TAX EV ACT 04204
BTCA
SSION OBJECTIVES:
the end of this session the student should be able to identify various reason
avoidance and tax evasion. Specifically to:
Define tax evasion and avoidance
Provide various reasons of tax evasion and avoidance
Palsused
evasion
vasion is a deliberate act by an individual, company, firm, trust o
es to mislead, misinform or otherwise mis-state the tax liability to
ities by breaking the law.
Keeloghat
fraudulent and intentional attempt to escape payment of taxes in

On december 31, 2013, coronado company issues 173,000 stock-appreciation rights to its officers entitling them to receive cash for the difference between the market price of its stock and a pre-established price of $10. the fair value of the sars is estimated to be $5 per sar on december 31, 2014; $2 on december 31, 2015; $10 on december 31, 2016; and $8 on december 31, 2017. the service period is 4 years, and the exercise period is 7 years. prepare a schedule that shows the amount of compensation expense allocable to each year affected by the stock-appreciation rights plan.