Question 1

William is a divorced taxpayer who provides a home for his dependent child, Edward. What filing status should William indicate on his tax return?

Accepted Answer

A) Head of household 
B) Married, filing separately 
C) Single 
D) Qualifying widow(er) 
E) None of these 
A) Head of household 
B) Married, filing separately 
C) Single 
D) Qualifying widow(er) 
E) None of these

Question 2

Hansel and Gretel are married taxpayers who file a joint income tax return for 2019. They have no dependents. On their 2019 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

$37,600 =

Question 3

Mary is age 33 and a single taxpayer with adjusted gross income for 2019 of $29,400. Mary maintains a home for three dependent children and has itemized deductions of $3,000. Calculate the following amounts for Mary's 2019 income tax return:
a.Mary's standard or itemized deduction amount
b.Mary's taxable income
?

Accepted Answer

?a. $18,35

Question 4

Fran bought stock in the FCM Corporation 4 years ago at a price of $18,000. She sold it this year for $22,225 and paid her broker $225 from the proceeds of the sale.
a. What is Fran's amount realized?
b. What is Fran's adjusted basis?
c. What is Fran's realized gain or loss?
d. What is Fran's recognized gain or loss?
e. How much of the gain or loss should be included in her tax return?

Accepted Answer

a. Amount realized: $22,000 = $22,225 −

Question 5

Nathan is 24 years old, single, and works as an accountant in a salmon cannery in Alaska. His total wages for 2019 were $32,000. Federal income tax of $4,500 was withheld from his wages. His only other income was $260 of interest and he had no deductible expenses.
​
Calculate the income tax due or income tax refund on Nathan's 2019 individual income tax return. Use the tax formula for individuals and show your work.

Accepted Answer

The answer of Nathan is 24 years old, single, and...

Question 6

Which of the following is not a goal of the tax law?

Accepted Answer

A) Ensuring that all persons pay the same amount of tax. 
B) Economic goals such as reduction in unemployment. 
C) Social goals such as lowering the cost of adoption. 
D) Raise adequate revenue to operate the government. 
A) Ensuring that all persons pay the same amount of tax. 
B) Economic goals such as reduction in unemployment. 
C) Social goals such as lowering the cost of adoption. 
D) Raise adequate revenue to operate the government.

Question 7

Jeri is single and supports her 45-year-old son who has income of $350 from working in a pumpkin patch during October and lives in his own apartment.
a. Can she claim him as a dependent?
b. Can she claim head of household filing status? Why or why not?

Accepted Answer

a. Yes, her son qualifies as a

Question 8

An 18-year-old full-time student who is claimed on the parents' tax return as a dependent is eligible for the child tax credit.

Accepted Answer

A) True 
 B)False

Question 9

Taxpayers with self-employment income of $400 or more must file a tax return.

Accepted Answer

A) True 
 B)False

Question 10

Mark a "Yes" to each of the following that can be found on the IRS Web site. If not, mark with a "No."
a. A list of IRS forms.
b. A search function.
c. Advice on how to avoid paying taxes.
d. Ways to contact the IRS.

Accepted Answer

a. Yes
b.

Question 11

Partnership income is reported on:

Accepted Answer

A) Form 1040PTR. 
B) Form 1120S. 
C) Form 1040X. 
D) Form 1065. 
A) Form 1040PTR. 
B) Form 1120S. 
C) Form 1040X. 
D) Form 1065.

Question 12

An individual is a head of household. What is her standard deduction?

Accepted Answer

A) $12,200 
B) $24,400 
C) $18,350 
D) $18,000 
E) None of these ​ 
A) $12,200 
B) $24,400 
C) $18,350 
D) $18,000 
E) None of these ​

Question 13

Madeline is single and supports her 85-year-old parents who live in a senior home paid for by Madeline and have no income. What is Madeline's filing status and why?

Accepted Answer

Head of household. Madeline is single an

Question 14

Curt and Linda were married on December 31 of the prior year. What are their options for filing status for their prior year taxes?

Accepted Answer

They may file either as marrie

Question 15

If your spouse dies during the tax year and you do not remarry, you must file as single for the year of death.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following is not considered one of the five basic taxable or reporting entities?

Accepted Answer

A) Partnership 
B) Corporation 
C) Portfolio 
D) Individual 
E) Trust 
A) Partnership 
B) Corporation 
C) Portfolio 
D) Individual 
E) Trust

Question 17

Which of the following taxpayers does not have to file a tax return for 2019?

Accepted Answer

A) A single taxpayer who is under age 65, with income of $13,500. 
B) Married taxpayers (ages 45 and 50 years), filing jointly, with income of $26,000. 
C) A student, age 22, with unearned income of $2,500 who is claimed as a dependent by her parents. 
D) A qualifying widow (age 67) with a dependent child and income of $18,800. 
E) All of these are correct. 
A) A single taxpayer who is under age 65, with income of $13,500. 
B) Married taxpayers (ages 45 and 50 years), filing jointly, with income of $26,000. 
C) A student, age 22, with unearned income of $2,500 who is claimed as a dependent by her parents. 
D) A qualifying widow (age 67) with a dependent child and income of $18,800. 
E) All of these are correct.

