Question 1

Margo and her spouse have health insurance for the entire year through the state health care exchange.Margo will need to pay her spouse's individual shared responsibility.

Accepted Answer

A) True 
 B)False

Question 2

1111111111111111111
-Taxpayers are allowed two tax breaks for adoption expenses.They are allowed:Qualified Expenses $\begin{array} { l l } \text { Paid personally } & \text { Paid by employer } \end{array}$
a. $\begin{array}{llcc}
\quad\quad \text {Credit}&\quad\quad\quad \text {Credit}
\end{array}$

b. $\begin{array}{llcc}
\quad \text { Exclusion}&\quad\quad \text {Exclusion}
\end{array}$

c. $\begin{array}{llcc}
\quad\quad \text {Credit}& \quad\quad\quad\text {Exclusion}
\end{array}$

d. $\begin{array}{llcc}
 \quad\text {Exclusion}&\quad\quad\quad \text {Credit}
\end{array}$

Accepted Answer

The answer of 1111111111111111111
-Taxpayers are allowed two tax breaks for...

Question 3

Brad works at the local pizza shop as a delivery person.He is hoping to change to a position in the kitchen and takes a culinary course at the local community college for $1,400.Assuming he is eligible, Brad's lifetime learning credit is:

Accepted Answer

The answer of Brad works at the local pizza shop...

Question 4

Clark maintains a household for himself and his two dependent preschool children and files as head of household.For the year ended December 31, 2018, Clark earned a salary of $62,000.He paid $3,600 to a housekeeper to care for his children in his home, and also paid $1,500 to a kiddie play camp for child care.He had no other income or expenses during 2018.His tax liability before any credits is $5,011.How much can Clark claim as a child and dependent care credit, child tax credit, and additional child tax credit in 2018?

Accepted Answer

Clark's child and dependent credit is $1

Question 5

All taxpayers are required to have minimum essential health coverage.

Accepted Answer

A) True 
 B)False

Question 6

In 2018, Alex has income from wages of $16,000, adjusted gross income of $18,000, and tax liability of $300 before the earned income credit.What is the amount of Alex's earned income credit for 2018, assuming he is single and his 5-year-old dependent son lives with him for the full year?

Accepted Answer

A) $0 
B) $2,000 
C) $3,461 
D) $373 
E) None of the above 
A) $0 
B) $2,000 
C) $3,461 
D) $373 
E) None of the above

Question 7

Jim has foreign income.He earns $26,000 from Country A which taxes the income at a 20 percent rate.He also has income from Country B of $18,000.Country B taxes the $18,000 at a 10 percent rate.His US taxable income is $90,000, which includes the foreign income.His US income tax on all sources of income before credits is $19,000.What is his foreign tax credit?

Accepted Answer

A) $6,500 
B) $7,000 
C) $9,289 
D) $19,000 
E) Jim does not qualify for a foreign tax credit. 
A) $6,500 
B) $7,000 
C) $9,289 
D) $19,000 
E) Jim does not qualify for a foreign tax credit.

Question 8

The American Opportunity tax credit

Accepted Answer

A) Is 50 percent of the first $1,200 of tuition and fees paid and 100 percent of the next $1,200. 
B) Is available for 2 years of post-secondary education. 
C) Is fully refundable even if the credit exceeds the tax liability. 
D) Is available for qualifying expenses paid on behalf of the taxpayer and his or her spouse, in addition to those paid for dependents. 
A) Is 50 percent of the first $1,200 of tuition and fees paid and 100 percent of the next $1,200. 
B) Is available for 2 years of post-secondary education. 
C) Is fully refundable even if the credit exceeds the tax liability. 
D) Is available for qualifying expenses paid on behalf of the taxpayer and his or her spouse, in addition to those paid for dependents.

Question 9

The child tax credit is not available for children ages 17 and older.

Accepted Answer

A) True 
 B)False

Question 10

Taxpayers are required to wait until they file their tax return to receive the premium tax credit.

