Question 1

The regular income tax filing deadline is April 1 of each year.

Accepted Answer

A) True 
 B)False

Question 2

Your income tax withholding is dependent on

Accepted Answer

A)  income level and deductions. 
B)  deductions and age. 
C)  income level and number of withholding allowances. 
D)  number of withholding allowances and deductions. 
E)  number of withholding allowances and dependents. 
A)  income level and deductions. 
B)  deductions and age. 
C)  income level and number of withholding allowances. 
D)  number of withholding allowances and deductions. 
E)  number of withholding allowances and dependents.

Question 3

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Usually a married couple will pay less income tax if they file [jointly | separately].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 4

The sale of your home will rarely result in a taxable capital gain.

Accepted Answer

A) True 
 B)False

Question 5

The Medicare portion of the Social Security tax is paid on 100% of earnings.

Accepted Answer

A) True 
 B)False

Question 6

Federal income taxes paid can be deducted the following year.

Accepted Answer

A) True 
 B)False

Question 7

Adjustments to income will decrease your taxable income.

Accepted Answer

A) True 
 B)False

Question 8

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-[Alimony | Child support] would be reported as taxable income.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 9

From the information given below,determine Marcie's gross income for tax purposes:

Accepted Answer

$40,000 +

Question 10

Qualified dividends are taxed at the same rates as long-term capital gains.

Accepted Answer

A) True 
 B)False

Question 11

The tax year corresponds to the April 15 filing deadline,with a new tax year beginning April 16th.

Accepted Answer

A) True 
 B)False

Question 12

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-A tax credit would result from [an IRA contribution | child care expenses].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 13

The federal income tax is

Accepted Answer

A)  integrative. 
B)  regressive. 
C)  progressive. 
D)  flat rate. 
E)  none of the above. 
A)  integrative. 
B)  regressive. 
C)  progressive. 
D)  flat rate. 
E)  none of the above.

Question 14

The Internal Revenue Service is responsible for writing the federal income tax codes.

Accepted Answer

A) True 
 B)False

Question 15

Tax-deferred income is better than tax-free income.

Accepted Answer

A) True 
 B)False

Question 16

Tax practitioners that are Federally licensed are called

Accepted Answer

A)  Certified Public Accountants 
B)  Certified Financial Planners 
C)  Tax Attorneys 
D)  Enrolled Agents 
E)  None of the above 
A)  Certified Public Accountants 
B)  Certified Financial Planners 
C)  Tax Attorneys 
D)  Enrolled Agents 
E)  None of the above

Question 17

State income taxes and state sales taxes paid can both be included as itemized deductions in the same tax year.

Accepted Answer

A) True 
 B)False

Question 18

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The date by which your tax liability must be paid in order to avoid late payment penalties and/or interest is [April 15 | August 15].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 19

Medical and dental expenses may be included as itemized deductions

Accepted Answer

A)  when they exceed 4% of adjusted gross income. 
B)  up to a maximum of $7,500 per individual per tax year. 
C)  only if they do not exceed 7% of gross income. 
D)  only in the amount in excess of 7.5% of adjusted gross income. 
E)  always. 
A)  when they exceed 4% of adjusted gross income. 
B)  up to a maximum of $7,500 per individual per tax year. 
C)  only if they do not exceed 7% of gross income. 
D)  only in the amount in excess of 7.5% of adjusted gross income. 
E)  always.

Question 20

Tax avoidance is a legal means to minimize tax liabilities.

Accepted Answer

A) True 
 B)False

The regular income tax filing deadline is April 1 of each year.

Your income tax withholding is dependent on

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Usually a married couple will pay less income tax if they file [jointly | separately].

The sale of your home will rarely result in a taxable capital gain.

The Medicare portion of the Social Security tax is paid on 100% of earnings.

Federal income taxes paid can be deducted the following year.

Adjustments to income will decrease your taxable income.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -[Alimony | Child support] would be reported as taxable income.

From the information given below,determine Marcie's gross income for tax purposes:

Qualified dividends are taxed at the same rates as long-term capital gains.

The tax year corresponds to the April 15 filing deadline,with a new tax year beginning April 16th.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -A tax credit would result from [an IRA contribution | child care expenses].

The federal income tax is

The Internal Revenue Service is responsible for writing the federal income tax codes.

Tax-deferred income is better than tax-free income.

Tax practitioners that are Federally licensed are called

State income taxes and state sales taxes paid can both be included as itemized deductions in the same tax year.

Medical and dental expenses may be included as itemized deductions

Tax avoidance is a legal means to minimize tax liabilities.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

Filters

Exam 3: Preparing Your Taxes

The regular income tax filing deadline is April 1 of each year.

Your income tax withholding is dependent on

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -Usually a married couple will pay less income tax if they file [jointly | separately].

The sale of your home will rarely result in a taxable capital gain.

The Medicare portion of the Social Security tax is paid on 100% of earnings.

Federal income taxes paid can be deducted the following year.

Adjustments to income will decrease your taxable income.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -[Alimony | Child support] would be reported as taxable income.

From the information given below,determine Marcie's gross income for tax purposes:

Qualified dividends are taxed at the same rates as long-term capital gains.

The tax year corresponds to the April 15 filing deadline,with a new tax year beginning April 16th.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -A tax credit would result from [an IRA contribution | child care expenses].

The federal income tax is

The Internal Revenue Service is responsible for writing the federal income tax codes.

Tax-deferred income is better than tax-free income.

Tax practitioners that are Federally licensed are called

State income taxes and state sales taxes paid can both be included as itemized deductions in the same tax year.

Medical and dental expenses may be included as itemized deductions

Tax avoidance is a legal means to minimize tax liabilities.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Preserving Your Estate

Filters