Cengage Learning

Higher Education

South-Western Federal Taxation 2014: Individual Income Taxes, 37th Edition

  • includes H&R Block @ Home CD-ROM, RIA Checkpoint® 1 term (6 months) Printed Access Card
  • William Hoffman University of Houston
  • James E. Smith College of William and Mary
  • ISBN-10: 1285424417  |  ISBN-13: 9781285424415
  • 1136 Pages
  • Previous Editions: 2013, 2012, 2011
  • © 2014 | Published
  • College Bookstore Wholesale Price = $236.50 List Price = $ 318.95
  • Newer Edition Available



Introduce your students to individual income tax concepts and today’s ever-changing tax legislation with Hoffman/Smith’s SOUTH-WESTERN FEDERAL TAXATION 2014: INDIVIDUAL INCOME TAXES, 37E. Renowned for its understandable, time-tested presentation, this book remains the most effective solution for helping students thoroughly grasp individual taxation concepts. This book reflects the latest tax legislation for individual taxpayers at the time of publication, while continuous online updates keep your course current with additional tax law changes as they take effect. Proven learning features, such as "Big Picture" examples and tax scenarios, help clarify concepts and provide opportunities to sharpen students’ critical-thinking, writing skills, and online research skills. The chapter-opening feature "Framework 1040: Tax Formula for Individuals" shows how topics relate to the 1040 form. In addition to complete instructor support, each new book provides leading professional software, including H&R Block At Home® software and Checkpoint® (Student Edition) from Thomson Reuters. CengageNOW is available as an optional online homework solution. Trust SOUTH-WESTERN FEDERAL TAXATION 2014: INDIVIDUAL INCOME TAXES for the most thorough coverage of individual income taxation available today.

Features and Benefits

  • Popular H&R Block at Home® tax preparation software accompanies each new text. One of today’s most popular tax preparation software choices, H&R Block At Home™ is available with each new copy of this edition and provides an ideal tool for guiding users through the tax return process with a dependable, user-friendly approach.
  • Checkpoint® by Thomson Reuters (student edition) provides hands-on professional experience. Give students the professional tools to succeed in tax research with Checkpoint®, the online industry leader that tax and accounting professionals trust. Checkpoint® provides a comprehensive collection of tax law, cases, and rulings with exclusive analytical insights and built-in productivity tools to make research more efficient. An intuitive web-based design makes it fast and simple to locate what you need. Checkpoint® Student Edition is automatically available with each new edition.
  • Learning objectives offer specific, tangible learning outcomes. Throughout this edition, Learning Objectives effectively reflect specific, tangible, and testable learning outcomes to ensure your course’s success.
  • Emphasis on tax planning helps students effectively consider tax options. This edition provides focus on tax planning to better equip students in analyzing financial situations and plans from a tax perspective.
  • "Financial Disclosure Insights" clearly illustrate how taxation impacts a company’s financial statements. These features highlight today’s actual companies and work in conjunction with the book’s best-of-class commentary to better prepare your students to understand relationship of financial disclosures to financial statements. Students also gain a solid understanding of the tax issues surrounding international financial reporting standards (IFRS).
  • Proven homework and testing questions offer tools to assess student progress. This edition's extensive end-of-chapter homework and variety of Test Bank items provide additional choices for assigning student practice testing and assessing student progress in your course.
  • "Framework 1040: Tax Formula For Individuals" feature links chapter topics to the IRS form 1040. This innovative feature at the beginning of each relevant chapter helps students organize chapter topics in terms of the basic tax formula and then identify where to report these items when filing individual tax forms. This feature serves as a convenient navigational tool for students, while helping to demonstrate how tax concepts are structured.
  • Solutions manual and test bank provide outcomes-based planning tools. All Questions and Problems in this edition and all Test Bank items are identified by Learning Objective, estimated difficulty, and estimated completion time. Each of these items is linked to specific core competencies from the AACSB and the AICPA to assist in your course planning and assessment needs.
  • "The Big Picture" chapter-opening vignettes make taxation come to life. "The Big Picture" Chapter Openers glimpse into the lives of individual taxpayers, highlighting their families, occupations, and tax situations. Each "Big Picture" Case asks students to develop a reasonable tax reporting solution for everyday dilemmas. "Refocus on the Big Picture"" features at the end of the chapter follow up on "The Big Picture" scenario with a professional solution using the chapter's concepts. A "What If?" section follows to demonstrate how tax reporting could change with different variables.
  • "The Big Picture" examples closely connect opening cases with chapter content. "The Big Picture" examples throughout selected chapters in this edition more effectively reinforce the chapter's opening case subjects with chapter concepts. These enhanced examples provide an ongoing "tax case storyline" that spans the chapter's topics, providing context and continuity.
  • Unique "Global Tax Issues" clearly address international concerns. Students gain valuable insights into both the effects of international issues on taxation and the impact of tax law across the world. This knowledge better equips students to face today's ever-increasing global concerns in the world marketplace.
  • End-of-Chapter communication assignments and decision-making problems encourage analytical and writing skills. Developed to support the AICPA curriculum, focused communication assignments and decision-making problems help students develop critical thinking and communication skills essential to success throughout their careers. "Issue Identification Questions" throughout the text further build critical-thinking skills by identifying tax issues and encouraging rich, multi-faceted discussion that extends well beyond one right answer.
  • Extensive appendices make this thorough, time-tested tax text the most trusted on the market. These comprehensive appendices offer you the flexibility to extend the value, research scope, and thorough coverage in your course. You'll find material on tax rate schedules, tax forms, an extensive glossary of tax terms, tables of code sections, regulations, revenue procedures and revenue rulings cited, a citatory example, Comprehensive Tax Return Problems (with solutions in the Instructor's Guide), and an appendix on depreciation.
  • Homework linked to learning objectives guide student study. Each end-of-chapter question and problem is clearly labeled with the Learning Objective(s) that appears beside the key topics in the text margins. Students can easily go back to that section of the text to study a specific concept. This saves them time as they complete homework and helps them organize chapter information.

Table of Contents

1. An Introduction to Taxation and Understanding the Federal Tax Law.
2. Working with the Tax Law.
3. Tax Formula and Tax Determination: An Overview of Property Transactions.
4. Gross Income: Concepts and Inclusions.
5. Gross Income: Exclusions.
6. Deductions and Losses: In General.
7. Deductions and Losses: Certain Business Expenses and Losses.
8. Depreciation, Cost Recovery, Amortization, and Depletion.
9. Deductions: Employee and Self-Employed-Related Expenses.
10. Deductions and Losses: Certain Itemized Deductions.
11. Investor Losses.
12. Alternative Minimum Tax.
13. Tax Credits and Payment Procedures.
14. Property Transactions: Determination of Gain or Loss and Basis Considerations.
15. Property Transactions: Nontaxable Exchanges.
16. Property Transactions: Capital Gains and Losses.
17. Property Transactions: Section 1231 and Recapture Provisions.
18. Accounting Periods and Methods.
19. Deferred Compensation.
20. Corporations and Partnerships.
Appendix A: Tax Rate Schedule and Tables.
Appendix B: Tax Forms.
Appendix C: Glossary of Tax Terms.
Appendix D: Table of Code Sections Cited; Table of Regulations Cited; Table of Revenue Procedures and Revenue Rulings Cited.
Appendix E: Comprehensive Tax Return Problems.
Appendix F: Table of Cases Cited.
Appendix G: Depreciation.
Subject Index.

What's New

  • THE LATEST TAX LAW CHANGES AND UPDATES ENSURE TODAY’S MOST CURRENT COVERAGE. Up-to-the-minute updates through this edition, online homework and supplements reflect the most recent changes in tax legislation and indexing of statutory amounts, as of publication. To continue the currency, the authors also provide legislative updates online as they take effect at www.cengage.com/community/taxation.
  • NEW AND REVISED TEXT PROBLEMS AND TEST QUESTIONS REFLECT TODAY’S LATEST TAX CHALLENGES. At least 20-30 percent of the problem materials in the text and test items throughout this edition’s Test Bank are new or significantly revised to reflect the latest tax developments.
  • CengageNOW is a powerful course management and online learning tool that provides control and customization to optimize the student learning experience and produce desired outcomes.
  • All end-of-chapter homework from the text is expanded and enhanced to follow the workflow of various client scenarios.
  • "What If" versions of problems in CengageNOW provide students with additional opportunities to practice key taxation concepts and scenarios. These alternate versions allow students to work the same problems multiple times with changing tax attributes.
  • CengageNOW questions include enhanced, immediate feedback so your students can learn as they go. New levels of feedback include an option to "check my work" within an assignment. Instructors can decide how much feedback their students receive and when.
  • CengageNOW includes a built-in Test Bank for online assessment.
  • For students who need additional support, CengageNOW's Personalized Study Plan is complete with pre- and post-tests, an eBook, practice quizzes, and more.
  • Superior Tagging! Questions are tagged based on common learning outcomes, difficulty level, and organizations such as AACSB and AICPA to allow flexibility in evaluating student performance.

Learning Resource Bundles

Choose the textbook packaged with the resources that best meet your course and student needs. Contact your Learning Consultant for more information.

Bundle: Text + CengageNOW Printed Access Card

ISBN-10: 1285718046  | ISBN-13: 9781285718040

List Price = $332.95  | College Bookstore Wholesale Price = $246.50

This Bundle Includes:

  • South-Western Federal Taxation 2014: Individual Income Taxes
    List Price = $318.95  | College Bookstore Wholesale Price = $236.50
  • CengageNOW, 1 term (6 months) Printed Access Card
    List Price = $158.00  | College Bookstore Wholesale Price = $118.50

Printed Text + CengageNOW Instant Access

ISBN-10:  1285938607 | ISBN-13:  9781285938608

List Price = $332.95  | College Bookstore Wholesale Price = $246.50

This Bundle Includes:

  • CengageNOW, 1 term (6 months) Instant Access
    List Price = $158.00  | College Bookstore Wholesale Price = $158.00
  • South-Western Federal Taxation 2014: Individual Income Taxes
    List Price = $318.95  | College Bookstore Wholesale Price = $236.50


All supplements have been updated in coordination with the main title. Select the main title's "About" tab, then select "What's New" for updates specific to title's edition.

