887 41,002,012 Less allowance 872,090 71,058,797 993,893 40,008,119
315

Pack For You Incorporated Form 1120S Test 10
3 4 5 6 7 8

11-0000010 2006

U.S. Income Tax Return for an S Corporation

Inventories 42,121,005 61,004,311 U.S. govt oblig Tax-exmpt sec. Othr curr assets 582,977,903 164,993,893 Attachment 6 Loans to sharhldrs Mortgage & real estate loan Othr invest 9 439,992,899 160,067,000 Attachment 7 Bldgs & othr 10a deprec assets 528,834,349 334,387,346 Less accum 10b deprec 82,253,997 252,133,349 108,128,046 420,706,303 Depletable 11a assets Less accum 11b depeltn Land 12 50,619,988 50,167,894 Intang assets 13a Less accum 13b amortiz Other assets 14 164,183,276 27,731,970 Attachment 8 Total assets 15 1,608,567,717 930,600,500 Accts payable 16 54,918,743 68,013,537 Mortgages, 17 notes, bonds payable < 1yr Othr curr 18 1,360,057,720 932,691,230 Attachment 9 liabililties Loans frm 19 sharhldrs Mortgages, 20 notes, bonds payable > 1yr Other liabilities 21 357,533,671 77,986,049 Attachment 10 Capital stock 22 404,000 404,000 Additional paid – 23 2,123,100 2,123,100 in capital Retained 24 (166,469,517) (150,617,416) earnings Adj to sharhldrs 25 equity Less cost of 26 treasury stock Total liabilities & 27 sharhldrs equity 930,600,500 1,608,567,717 Schedule M-1 Reconciliation of Income (Loss) per Books With Income (Loss) per Return Net Income 1 Income included on Sch K 2 Expenses recorded on books 3 Depreciation 3a Travel & entertainment 3b Add lines 1 – 3 4 Income recorded on books 5 Tax-exempt interest 5a Deductions included on Sch K 6
316

Pack For You Incorporated Form 1120S Test 10
6a 7 8

11-0000010 2006

U.S. Income Tax Return for an S Corporation

1 2 3 4 5 6 7 8

Depreciation Add lines 5 & 6 Income (loss)(Sch K-1) Schedule M-2 Analysis of Accumulated Adjustments Account, Other Adjustments Account (a) (b) Other (c)Shareholder Write-in / Accumulated adjustments undistributed Literal / adjustments account taxable income Attachments account Bal begin of tax year (156,210,894) Ordinary income 35,410,189 Other additions 319,441 Loss from Pg 1, Line 21 Other reductions (9,249,984) Combine lines 1 – 5 (129,731,248) Distributions other than dividends distributions Bal end of tax year (129,731,248)

317

Pack For You Incorporated

11-0000010

Form Schedule M-3 (1120S) Net Income (Loss) Reconciliation for Corporations 2006 Test 10 With Total Assets of $10 Million or More Name: Pack For You, 40 Any Street, Anytown, IA 52544 EIN: 11-0000010 Part I Financial Information and Net Income (Loss) Reconciliation Line Description Line Amount / Write-in / Literal Information Prepare certified audited income stmt? 1a Yes Prepare income stmt? 1b Income statement period 2 04/01/07 03/31/08 Income statement re-stated? 3a No Income stmt restated for 5 prds? 3b No Worldwide consol net income 4 15,852,101 Net income non-includble forgn 5a Net loss non-includble forgn 5b Net income non-includble US 6a Net loss frm non-includble US 6b Net income frm non-includble Othr 7a Net loss non-includble Othr 7b Adj to eliminations of transact 8 Adj to reconcile incm stmt 9 Othr adj to reconcile 10 Net income (loss) per stmt 11 15,852,101 Part II Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return (a) Income (loss) per Income Stmt 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Incom/(loss) frm equ method foreign Gross foreign div Subpart F,QEF Gross forgn dist Incom/(loss) frm equ method US US div not elimin Incom/(loss) US Prtnshp Incom/(loss) foreign Prtnrshp Incm (loss) other pass-thru entity Reprtble trans. items Interest income Total accrual cash adj Hedging transaction Mark-Market income Cost of goods sold Sale vs lease Sec 481(a) adjust Unearned/ defrrd (b) Temporar y Difference (d) Income (loss) per Tax Return

(c) Permanent Difference

Write-in / Literal

(12,495,003)
(16,871,650)

0 0

3,395,279 4,584,550

(9,099,724) Attachment 11 (12,287,100) Attachment 12

319,441

319,441

(483,305,500)

(483,305,500)