Question 18

Jill is a 16-year-old child who is claimed as a dependent by her parents. Jill's only income is $1,400 from her bank savings account. What is the amount of Jill's standard deduction for 2019?

Accepted Answer

A) $1,200 
B) $1,100 
C) $1,750 
D) $12,200 
E) None of these 
A) $1,200 
B) $1,100 
C) $1,750 
D) $12,200 
E) None of these

Question 19

A taxpayer who is living alone, is legally separated from his or her spouse under a separate maintenance decree at year-end, and has no dependents should file as single.

Accepted Answer

A) True 
 B)False

Question 20

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 these. 
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 these.

William is a divorced taxpayer who provides a home for his dependent child, Edward. What filing status should William indicate on his tax return?

Hansel and Gretel are married taxpayers who file a joint income tax return for 2019. They have no dependents. On their 2019 income tax return, they have adjusted gross income of $62,000 and total itemized deductions of $4,000. What is their taxable income?

Which of the following is not a goal of the tax law?

Jeri is single and supports her 45-year-old son who has income of $350 from working in a pumpkin patch during October and lives in his own apartment. a. Can she claim him as a dependent? b. Can she claim head of household filing status? Why or why not?

An 18-year-old full-time student who is claimed on the parents' tax return as a dependent is eligible for the child tax credit.

Taxpayers with self-employment income of $400 or more must file a tax return.

Mark a "Yes" to each of the following that can be found on the IRS Web site. If not, mark with a "No." a. A list of IRS forms. b. A search function. c. Advice on how to avoid paying taxes. d. Ways to contact the IRS.

Partnership income is reported on:

An individual is a head of household. What is her standard deduction?

Madeline is single and supports her 85-year-old parents who live in a senior home paid for by Madeline and have no income. What is Madeline's filing status and why?

Curt and Linda were married on December 31 of the prior year. What are their options for filing status for their prior year taxes?

If your spouse dies during the tax year and you do not remarry, you must file as single for the year of death.

Which of the following is not considered one of the five basic taxable or reporting entities?

Which of the following taxpayers does not have to file a tax return for 2019?

Jill is a 16-year-old child who is claimed as a dependent by her parents. Jill's only income is $1,400 from her bank savings account. What is the amount of Jill's standard deduction for 2019?

A taxpayer who is living alone, is legally separated from his or her spouse under a separate maintenance decree at year-end, and has no dependents should file as single.

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

Gross Income and Exclusions

Business Income and Expenses

Additional Income and the Qualified Business Income Deduction

Deductions for and From AGI

Accounting Periods and Other Taxes

Tax Credits

Depreciation and Sale of Business Property

Payroll, Estimated Payments and Retirement Plans

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters

Exam 1: The Individual Income Tax Return

William is a divorced taxpayer who provides a home for his dependent child, Edward. What filing status should William indicate on his tax return?

Hansel and Gretel are married taxpayers who file a joint income tax return for 2019. They have no dependents. On their 2019 income tax return, they have adjusted gross income of $62,000 and total itemized deductions of $4,000. What is their taxable income?

Which of the following is not a goal of the tax law?

Jeri is single and supports her 45-year-old son who has income of $350 from working in a pumpkin patch during October and lives in his own apartment. a. Can she claim him as a dependent? b. Can she claim head of household filing status? Why or why not?

An 18-year-old full-time student who is claimed on the parents' tax return as a dependent is eligible for the child tax credit.

Taxpayers with self-employment income of $400 or more must file a tax return.

Mark a "Yes" to each of the following that can be found on the IRS Web site. If not, mark with a "No." a. A list of IRS forms. b. A search function. c. Advice on how to avoid paying taxes. d. Ways to contact the IRS.

Partnership income is reported on:

An individual is a head of household. What is her standard deduction?

Madeline is single and supports her 85-year-old parents who live in a senior home paid for by Madeline and have no income. What is Madeline's filing status and why?

Curt and Linda were married on December 31 of the prior year. What are their options for filing status for their prior year taxes?

If your spouse dies during the tax year and you do not remarry, you must file as single for the year of death.

Which of the following is not considered one of the five basic taxable or reporting entities?

Which of the following taxpayers does not have to file a tax return for 2019?

Jill is a 16-year-old child who is claimed as a dependent by her parents. Jill's only income is $1,400 from her bank savings account. What is the amount of Jill's standard deduction for 2019?

A taxpayer who is living alone, is legally separated from his or her spouse under a separate maintenance decree at year-end, and has no dependents should file as single.

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

Gross Income and Exclusions

Business Income and Expenses

Additional Income and the Qualified Business Income Deduction

Deductions for and From AGI

Accounting Periods and Other Taxes

Tax Credits

Depreciation and Sale of Business Property

Payroll, Estimated Payments and Retirement Plans

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters