Exam 11: Retirement and Other Tax-Deferred Plans and Annuities

Godfrey is age 77.He paid $240,000 for a single life annuity contract that will pay him $28,800 per year for life.The taxable amount of the first $28,800 payment is

(Multiple Choice)

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Question 101

For taxpayers under age 50,contributions can be made to a Roth IRA in an amount equal to the lower of $5,500 or 100% of compensation,plus the amount of contributions for the year to other IRAs.

(True/False)

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Question 102

Which of the following statements regarding a Coverdell Education Savings Account (CESA)is incorrect?

(Multiple Choice)

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Question 103

Damian is age 77.He paid $600,000 for a single life annuity contract that will pay him $72,000 per year for life.The tax-free amount of the first $72,000 payment is

(Multiple Choice)

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Question 104

Habiba is age 74 and married.Her husband is age 73.She purchased a single life annuity contract that will pay her $20,000 per year for life.The expected return on the contract is

(Multiple Choice)

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Question 105

What are the tax consequence(s)related to a qualified pension plan?

(Multiple Choice)

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Question 106

To calculate the taxable portion of an annuity payment,a taxpayer must determine all of the following except:

(Multiple Choice)

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Question 107

Which of the following statements regarding a Coverdell Education Savings Account (CESA)is correct?

(Multiple Choice)

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Question 108

Felix is age 74 and his wife is age 73.He purchased a single life annuity contract that will pay him $80,000 per year for life.The expected return on the contract is

(Multiple Choice)

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Question 109

If a taxpayer funded some contributions to a qualified pension plan with previously-taxed dollars,then some of the distributions from that plan during retirement will be nontaxable.

(True/False)

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Question 110

Employees age 50 or over can contribute an additional ________ per year to a 401(k)plan for 2017.

(Multiple Choice)

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Question 111

Harriett is age 52,married,and reported AGI of $103,000 in tax year 2017.She is an active participant in her employer's pension plan.What is the maximum deductible IRA contribution she can make for her own account in 2017?

(Multiple Choice)

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Question 112

Mark is single and must start taking distributions from his traditional IRA beginning April 1,2017.At the end of 2016 when Mark was 71 years old,the IRA had a balance of $110,000.What amount must Mark take as a distribution from the IRA by April 1,2017?

(Multiple Choice)

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Question 113

In order to obtain and retain qualified status,a pension or profit-sharing plan must not discriminate in favor of highly compensated employees.

(True/False)

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Question 114

Individuals who make contributions to a Coverdell Education Savings Account must have AGI of $175,000 or less.

(True/False)

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Question 115

Paolo is age 77.He paid $240,000 for a single life annuity contract that will pay him $43,200 per year for life.The tax-free amount of the first $43,200 payment is

(Multiple Choice)

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(73)

Question 116

Chandelle and Treymane are married and have combined AGI of $215,000.They would like to contribute to a Coverdell Education Savings Account for their grandson.What is the maximum contribution they can make in 2017?

(Multiple Choice)

4.8/5

(83)

Question 117

Pension plan distributions are reported to taxpayers on a Form 1099-P.

(True/False)

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Question 118

What is an annuity contract? Who are the parties to an annuity contract?

(Essay)

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Question 119

Escobar and Rose are both age 36 and file a joint return.Neither is covered under an employer plan.Escobar earned $121,000 of compensation in 2017.Rose worked part-time and earned $1,200.What is the maximum combined deductible IRA contribution they can make in 2017?

(Multiple Choice)

4.8/5

(71)

Question 120

Showing 101 - 120 of 125

Godfrey is age 77.He paid $240,000 for a single life annuity contract that will pay him $28,800 per year for life.The taxable amount of the first $28,800 payment is

For taxpayers under age 50,contributions can be made to a Roth IRA in an amount equal to the lower of $5,500 or 100% of compensation,plus the amount of contributions for the year to other IRAs.

Which of the following statements regarding a Coverdell Education Savings Account (CESA)is incorrect?

Damian is age 77.He paid $600,000 for a single life annuity contract that will pay him $72,000 per year for life.The tax-free amount of the first $72,000 payment is

Habiba is age 74 and married.Her husband is age 73.She purchased a single life annuity contract that will pay her $20,000 per year for life.The expected return on the contract is

What are the tax consequence(s)related to a qualified pension plan?

To calculate the taxable portion of an annuity payment,a taxpayer must determine all of the following except:

Which of the following statements regarding a Coverdell Education Savings Account (CESA)is correct?

Felix is age 74 and his wife is age 73.He purchased a single life annuity contract that will pay him $80,000 per year for life.The expected return on the contract is

If a taxpayer funded some contributions to a qualified pension plan with previously-taxed dollars,then some of the distributions from that plan during retirement will be nontaxable.

Employees age 50 or over can contribute an additional ________ per year to a 401(k)plan for 2017.

Harriett is age 52,married,and reported AGI of $103,000 in tax year 2017.She is an active participant in her employer's pension plan.What is the maximum deductible IRA contribution she can make for her own account in 2017?

Mark is single and must start taking distributions from his traditional IRA beginning April 1,2017.At the end of 2016 when Mark was 71 years old,the IRA had a balance of $110,000.What amount must Mark take as a distribution from the IRA by April 1,2017?

In order to obtain and retain qualified status,a pension or profit-sharing plan must not discriminate in favor of highly compensated employees.

Individuals who make contributions to a Coverdell Education Savings Account must have AGI of $175,000 or less.

Paolo is age 77.He paid $240,000 for a single life annuity contract that will pay him $43,200 per year for life.The tax-free amount of the first $43,200 payment is

Chandelle and Treymane are married and have combined AGI of $215,000.They would like to contribute to a Coverdell Education Savings Account for their grandson.What is the maximum contribution they can make in 2017?

Pension plan distributions are reported to taxpayers on a Form 1099-P.

What is an annuity contract? Who are the parties to an annuity contract?

Escobar and Rose are both age 36 and file a joint return.Neither is covered under an employer plan.Escobar earned $121,000 of compensation in 2017.Rose worked part-time and earned $1,200.What is the maximum combined deductible IRA contribution they can make in 2017?

Introduction to Taxation, the Income Tax Formula, and Form 1040EZ

Expanded Tax Formula, forms 1040A and 1040, and Basic Concepts

Gross Income: Inclusions and Exclusions

Adjustments for Adjusted Gross Income

Itemized Deductions

Self-Employed Business Income Line 12 of Form 1040 and Schedule C

Capital Gains and Other Sales of Property Schedule D and Form 4797

Rental Property, Royalties, and Income From Flow- Through Entities Line 17, form 1040, and Schedule E

Tax Credits Form 1040,lines 48 Through 54 and Lines 66A Through 73

Payroll Taxes

Special Property Transactions

At-Riskpassive Activity Loss Rules and the Individual Alternative Minimum Tax

Partnership Taxation

Corporate Taxation

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