Accepted Answer

A) True 
 B)False

Question 11

The child tax credit is $2,000 per qualifying child unless it is phased out due to higher levels of parental income.

Accepted Answer

A) True 
 B)False

Question 12

Household income for purpose of the individual shared responsibility payment includes all of the following except:

Accepted Answer

A) AGI of the taxpayer 
B) AGI of the taxpayer's dependents if required to file a tax return 
C) Any tax-exempt income 
D) Nontaxable Social Security benefits 
E) All of the above are included in household income 
A) AGI of the taxpayer 
B) AGI of the taxpayer's dependents if required to file a tax return 
C) Any tax-exempt income 
D) Nontaxable Social Security benefits 
E) All of the above are included in household income

Question 13

In the case of the adoption of a child who is not a US citizen or resident of the United States, the credit for qualified adoption expenses is available:

Accepted Answer

A) In the first year the expenses are paid. 
B) Each year expenses are paid. 
C) In the last year expenses are paid. 
D) In the year the adoption becomes final. 
A) In the first year the expenses are paid. 
B) Each year expenses are paid. 
C) In the last year expenses are paid. 
D) In the year the adoption becomes final.

Question 14

Hal is enrolled for one class at a local community college; tuition cost him $190.Hal's AGI is $20,000.Before considering a limitation due to tax liability, Hal can take a lifetime learning credit of:

Accepted Answer

A) $0 
B) $38 
C) $100 
D) $190 
E) $250 
A) $0 
B) $38 
C) $100 
D) $190 
E) $250

Question 15

Martin and Rachel are married and have a 3-year-old child.Martin is going to medical school full-time for 12 months of the year and Rachel earns $45,000.Their child is in day care so Martin can go to school while Rachel is at work.The cost of their day care is $10,000.What is their child and dependent care credit? Please show your calculations and explain.

Accepted Answer

$600.Martin is credited with $250 a mont

Question 16

Carla and Bob finalized an adoption in 2018.Their adoption fees totaled $9,500.They have AGI of $213,140 for 2018.What is their adoption credit?

Accepted Answer

A) $8,075 
B) $8,550 
C) $9,500 
D) $13,810 
A) $8,075 
B) $8,550 
C) $9,500 
D) $13,810

Question 17

Which of the following tax credits is not available for the 2018 tax year?

Accepted Answer

A) Foreign tax credit 
B) Earned income credit 
C) Adoption credit 
D) Child and dependent care credit 
E) All of the above are available credits 
A) Foreign tax credit 
B) Earned income credit 
C) Adoption credit 
D) Child and dependent care credit 
E) All of the above are available credits

Question 18

The earned income credit:

Accepted Answer

A) Must be calculated on earned income as well as adjusted gross income in some cases. 
B) Cannot exceed the amount of the tax liability. 
C) Is available only if the taxpayer has qualifying children. 
D) Is available to married taxpayers who file separate returns. 
A) Must be calculated on earned income as well as adjusted gross income in some cases. 
B) Cannot exceed the amount of the tax liability. 
C) Is available only if the taxpayer has qualifying children. 
D) Is available to married taxpayers who file separate returns.

Question 19

Fletch and Cammie Gates are married with three dependent children and household income of $51,804 in 2018.The Gates purchased health care insurance on their state's exchange for total premiums of $6,800.A designated silver plan for their family in their state costs $9,700.Calculate the Gates' premium tax credit.

Accepted Answer

$6,800.$51,804/$28,780 = 180% of the fed

Question 20

An individual may claim both a credit and an exclusion from income in connection with the adoption of an eligible child, but may not claim both a credit and an exclusion for the same expense.

Accepted Answer

A) True 
 B)False

Margo and her spouse have health insurance for the entire year through the state health care exchange.Margo will need to pay her spouse's individual shared responsibility.