318

Pack For You Incorporated
Form Schedule M-3 (1120S) Test 10 revenue Income recogn 19 20 Org issue disc 21a 21b 21c 21d 21e 21f 21g 22 23 24
Income stmt gain/ loss on sale Gross cap gain Gross cap loss Net gain/loss Abandonment Worthless stck Other gain/loss Other incm (loss) Tot incm (loss) Tot expns/ded Othr incm (loss) w/ no difference Reconcil

11-0000010
Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More 2006

(2,000)

(2,000)

(2,000)

(2,000)

(512,354,712) (113,590,868)

7,979,829 2,647,716

(504,374,883) (110,943,152)

25 26 Part III

641,797,681 641,797,681 15,852,101 10,627,545 26,479,676 Reconciliation of Net Income (Loss) per Income Statement of Includible Corporations With Taxable Income per Return – Expense/Deduction Items (a) (d) (b) (c Income (loss) Income per Income Temp Perm (loss) per Write-in / Difference Difference Stmt Tax Return Literal

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19

US curr incm tax expense US defer incmn tax expns State local curr incm tax expns State local defer incm tax expns Forgn curr incm tax expense Forgn deferred incm tax expns Equity-based compensation Meals Entrtmnt Fines penalties Judgements Pension profit-sh Othr post retrmnt Deferred comp Charitable contribution cash/tangibles Charitable contribution intangible prop CY acquis or reorg investmt banking fees CY acquist/reorg legal/acct fees CY acquis other costs Amort of gdwill

7,989,977 1,540,000 150,260

7,989,977 1,540,000 150,260

319

Pack For You Incorporated
Form Schedule M-3 (1120S) Test 10 20 Amort of acquis 21 Other amortizat 22 Sec 198 environ 23a Depletion Oil/Gas 23b 24 25 26 27 28 29 30
Depletion Othr Oil & Gas Depreciation Bad debt expns Interest Expense Corp-own life ins Purch vs lease Other expns/ded Total expense/ deduction items

11-0000010
Net Income (Loss) Reconciliation for Corporations With Total Assets of $10 Million or More 2006

2,461,590 11,132,439 12,652 87,656,234

2,461,590 11,132,439 12,652 87,656,234

2,647,716 113,590,868

0

(2,647,716) (2,647,716)

0 110,943,152

Attachment 13

320

Pack For You Incorporated

11-0000010

Form 4562 Test 10

Depreciation and Amortization

2006

Name: Pack For You Incorporated Business or Activity: Moving Service EIN: 11-0000010 Line Description Line Amount Write-in / Literal / Attachments Part I Election to Expense Certain Property Under Section 179 Maximum amount 108,000 1 Total cost of section 179 prop 2 Threshold cost of section 179 prop 430,000 3 Reduction in limitation 4 Dollar limitation for TY 5 Description of Property 6(a) Cost 6(b) Elected cost 6(c) Listed property 7 Total elected cost of sec 179 prop 8 Tentative deduction 9 Carryover of disallowed deduction 10 Business income limitation 11 Section 179 expense deduction 12 Carryover of disallowed deduction 13 Part II Special Depreciation Allowance and Other Depreciation Special depreciation allowed 14 83,850,681 Property subject to sec 168(f)(1) 15 election Other depreciation 16 Part III MACRS Depreciation 17 MACRS deductions 2,519,840 Sec 168(i)(4) election 18 Section B – Assets Placed in Service During 2005 Tax Year Using the General Depreciation System
(a) Classification of property (b) Month & Year (c) Basis for deprec (d) Recovery period (e) Convention (f) Method (g) Deprc deduct Write-in / Literal

3-year property 5-year property 100,300,147 5 HY 200DB 20,060,029 7-year property 16,206,109 7 HY 200DB 2,315,853 10-year property 15-year property 20-year property 25-year property Residential rental property Nonresidential 19i real property Section C – Assets Placed in Service During 2005 Tax Year Using the Alternative Depreciation System Class life 20a 12-year 20b 40-year 20c Part IV Summary Listed property 21 Total 22 108,746,403 Assets for CY 23 Part V Listed Property 19a 19b 19c 19d 19e 19f 19g 19h
321

Pack For You Incorporated Form 4562 Test 10
24a 24b 25 26(a) 26(b) 26(c) 26(d) 26(e) 26(f) 26(g) 26(h) 26(i) 27(a) 27(b) 27(c) 27(d) 27(e) 27(f) 27(g) 27(h) 27(i) 28 29 30(a) 31(a) 32(a) 33(a) 34 35 36 37 38 39 40 41

11-0000010 Depreciation and Amortization 2006

Section A – Depreciation and Other Information Evidence? Evidence written? Special depreciation allowance Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Type of property Date in service Business investment % Cost or other basis Basis for depreciation Recovery period Method/Convention Depreciation deduction Election Sec 179 cost Add column (h), lines 25 - 27 Add column (i), line 26 Section B – Information on Use of Vehicles Total bus/invest miles driven Total commuting miles driven Tot other personal miles driven Total miles driven Vehicle available for personal use? Vehicle used > 5% ? Another vehicle avail for personal use? Section C – Questions for Employers Who Provide Vehicles for Use by Their Employees Maint written policy prohibits commu? Maint written policy prohibits pers use Vehicles treated as personal use? Provide > 5 vehicle? Qualified auto demonstration use? Part VI Amortization
(a) Depreciation of costs (b) Date amort begins (c) Amort amount (d) Code section (e) Amort period or percent (f) Amort for this Yr Write-in / Literal

42 43 44

Amort of costs during 2004 TY Amort of costs before 2004 TY Total

322

Pack For You Incorporated

11-0000010

Form 4797 Test 10

Sales of Business Property

2006

Name: Pack For You Incorporated EIN: 11-0000010 Line Description Line Amount Write-in / Literal / Attachments Gross receipts fm sales or exchg 1 Part I Sales or Exchanges of Property Used in a Trade or Business Description of property 2(a) Date acquired 2(b) Date sold 2(c) Gross sales price 2(d) Depreciation allowed 2(e) Cost or other basis 2(f) Gain or (loss) 2(g) Gain fm F4684 3 Sec 1231 gain fm F6252 4 Sec 1231 gain fm F8824 5 Gain fm casualty or theft 6 Combine lines 2 to 6 7 Nonrecaptured net sec 1231 loss 8 Subtract line 8 from line 7 9 Part II Ordinary Gains and Losses 10(a) Description of property HP Color Printer 10(b) Date acquired 04/01/06 10(c) Date sold 01/30/07 10(d) Gross sales price 13,000 10(e) Depreciation allowed 1,000 Cost or other basis 10(f) 16,000 10(g) Gain or loss (2,000) Loss fm line 7 11 Gain fm line 7 12 Gain fm line 31 13 Net gain F4684 14 Ordinary gain F6252 15 Ordinary gain F8824 16 Combine lines 10 to16 17 (2,000) Part of loss F4684 18a Re-determined gain/(loss) line 17 18b Part III Gain for Disposition of Property Under Sections 1245, 1250, 1252, 1254 and 1255 19(a) Description of property 19(b) Date acquired 19(c) Date sold Gross sales price 20 Cost or other basis 21 Depreciation allowed 22 Adjusted basis 23 Total gain 24 Depreciation allowed 25a Smaller of lines 24 and 25a 25b Additional depreciation after 1975 26a Applicable % 26b Subtract line 26a from line 24 26c Additional depreciation after 1969 26d Smaller of lines 26c and 26c 26e Sec 291 amount 26f
323

Pack For You Incorporated Form 4797 Test 10
26g 27a 27b 27c 28a 28b 29a 29b 30 31 32 33(a) 33(b) 34(a) 34(b) 35(a) 35(b)

11-0000010 Sales of Business Property 2006

Add lines 26b,26e and 26f Soil, water, land Line 27 multiplied by applicable % Smaller of lines 24 and 27b Intangible drilling Smaller of lines 24 and 28a Applicable % of payment excluded Smaller of lines 24 and 29a Total gain all property Add property columns A – D Subtract line 31 from line 30 Part IV Recapture Amounts Under Sections 179 and 280F(b)(2) Sec 179 expn ded – Sec 179 Sec 179 expn ded – Sec 280F(b) Recomputed deprc – Sec 179 Recomputed deprc- Sec280F(b) Recapture amount – Sec 179 Recapture amount – Sec 280F(b)

324

Pack For You Incorporated

11-0000010

Form 8865 Test 10

Return of U.S. Persons with Respect to Certain Foreign Partnerships

2006

Tax year beginning 04/01 , 2006, ending 03/31 , 2007 Name: Pack For You Incorporated EIN: 11-0000010 Address: Line Description Line Amount / Information A B C C C D E(1) E(2) E(3) E(4) Category of filer Filer’s TY beginning and ending Filer’s share of liabilities – Nonrecourse
Filer’s share of liabilities – Qualified non-recourse

Write-in / Literal / Attachments

04/01/2006

1 is checked 03/31/2007

4,800,000

Filer’s share of liabilities - Other Name, Address, EIN Name Address Identifying number Check applicable box

Name and address of foreign partnership EIN if any Country under laws organized Date of organization 08/30/1966 Principal place of business JA Principal business activity code 488990 Principal business activity Freight Company Functional currency Japanese Yen Exchange rate .7990 Name, Address, EIN Foreign partnership must file Name, address of foreign agent Name, address of person w/ G4 custody of books and location Special allocation made G5 No is checked Number of F8858 G6 1 How is partnership classified G7 Partnership Owned separate units G8 No is checked Meet both requirements G9 No is checked Preparer's SSN or PTIN: 999-06-007 Preparer Firm's name/address: Electronic Tax Filers, Inc Preparer's EIN: 11-0000011 Preparer's Phone no.: 512-555-1212 Schedule A Constructive Ownership of Partnership Interest Check boxes that apply ( a, b) Checkbox “a” is checked Name Address Identifying number Foreign person Direct partner Schedule A-1 Certain Partners of Foreign Partnership F1 F2 F3 F4 F5 F6 F7 F8a F8b G1 G2 G3
325

Ralph R. Lift 56 Any Street, Anytown, VA 22195 999-06-0013 Category 1 is checked Hank R. Truck 1 Foreign Plaza AnyProvince, Japan

Pack For You Incorporated Form 8865 Test 10 Return of U.S. Persons with Respect to Certain Foreign Partnerships

11-0000010 2006

1a 1b 1c 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16a 16b 16c 17 18 19 20 21 22

1(a) 1(b) 1(c) 1(d) 1(e) 1(f) 2 3 4 5 6(a)

Name Address Identifying number Foreign person No is checked Any Other Foreign person as a direct partner Schedule A-2 Affiliation Schedule Name Address EIN Total ordinary income Foreign partnership Schedule B Gross receipts 1,700,722 Less return and allowances Net gross receipts or sales 1,700,722 Cost of good sold Gross profit 1,700,722 Ordinary income Net farm profit Net gain (loss) Other income 12,900 Attachment 14 Total income 1,713,622 Salaries and wages Guaranteed payments to prtnrs Repairs and maintenance 14,013,622 Bad debts Rent Taxes and licenses Interest Depreciation Less depreciation Net depreciation Depletion Retirement plans Employee benefits programs Other deductions Total deductions 14,013,622 Ordinary business income (12,300,000) Schedule D Capital Gains and Losses Part I Short-Term Capital Gains and Lasses - Assets Held One Year or Less Description of property Date acquired Date sold Sales price Cost or other basis Gain or loss Short-term capital gain fm F6252 Short-term capital gain fm F8824 Prntshp share of short-term gain
Net short-term gain

Part II Long-Term Capital Gains and Lasses - Assets Held More Than One Year Description of property
326

Pack For You Incorporated Form 8865 Test 10
6(b) 6(c) 6(d) 6(e) 6(f) 7 8 9 10 11

11-0000010 2006

Return of U.S. Persons with Respect to Certain Foreign Partnerships

Date acquired Date sold Sales price Cost or other basis Gain or loss Long-term capital gain fm F6252 Long-term capital gain fm F8824 Prntshp share of long-term gain Capital gain distribution
Net long-term gain

1 2 3a 3b 3c 4 5 6a 6b 7 8 9a 9b 9c 10 11 12 13a 13b 13c1 13c2 13d 14a 14b 14c 15a 15b 15c 15d 15e 15f 16a 16b 16c 16d 16e 16f 16g 16h 16i 16j

Schedule K Partners Distributive Share Items Line Description Line Amount / Information Ordinary business income (loss) (12,300,000) Net rental real estate income Other gross rental income (loss) Expenses fm other rent activities Other net rental income (loss) Guaranteed payments Interest income 12,900 Ordinary dividends Qualified dividends Royalties Net short-term capital gain Net long-term capital gain Collectibles Un-recaptured section 1250 gain Net section 1231 gain Other income Sec 179 deduction Contributions Investment income exp Sec 59(e) type Sec 59(e) amount Other deductibles Net earnings Gross farm income Gross non farm income Low-income housing credit Low-income other Qualified rehab expenditures Other rental real estate credit Other rental credits Other credits and recapture Name of country Gross income all sources Gross income sources Passive Listed categories General limitation Interest expense Other Passive Listed categories

Write-in / Literal

327

Pack For You Incorporated Form 8865 Test 10
16k 16l 16m 16n 17a 17b 17c 17d 17e 17f 18a 18b 18c 19a 19b 20a 20b 20c

11-0000010 2006

Return of U.S. Persons with Respect to Certain Foreign Partnerships

1 2a 2b 3 4 5 6 7 8 9a 9b 10a 10b 11 12a 12b 13 14 15 16 17 18 19 20 21 22

General limitation Total foreign tax Reduction in taxes Other foreign tax Post-1986 depreciation Adjusted gain/loss Depletion Oil, gas and geothermal - gross Oil, gas and geothermal - ded Other AMT items Tax-exempt income Other tax-exempt income Nondeductible expense Distribution of cash Distribution of other property Investment income 12,900 Investment expenses Other items and amounts Schedule L Balance Sheets per Books (Not required if Q G9, page 1, is answered "Yes.") Beginning of tax End of tax year Write-in / year Literal (a) (b) (c) (d) Cash 2,419,805 5,781,372 Trade notes 14,000 Less allowance 14,000
Inventories U.S. govt oblig Tax-exempt securities Other current assts Mortgage & real estate loan Other investments Bldgs/othr deprec assts Less accumlatd deprec Depletable assts Less accumlatd dpleton

1,083,000

Attachment 15

Land Intangible assets Less accum amortiz Other assets Total assets Accounts payable Mortgages, notes, bonds payable < 1yr Other current liabilities All non-recourse loans Mortgages, notes, bonds payable > 1yr Other liabilities Partner Capital stock Total liability/cap

2,262,195 5,765,000

3,868,628 9,664,000

Attachment 16

3,704,000

3,892,000

Attachment 17

5,610,000 (3,549,000) 5,765,000

15,521,000 (9,749,000) 9,664,000

Attachment 18

328

Pack For You Incorporated Form 8865 Test 10 Return of U.S. Persons with Respect to Certain Foreign Partnerships
Schedule M

11-0000010 2006

Balance Sheets for Interest Allocation (a) (b) Begin of Tax Year End of Tax Year

Write-in / Literal Attachments

1 2 2a 2b 2c 1 2 3 4 4a 4b 5 6 6a 7 7a 8 9 1 2a 2b 3 4 5 6a 6b 7 8 9

Total U.S. assets 1,608,567,717 930,600,500 Total foreign assets Passive income category Listed categories Gen limitation income category 5,765,000 99,664,000 Schedule M-1 Reconciliation of Income (Loss) per Books With Income (Loss) per Return Net Income (7,812,000) Income included on Sch K Guaranteed payments Expenses recorded on books Depreciation Travel & entertainment Add lines 1 through 4 Income recorded on books Tax-exempt interest Deductions included on Sch K Depreciation Add lines 6 & 7 Income/ (loss) Subtract line 8 - 5 (7,812,000) Schedule M-2 Analysis of Partners Capital Accounts Balance at beg of year (3,549,000) Capital contrib. – Cash Capital contrib. – Prop Net Income (loss) per book Other increases – itemized 1,612,000 Attachment 19 Add lines 1 through 4 (1,937,000) Distributions – Cash Distributions – Property 7,812,000 Other decreases – itemized Add lines 6 and 7 7,812,000 Balance at end of year (9,749,000) Schedule N Transactions Between Controlled Foreign Partnership and Partners
(a) US person filing return (b) Domestic corp control (c) Foreign corp controlled (d) 10% direct interest Write-in/Literal

1 2 3 4 5

Sales of invent Sales of property rghts Comp rcvd for tech, mgmt services Comm receivd Rents/royal/fees receivd
(a) US person filing return (b) Domestic corp control (c) Foreign corp controlled (d) 10% direct interest Write-in/Literal

6 7 8 9 10 11

Distribution receivd

Interest receivd Other Add lines 1 through 9 Purchase of invent Purch tangible proprty
329

Pack For You Incorporated Form 8865 Test 10
12 13 14 15 16 17 18 19 20 21 Purch prop rights Compens paid Commiss paid Rent,royal paid Distribution pd Interest paid Other Add lines 10 through 18 Amounts borrowed Amounts loaned

11-0000010 2006

Return of U.S. Persons with Respect to Certain Foreign Partnerships

10,642,318

330

Pack For You Incorporated

11-0000010

Form Sch O (8865)

Transfer of Property to a Foreign Partnership

2006

Name of Transferor: Pack For You Incorporated, Inc EIN: 11-0000010 Name of Foreign Partnership: Hank R. Truck Part I Transfer Reportable Under Section 6038B (a) (b) (c) (d) (e) Type of Date of Number Fair market Cost or Section Property
transfer of items transferre d value on date of transfer other basis

704(c) allocation method

(f) Gain recognized on transfer

(g) Percentage interest in partnership after transfer

Cash Marketable securities Inventory Tangible Prpty Intangible property Other property Supplemental Information Required To Be Reported

08/10/2004

1

9,496

12,000

100

Caterpillar Heavy Duty Forklift

Part II Dispositions Reportable Under Section 6038B Line Description Line Amount Type of property (a) Date of original transfer (b) Date of disposition (c) Manner of disposition (d) Gain recognizd by prtnrshp (e) Deprec recapture recognizd by prtnrshp (f) Gain allocated to partner (g) Depreciation recapture allocated partner (h) Part III Any transfer reported under section 904(f)(3) or section 904(f)(5)(F)? Yes or No Checkbox No is checked

Write-in /Literal

331

Pack For You Incorporated

11-0000010

Sch K-1 (Form 8865) Test 10

Partner's Share of Income, Deductions, Credits, etc.

2006

Calendar year 2006, or tax year beginning 04/1, 2006 ending 03/31, 2007 Final K-1 Amended K Part I Information About the Partnership Line Description Line Amount A B Partnership's employer identification number Partnership's name, address, city, state, and Zip code 11-0000022 Hank R. Truck 1 Foreign Plaza AnyProvince, Japan 11-0000010 Pack For You Incorporated 40 Any Street Anytown, IA 52544 Beginning Ending

Write-in / Literal / Attachments

Part II Information About the Partner Partner's identifying number C Partner's name, address, city, state and ZIP D code

E

Partner's share of profit, loss, capital and deductions:

F

1 2 3 4 5 6a 6b 7 8 9a 9b 9c 10 11 12 13 14

Profit 100% 100% Loss 100% 100% Capital 100% 100% Deductions 100% 100% Partner's capital account analysis Beginning capital account Capital contributed during the year Current year increase (decrease) Withdrawals & Distributions Ending capital account Tax basis GAAP Section 704(b) book Other (explain) Part III Partner's Share of Current Year Income, Deductions, Credits, or Other Items Ordinary business income (loss) (12,300,000) Net rental real estate income (loss) Other net rental income (loss) Guaranteed payments Interest income 12,900 Ordinary dividends Qualified dividends Royalties Net short-term capital gain (loss) Net long-term capital gain (loss) Collectibles (28%) gain (loss) Un-recaptured section 1250 gain Net section 1231 gain (loss) Other income (loss) Section 179 deduction Other deductions Self-employment earning (loss)

332

Pack For You Incorporated

11-0000010

Line Description 15 16 17 18 19 20 Credits & credit recapture Foreign transactions Alternative minimum tax (AMT) items Tax-exempt income and nondeductible expenses Distributions Other information

Line Amount

Write-in / Literal / Attachments

B A

7,812,000 12,900

333

Pack For You Incorporated

11-0000010

Sch K-1 (Form 1120S) Test 10

Shareholder's Share of Income, Deductions, Credits, etc.

2006

Tax year beginning April 1, 2006 ending March 31, 2007 Final K-1 Amended K Part I Information About the Corporation Corporation's employer identification A 11-000010 number Corporation's name, address, city, state, B Pack & Move Incorporated and Zip code 40 Any Street, Anytown, IA 52544 IRS Center where corporation filed return C OSPC Tax shelter registration number, if any D Check if Form 8271 is attached E Part II Information About the Shareholder Shareholder's Identification number F 999-06-0006 Shareholder's name, address, city, state G Ralph R. Lift LIFT and ZIP code 56 Any Street, Anytown, VA 22195 Shareholder's percentage of stock 100.000 ownership for tax year Part III Shareholder's Share of Current Year Income, Deductions, Credits, or Other Items Write-in / Literal / Line Description Line Amount Attachments Ordinary business income (loss) 1 35,410,189 Net rental real estate income (loss) 2 Other net rental income (loss) 3 Interest income 4 319,441 5a Ordinary dividends 5b Qualified dividends Royalties 6 Net short-term capital gain (loss) 7 8a Net long-term capital gain (loss) 8b Collectibles (28%) gain (loss) 8c Un-recaptured section 1250 gain Net section 1231 gain (loss) 9 10 Other income (loss) 11 Section 179 deduction 12 Other deductions A 150,260 R 9,099,724 13 Credits & credit recapture 14 Foreign transactions 15 Alternative minimum tax (AMT) items 16 Items affecting shareholder basis C 2,646,716 17 Other Information A 319,441 H

334

Pack For You Incorporated Form 8916-A Test 10 File in PDF format until schema is published
Name of common parent

11-0000010

Reconciliation of Cost of Goods Sold Reported on Schedule M-3 Attach to Schedule M-3 for Form 1065, 1120, or 1120S.
11 0000010