For more information about these supplements, or to obtain them, contact your Learning Consultant.

Instructor Supplements

Solutions Manual  (ISBN-10: 1285179730 | ISBN-13: 9781285179735)

Find solutions to all of this edition’s homework problems in this complete Solutions Manual. The Solutions Manual features solutions arranged in accordance with the sequence of chapter material. A matrix labels the problems by topical coverage, denotes which problems are new, modified, or unchanged from the prior edition, and indicates with an asterisk those items selected as transparency masters. This matrix also references the prior edition’s problem number for the unchanged and modified problems. The solutions are referenced to the relevant pages in the text. Solutions to all homework items are tagged with their Estimated Time to Complete, Level of Difficulty, and Learning Objectives, as well as to a complete set of student outcomes.

Examview and Instructor Resource CD-ROM  (ISBN-10: 1285179757 | ISBN-13: 9781285179759)

Practice Set  (ISBN-10: 1285179714 | ISBN-13: 9781285179711)

Now you can use these comprehensive printed practice sets for completion near the end of the course. Students can use tax preparation software such as H&R Block at Home® to complete the tax forms. Separate solutions are available for your grading convenience.

List Price = $79.95  | CengageBrain Price = $79.95  | College Bookstore Wholesale Price = $59.00

CengageNOW, 1 term (6 months) Instant Access  (ISBN-10: 1285190327 | ISBN-13: 9781285190327)

CengageNOW is a powerful course management and online homework tool that provides robust instructor control and customization to optimize the student learning experience and meet desired outcomes. The end-of-chapter discussion questions and problems are included, expanded, and enhanced to provide a unique educational experience for students that promotes learning while addressing cognitive skills. These enhancements better engage students and encourage thinking like a tax professional.

List Price = $158.00  | College Bookstore Wholesale Price = $158.00

Student Supplements

Practice Set  (ISBN-10: 1285179714 | ISBN-13: 9781285179711)

Comprehensive printed practice sets are the ideal practice to complete near the end of the course. You can use tax preparation software, such as H&R Block at Home®, to complete the tax forms.

List Price = $79.95  | CengageBrain Price = $79.95  | College Bookstore Wholesale Price = $59.00

CengageNOW, 1 term (6 months) Instant Access  (ISBN-10: 1285190327 | ISBN-13: 9781285190327)

CengageNOW is a powerful course management and online homework tool that optimizes your learning experience to help you to be more successful in this course. The end-of-chapter discussion questions and problems are included, expanded, and enhanced to provide a unique educational experience for you that promotes learning while addressing cognitive skills. These enhancements will engage you in the material and help teach you to think like a tax professional.

List Price = $158.00  | College Bookstore Wholesale Price = $158.00

MindLink for CengageNOW, 1 term (6 months) Instant Access  (ISBN-10: 1285851366 | ISBN-13: 9781285851365)

Succeed in your taxation course with CengageNOW, a powerful online homework tool that optimizes your learning experience. This interactive system generates a diagnostic Personalized Study Plan (with a chapter-specific Pre-test, Study Plan, and Post-test) to help you master concepts, prepare for exams, and get a better grade.

List Price = $158.00  | College Bookstore Wholesale Price = $158.00

Meet the Author

Author Bio

William Hoffman

Dr. William H. Hoffman, Jr., earned B.A. and J.D. degrees from the University of Michigan and M.B.A. and Ph.D. degrees from The University of Texas. He is a licensed CPA and attorney in Texas. His teaching experience includes The University of Texas (1957-1961), Louisiana State University (1961-1967), and the University of Houston (1967-1999). Dr. Hoffman has addressed many tax institutes and conferences and has published extensively in academic and professional journals. His articles appear in The Journal of Taxation, The Tax Adviser, Taxes--The Tax Magazine, The Journal of Accountancy, The Accounting Review, and Taxation for Accountants.

James E. Smith

Dr. James E. Smith is the John S. Quinn Professor of Accounting at the College of William and Mary. He has been a member of the accounting faculty for more than 30 years. He received his Ph.D. from the University of Arizona. Dr. Smith has served as a discussion leader for Continuing Professional Education programs for the American Institute of Certified Public Accountants (AICPA), Federal Tax Workshops, and various state CPA societies. He has conducted programs in more than 40 states for approximately 25,000 CPAs. Dr. Smith has received the AICPA’s Outstanding Discussion Leader Award and the American Taxation Association/Arthur Andersen Teaching Innovation Award. Other awards include the Virginia Society of CPAs’ Outstanding Accounting Educator Award and the James Madison University’s Outstanding Accounting Educator Award. He was the president of the Administrators of Accounting Programs Group (AAPG) in 1991-1992. Dr. Smith also served as faculty adviser for the William and Mary teams that received first place in the Andersen Tax Challenge for five years and placed first in the Deloitte Tax Case Study Competition for five years.