1111111111111111111 -Taxpayers are allowed two tax breaks for adoption expenses.They are allowed:Qualified Expenses Paid personally Paid by employer a. Credit Credit b. Exclusion Exclusion c. Credit Exclusion d. Exclusion Credit

Brad works at the local pizza shop as a delivery person.He is hoping to change to a position in the kitchen and takes a culinary course at the local community college for $1,400.Assuming he is eligible, Brad's lifetime learning credit is:

All taxpayers are required to have minimum essential health coverage.

In 2018, Alex has income from wages of $16,000, adjusted gross income of $18,000, and tax liability of $300 before the earned income credit.What is the amount of Alex's earned income credit for 2018, assuming he is single and his 5-year-old dependent son lives with him for the full year?

The American Opportunity tax credit

The child tax credit is not available for children ages 17 and older.

Taxpayers are required to wait until they file their tax return to receive the premium tax credit.

The child tax credit is $2,000 per qualifying child unless it is phased out due to higher levels of parental income.

Household income for purpose of the individual shared responsibility payment includes all of the following except:

In the case of the adoption of a child who is not a US citizen or resident of the United States, the credit for qualified adoption expenses is available:

Hal is enrolled for one class at a local community college; tuition cost him $190.Hal's AGI is $20,000.Before considering a limitation due to tax liability, Hal can take a lifetime learning credit of:

Carla and Bob finalized an adoption in 2018.Their adoption fees totaled $9,500.They have AGI of $213,140 for 2018.What is their adoption credit?

Which of the following tax credits is not available for the 2018 tax year?

The earned income credit:

An individual may claim both a credit and an exclusion from income in connection with the adoption of an eligible child, but may not claim both a credit and an exclusion for the same expense.

The Individual Income Tax Return

Gross Income and Exclusions

Additional Income Part 1

Additional Income Part 2

Deductions and Adjustments to Income

Accounting Methods and Taxes

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 7: Tax Credits

Margo and her spouse have health insurance for the entire year through the state health care exchange.Margo will need to pay her spouse's individual shared responsibility.

1111111111111111111 -Taxpayers are allowed two tax breaks for adoption expenses.They are allowed:Qualified Expenses Paid personally Paid by employer a. Credit Credit b. Exclusion Exclusion c. Credit Exclusion d. Exclusion Credit

Brad works at the local pizza shop as a delivery person.He is hoping to change to a position in the kitchen and takes a culinary course at the local community college for $1,400.Assuming he is eligible, Brad's lifetime learning credit is:

All taxpayers are required to have minimum essential health coverage.

In 2018, Alex has income from wages of $16,000, adjusted gross income of $18,000, and tax liability of $300 before the earned income credit.What is the amount of Alex's earned income credit for 2018, assuming he is single and his 5-year-old dependent son lives with him for the full year?

The American Opportunity tax credit

The child tax credit is not available for children ages 17 and older.

Taxpayers are required to wait until they file their tax return to receive the premium tax credit.

The child tax credit is $2,000 per qualifying child unless it is phased out due to higher levels of parental income.

Household income for purpose of the individual shared responsibility payment includes all of the following except:

In the case of the adoption of a child who is not a US citizen or resident of the United States, the credit for qualified adoption expenses is available:

Hal is enrolled for one class at a local community college; tuition cost him $190.Hal's AGI is $20,000.Before considering a limitation due to tax liability, Hal can take a lifetime learning credit of:

Carla and Bob finalized an adoption in 2018.Their adoption fees totaled $9,500.They have AGI of $213,140 for 2018.What is their adoption credit?

Which of the following tax credits is not available for the 2018 tax year?

The earned income credit:

An individual may claim both a credit and an exclusion from income in connection with the adoption of an eligible child, but may not claim both a credit and an exclusion for the same expense.

The Individual Income Tax Return

Gross Income and Exclusions

Additional Income Part 1

Additional Income Part 2

Deductions and Adjustments to Income

Accounting Methods and Taxes

Depreciation and Sale of Business Property

Payroll, Estimated Payments, and Retirement Plans

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters