Question 1

The maximum official individual income tax rate for 2015 is 39.6 percent, not including the Medicare surtax on net investment income.

Accepted Answer

A) True 
 B)False

Question 2

A taxpayer with self-employment income of $600 must file a tax return.

Accepted Answer

A) True 
 B)False

Question 3

Norman and Linda are married taxpayers with taxable income of $126,000 in 2015.
a.When you calculate their tax liability are you required to use the tax tables or the tax rate schedules, or does it matter?
b.What is their tax liability?

Accepted Answer

a. Taxpayers with incomes of $

Question 4

Kenzie is a research scientist in Tallahassee, Florida. Her husband Gary stays home to take care of their two young children. Kenzie's total wages for 2015 were $60,500 from which $5,900 of federal income tax was withheld.
​
Calculate the income tax due or income tax refund on Kenzie and Gary's 2015 individual income tax return. Use the tax formula for individuals and show your work.

Accepted Answer

The answer of Kenzie is a research scientist in Tallahassee,...

Question 5

Taxpayers who do not qualify for married, head of household, or qualifying widow or widower filing status must file as single.

Accepted Answer

A) True 
 B)False

Question 6

Calculate the amount of the standard deduction the taxpayers should claim on their 2015 income tax returns.

Accepted Answer

a. $12,600
b. $6,300
c. $12,60

Question 7

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2015. Compute his additional ACA Medicare surtax on net investment income.

Accepted Answer

$2,280 = 3.8% x [the

Question 8

An individual taxpayer with a net capital loss may deduct up to $3,000 per year against ordinary income.

Accepted Answer

A) True 
 B)False

Question 9

Albert and Louise, ages 66 and 64, respectively, filed a joint return for 2015. They provided all of the support for their blind 19 year-old son, who had no gross income. They also provided the total support of Louise's father, who is a citizen and life-long resident of Peru. How many exemptions may they claim on their 2015 tax return?

Accepted Answer

A) 2 
B) 3 
C) 4 
D) 5 
E) None of the above 
A) 2 
B) 3 
C) 4 
D) 5 
E) None of the above

Question 10

Most states are community property states.

Accepted Answer

A) True 
 B)False

Question 11

If an individual wishes to amend his individual tax return, he will make the amendment using what form?

Accepted Answer

A) Form 1040A 
B) Form 1040X 
C) Form 1120 
D) Schedule K-1 
E) None of the above 
A) Form 1040A 
B) Form 1040X 
C) Form 1120 
D) Schedule K-1 
E) None of the above

Question 12

Hansel and Gretel are married taxpayers who file a joint income tax return for 2015. They have no dependents. On their 2015 income tax return, they have adjusted gross income of $62,000 and total itemized deductions of $4,000. What is their taxable income?

Accepted Answer

$41,400 =

Question 13

The IRS:

Accepted Answer

A) requires official tax forms be obtained at the local IRS office. 
B) links to the H & R Block Web site. 
C) provides information on how to choose a stock. 
D) has an app for mobile phones. 
A) requires official tax forms be obtained at the local IRS office. 
B) links to the H & R Block Web site. 
C) provides information on how to choose a stock. 
D) has an app for mobile phones.

Question 14

Match the letter of the filing status to the taxpayers below. Items may be used more than once.
-The taxpayer is unmarried and is living with his girlfriend.

Accepted Answer

A) Single 
B) Married, filing a joint return 
C) Married, filing separate returns 
D) Head of household 
E) Qualifying widow(er)
F)Married, filing joint or married, filing separate 
A) Single 
B) Married, filing a joint return 
C) Married, filing separate returns 
D) Head of household 
E) Qualifying widow(er)
F)Married, filing joint or married, filing separate

Question 15

Steven, age 35 and single, is a commodities broker. His salary for 2015 is $111,500 and he has taxable interest income of $40,000. He has no deductions for adjusted gross income. His itemized deductions are $31,000. Steven does not have any dependents.
a.What is the amount of his adjusted gross income?
b.What are his allowable itemized deductions?
c.What is his deduction for personal exemptions?
d.What is his taxable income?
e.What is his regular tax liability from the tax rate schedules?

Accepted Answer

The answer of Steven, age 35 and single, is a...

Question 16

A taxpayer who maintains a household with an unmarried child may qualify to file as head of household even if the child is not the taxpayer's dependent.

Accepted Answer

A) True 
 B)False

Question 17

Which one of the following provisions was passed by Congress to meet a social goal of the tax law?

Accepted Answer

A) The deduction for job hunting expenses. 
B) The charitable deduction. 
C) The moving expense deduction for adjusted gross income. 
D) The deduction for soil and water conservation costs available to farmers. 
E) None of the above. 
A) The deduction for job hunting expenses. 
B) The charitable deduction. 
C) The moving expense deduction for adjusted gross income. 
D) The deduction for soil and water conservation costs available to farmers. 
E) None of the above.