2006

Employer Identification Number Employer Identification Number

Pack For You Incorporated.
Name of subsidiary

Line Description
Cost of Goods Sold Items Amts attribut cost flow assumpt Amts attribut sec. 263A costs Stock option expense Other equity based compensation

Line Amount / Information
(a) Income (Loss) per Income Statement

Write-in / Literal Write-in/ Literal

(b) (c) (d) Temporary Permanent Income (Loss) per Tax Difference Difference Return

1 2a 2b 2c 2d 2e 2f 2g 2h 2i 2j 2k 2l 2m 2n 3 4 5 6 7

(251,179,367)

(251,179,367)

Meals and entertainment Parachute payments
Compensation with section 162(m) limitations Pension and profit sharing Other post-retirement benefits Deferred compensation Section 198 environmental remediation costs Amortization Depletion Depreciation Corporate owned life insurance premiums Other section 263A costs Inventory shrinkage accruals Excess inventory and obsolescence reserves Lower of cost or market writedowns Inventory shrinkage accruals Other items with no differences Total cost of goods sold. Add lines 1 - 7. Enter total on Schedule M-3 (Form 1065), Part II, line 15; Schedule M-3 (Form 1120), Part II, line 17; or Schedule M-3 (Form 1120S), Part II, line 15.

(989,056) (421,000)

(989,056) (421,000)

(61,000) (97,613,964)

(61,000) (97,613,964)

(133,041,113)

(133,041,113)

8

(483,305,500)

(483,305,500))

335

RamcFile, Inc. TEST SCENARIO 1 FORMS REQUIRED: 7004 HEADER INFO: Tax Period: PIN Entered by Return Type: 11/01/2006 – 10/31/2007 N/A 7004

11-0000030

Filer:

EIN: 11-0000030 Name: RamcFile, Inc. Name Control: RAMC Address: 100 Main Street Downtown, MD 20601 Name: Roger Rabbit Title: Chief Executive Officer Taxpayer PIN: N/A Phone: 703-555-1212 Email Address: DateSigned: 01/25/06 2006

Officer:

Tax Year:

Binary Attachment Count: 0

RamcFile, Inc.

11-0000030

Form 7004 Test #1
(Code 25 = Form 1120S)

Application for Automatic 6-Month Extension of Time to File Certain Business Income Tax, Information, and Other Returns

TY 2006

Name: RamcFile, Inc Taxpayer identification number: 11-0000030 Number, street, and room: 101 Main Street City or town, State, Zip code: Downtown, MD 20601 Line Description Line Amount / Information Code for type of return for 6-mos ext 1 Org does not have office in US 2
checkbox

Write-in / Literal 25

3 4a 4b 5 6 7 8

Qualify under Sec 1.6081-5 checkbox Calendar yr or other year beginning and ending Short TY < 12 months check reason Corp and com parent of consolidated
grp

November 1, 2006 October 31, 2007

Tentative total tax Total payments and credits Balance due. Subtract line 7 from line 6

1,000 1,000 0

ModeNTech, Inc.

11-0000031

TEST SCENARIO 2 FORMS REQUIRED: 7004 ATTACHMENTS: ConsolidatedGroupMembersSch

HEADER INFO: Tax Period: Originator: 11/01/2006 – 10/31/2007 EFIN: Self-select Type: ERO Practioner PIN: EFIN: Self-select PIN: Self-select Taxpayer PIN: Self-select Name of Taxpayer: ModeNTech, Inc Title: President Date signed: January 4, 2008 PIN Entered by – ERO 7004 EIN: 11-0000031 Name: ModeNTech, Inc Name Control: MODE Address: 301 New Street Newtown, ND 58204 2006

Return Type: Filer:

Tax Year:

Binary Attachment Count: 0
IRS PAYMENT: RTN: 012345672 ACCT #: 1234000000 TYPE OF ACCOUNT: Checking AMOUNT OF PAYMENT: 4,400 REQUESTED PAYMENT DATE: January 15, 2008 TAXPAYER DAYTIME PHONE NUMBER: 512-555-1111

Details for Form 7004 Attachment 1, Form 7004, Line 5, (ConsolidatedGroupMembersSch): a. Name: Hottest Communications Address: 100 Mail Avenue, Uptown, OH 45324 EIN: 11-0000043 b. Name: High-Tech Solutions Address: 200 Main Street, Anytown, NC 27905 EIN: APPLIED FOR

ModeNTech, Inc.

11-0000031

Form 7004 Test #2
(Code 12 = Form 1120)

Application for Automatic 6-Month Extension of Time to File Certain Business Income Tax, Information, and Other Returns

TY 2006

Name: ModeNTech, Inc Taxpayer identification number: 11-0000031 Number, street, and room: 301 New Street City or town, State, Zip code: Newtown, ND 58204 Line Description Line Amount / Information Code for type of return for 6-mos ext 1 Org does not have office in US 2
checkbox

Write-in / Literal 12

3 4a 4b 5 6 7 8

Qualify under Sec 1.6081-5 checkbox Calendar yr or other year beginning and ending Short TY < 12 months check reason Corp and com parent of consolidated grp Tentative total tax Total payments and credits Balance due. Subtract line 7 from line 6

November 1, 2006 October 31, 2007 Checkbox checked 5,000 600 4,400 Attachment 1

FOREIGNCO Group
TEST SCENARIO 3 FORMS REQUIRED: 7004

11-0000033

HEADER INFO: Tax Period: Return Type: 08/01/2006– 07/31/2007 7004

Filer:

EIN: 11-0000033 Name: FOREIGNCO Group Name Control: FORE Address: 2 Rue Street Paris City, France 2006

Tax Year:

Binary Attachment Count: 0
IRS PAYMENT: None

341

FOREIGNCO Group

11-0000033

Form 7004 Test #3 (Code 16 =
Form 1120FSC)

Application for Automatic 6-Month Extension of Time to File Certain Business Income Tax, Information, and Other Returns

TY 2006

Name:FOREIGNCO Group Taxpayer identification number: 11-0000033 Number, street, and room: 2 Rue Street City or town, State, Zip code: Paris City, France Line Description Line Amount / Information Code for type of return for 6-mos ext 1 Org does not have office in US 2
checkbox

Write-in / Literal 16

3 4a 4b 5 6 7 8

Qualify under Sec 1.6081-5 checkbox Calendar yr or other year beginning and ending Short TY < 12 months check reason Corp and com parent of consolidated
grp

Checkbox checked August 1, 2006 July 31, 2007

Tentative total tax Total payments and credits Balance due. Subtract line 7 from line 6

10,000 9,000 1,000

342

Flower Store One
TEST SCENARIO 4 FORMS REQUIRED: 7004

11-0000049

HEADER INFO: Tax Period: Return Type: 08/01/2006– 07/31/2007 7004

Filer:

EIN: 11-0000049 Name: Flower Store One Name Control: FLOW Address: 3 Bulb Street Somewhere, TX 78621 2006

Tax Year:

Binary Attachment Count: 0
IRS PAYMENT: None

343

Flower Store One

11-0000049

Form 7004 Test #4
(Code 09 = Form 1065)

Application for Automatic 6-Month Extension of Time to File Certain Business Income Tax, Information, and Other Returns

TY 2006

Name: Flower Store One Taxpayer identification number: 11-0000049 Number, street, and room: 3 Bulb Street City or town, State, Zip code: Somewhere, TX 78621 Line Description Line Amount / Information Code for type of return for 6-mos ext 1 Org does not have office in US 2
checkbox

Write-in / Literal 09

3 4a 4b 5 6 7 8

Qualify under Sec 1.6081-5 checkbox Calendar yr or other year beginning and ending Short TY < 12 months check reason Corp and com parent of consolidated
grp

August 1, 2006 July 31, 2007

Tentative total tax Total payments and credits Balance due. Subtract line 7 from line 6

10,000 9,000 1,000

344

RedesignComp, Inc.
TEST SCENARIO 5 FORMS REQUIRED: 7004

11-0000050

HEADER INFO: Tax Period: Return Type: 08/01/2006– 07/31/2007 7004

Filer:

EIN: 11-0000050 Name: RedesignComp, Inc Name Control: REDE Address: 55 Any Street Anytown, MI 49261 2006

Tax Year:

Binary Attachment Count: 0
IRS PAYMENT: None

345

RedesignComp, Inc.

11-0000050

Form 7004 Test #5
(Code 34 = Form 1120-C)

Application for Automatic 6-Month Extension of Time to File Certain Business Income Tax, Information, and Other Returns

TY 2006

Name: RedesignComp, Inc. Taxpayer identification number: 11-0000050 Number, street, and room: 55 Any Street City or town, State, Zip code: Anytown, MI 49261 Line Description Line Amount / Information Code for type of return for 6-mos ext 1 Org does not have office in US 2
checkbox

Write-in / Literal 34

3 4a 4b 5 6 7 8

Qualify under Sec 1.6081-5 checkbox Calendar yr or other year beginning and ending Short TY < 12 months check reason Corp and com parent of consolidated
grp

August 1, 2006 July 31, 2007

Tentative total tax Total payments and credits Balance due. Subtract line 7 from line 6

10,000 9,000 1,000

346