Question 18

Which of the following is correct?

Accepted Answer

A) An individual is a reporting entity but not a taxable entity. 
B) A partnership is a taxable entity and a reporting entity. 
C) A corporation is a reporting entity but not a taxable entity. 
D) A partnership is a reporting entity but not a taxable entity. 
A) An individual is a reporting entity but not a taxable entity. 
B) A partnership is a taxable entity and a reporting entity. 
C) A corporation is a reporting entity but not a taxable entity. 
D) A partnership is a reporting entity but not a taxable entity.

Question 19

Scholarships received by a student may be excluded for purposes of the support test for determining the availability of the dependency exemption.

Accepted Answer

A) True 
 B)False

Question 20

All taxpayers may use the tax rate schedule to determine their tax liability.

Accepted Answer

A) True 
 B)False

The maximum official individual income tax rate for 2015 is 39.6 percent, not including the Medicare surtax on net investment income.

A taxpayer with self-employment income of $600 must file a tax return.

Norman and Linda are married taxpayers with taxable income of $126,000 in 2015. a.When you calculate their tax liability are you required to use the tax tables or the tax rate schedules, or does it matter? b.What is their tax liability?

Taxpayers who do not qualify for married, head of household, or qualifying widow or widower filing status must file as single.

Calculate the amount of the standard deduction the taxpayers should claim on their 2015 income tax returns.

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2015. Compute his additional ACA Medicare surtax on net investment income.

An individual taxpayer with a net capital loss may deduct up to $3,000 per year against ordinary income.

Most states are community property states.

If an individual wishes to amend his individual tax return, he will make the amendment using what form?

Hansel and Gretel are married taxpayers who file a joint income tax return for 2015. They have no dependents. On their 2015 income tax return, they have adjusted gross income of $62,000 and total itemized deductions of $4,000. What is their taxable income?

The IRS:

Match the letter of the filing status to the taxpayers below. Items may be used more than once. -The taxpayer is unmarried and is living with his girlfriend.

A taxpayer who maintains a household with an unmarried child may qualify to file as head of household even if the child is not the taxpayer's dependent.

Which one of the following provisions was passed by Congress to meet a social goal of the tax law?

Which of the following is correct?

Scholarships received by a student may be excluded for purposes of the support test for determining the availability of the dependency exemption.

All taxpayers may use the tax rate schedule to determine their tax liability.

Gross Income and Exclusions

Business Income and Expenses, Part I

Business Income and Expenses, Part II

Itemized Deductions and Other Incentives

Credits and Special Taxes

Accounting Periods and Methods and Depreciation

Capital Gains and Losses

Withholding, Estimated Payments, and Payroll Taxes

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters

Exam 1: The Individual Income Tax Return

The maximum official individual income tax rate for 2015 is 39.6 percent, not including the Medicare surtax on net investment income.

A taxpayer with self-employment income of $600 must file a tax return.

Norman and Linda are married taxpayers with taxable income of $126,000 in 2015. a.When you calculate their tax liability are you required to use the tax tables or the tax rate schedules, or does it matter? b.What is their tax liability?

Taxpayers who do not qualify for married, head of household, or qualifying widow or widower filing status must file as single.

Calculate the amount of the standard deduction the taxpayers should claim on their 2015 income tax returns.

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2015. Compute his additional ACA Medicare surtax on net investment income.

An individual taxpayer with a net capital loss may deduct up to $3,000 per year against ordinary income.

Most states are community property states.

If an individual wishes to amend his individual tax return, he will make the amendment using what form?

Hansel and Gretel are married taxpayers who file a joint income tax return for 2015. They have no dependents. On their 2015 income tax return, they have adjusted gross income of $62,000 and total itemized deductions of $4,000. What is their taxable income?

The IRS:

Match the letter of the filing status to the taxpayers below. Items may be used more than once. -The taxpayer is unmarried and is living with his girlfriend.

A taxpayer who maintains a household with an unmarried child may qualify to file as head of household even if the child is not the taxpayer's dependent.

Which one of the following provisions was passed by Congress to meet a social goal of the tax law?

Which of the following is correct?

Scholarships received by a student may be excluded for purposes of the support test for determining the availability of the dependency exemption.

All taxpayers may use the tax rate schedule to determine their tax liability.

Gross Income and Exclusions

Business Income and Expenses, Part I

Business Income and Expenses, Part II

Itemized Deductions and Other Incentives

Credits and Special Taxes

Accounting Periods and Methods and Depreciation

Capital Gains and Losses

Withholding, Estimated Payments, and Payroll Taxes

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters