Question 1

The retirement savings contributions credit is available for head of household taxpayers only.

Accepted Answer

A) True 
 B)False

Question 2

George is a single father who has 2 qualifying children.His AGI is $22,000.How much is his EIC use the EIC formula)? Round your answer to the nearest dollar.)

Accepted Answer

A) $4,770. 
B) $4,633. 
C) $5,572. 
D) $3,373. 
A) $4,770. 
B) $4,633. 
C) $5,572. 
D) $3,373.

Question 3

The maximum amount per year of dependent care expenses that can be used for calculating the credit for child and dependent care expenses is $3,000 for one qualifying individual.

Accepted Answer

A) True 
 B)False

Question 4

Kylie is a single mom with two dependent children,Tanner,age 7 and Olivia,age 11.She has AGI of $38,000 and paid $5,300 to a qualified day care center for the two children.What amount of credit can Kylie receive for the child and dependent care credit?

Accepted Answer

A) $5,300. 
B) $600. 
C) $1,200. 
D) $1,219. 
A) $5,300. 
B) $600. 
C) $1,200. 
D) $1,219.

Question 5

Lupe paid the following expenses during December 2016 for her son David's spring 2017 college expenses.The semester begins in February 2017. Tuition $ 16,000
Housing 6,000
Meal plan 2,500
In addition,David's grandfather paid $500 in fees on behalf of David directly to the college.David is claimed as a dependent on Lupe's tax return.How much of the above expenses qualify for purposes of Lupe's education credit deduction in 2016?

Accepted Answer

A) $16,500. 
B) $16,000. 
C) $8,500. 
D) $24,500. 
A) $16,500. 
B) $16,000. 
C) $8,500. 
D) $24,500.

Question 6

In the case of the adoption credit,what special rules apply when adopting a child who is a citizen of another country?

Accepted Answer

If the child is not a U.S.citizen or res

Question 7

The maximum allowable lifetime learning credit per year is $2,000 per student.

Accepted Answer

A) True 
 B)False

Question 8

Kim paid the following expenses during November 2016 for her son Joshua's spring 2016 expenses,which begins in January 2016: Tuition $ 14,000
Housing 8,000
Meal plan 2,500
In addition,Kim's sister paid $800 for college fees on behalf of Joshua directly to the college.Joshua is claimed as Kim's dependent on her tax return.How much of the paid expenses qualify for purposes of the education credit deduction for Kim in 2016?

Accepted Answer

A) $28,500. 
B) $24,000. 
C) $14,800. 
D) $8,000. 
A) $28,500. 
B) $24,000. 
C) $14,800. 
D) $8,000.

Question 9

Which of the following is a refundable credit?

Accepted Answer

A) Lifetime learning credit. 
B) Child and dependent care expenses credit. 
C) Earned income credit EI
C) . 
D) Foreign tax credit FT
C) . 
A) Lifetime learning credit. 
B) Child and dependent care expenses credit. 
C) Earned income credit EI
C) . 
D) Foreign tax credit FT
C) .

Question 10

Brendan paid $950 to Brazil in foreign income taxes.His total income was $52,500,which included $12,000 of investment income from Brazil.His U.S.tax liability is $8,000.Brendan's foreign tax credit is:

Accepted Answer

A) $0. 
B) $12,000. 
C) $950. 
D) $1,829. 
A) $0. 
B) $12,000. 
C) $950. 
D) $1,829.

Question 11

Guillermo and Felicia are married,file a joint return,and have one dependent child; Hannah,age 6.Guillermo has earned income of $38,000.Felicia was a full-time student for 8 months)with no income.They paid a qualified day care center $4,800.What is the amount of their child and dependent care credit for the year?

Accepted Answer

A) $4,800. 
B) $460. 
C) $600. 
D) $0. 
A) $4,800. 
B) $460. 
C) $600. 
D) $0.

Question 12

Julia and Omar are married and file a joint tax return.They have two dependent daughters,ages 14 and 18.If their AGI is $98,000,what amount of child tax credit can they claim?

Accepted Answer

A) $1,000. 
B) $2,000. 
C) $1,650. 
D) $0. 
A) $1,000. 
B) $2,000. 
C) $1,650. 
D) $0.

Question 13

Patricia is single and her son Quinn is age 11.If her AGI is $77,000,what amount of child tax credit can she claim?

Accepted Answer

A) $900. 
B) $1,000. 
C) $0. 
D) $400. 
A) $900. 
B) $1,000. 
C) $0. 
D) $400.

Question 14

Which of the following statements is not true with regard to the child and dependent care expense credit?

Accepted Answer

A) A non-working spouse attending school full-time is deemed to have earned income of $250 per month for one qualifying person. 
B) Married taxpayers must file joint returns. 
C) The maximum amount of expenses for two or more dependents is $6,000. 
D) The maximum amount of expenses for one dependent is $3,000. 
A) A non-working spouse attending school full-time is deemed to have earned income of $250 per month for one qualifying person. 
B) Married taxpayers must file joint returns. 
C) The maximum amount of expenses for two or more dependents is $6,000. 
D) The maximum amount of expenses for one dependent is $3,000.

Question 15

Kobe is a single dad with two dependent children,Lizzie,age 7 and Leslie,age 3.He has AGI of $51,000 and paid $3,700 to a qualified day care center.What amount of credit can Kobe receive for the child and dependent care credit?

Accepted Answer

A) $10,200. 
B) $0. 
C) $740. 
D) $3,700. 
A) $10,200. 
B) $0. 
C) $740. 
D) $3,700.

Question 16

Arturo and Deena are married with two dependents.They enrolled in a qualified plan through the Marketplace at a cost of $2,700 per year.Their household income was $31,000.Their SLCSP premium is $3,600.What is their premium tax credit?

Accepted Answer

A) $620. 
B) $2,980. 
C) $2,700. 
D) $3,600. 
A) $620. 
B) $2,980. 
C) $2,700. 
D) $3,600.

Question 17

The American opportunity tax credit phases out beginning at $80,000 of modified AGI for single taxpayers.

Accepted Answer

A) True 
 B)False

Question 18

After years of working with the orphanage and the government,Walt and Kim adopted a little girl from China.The adoption process,which became final in January 2016,incurred the following qualified adoption expenses.What amount of adoption credit can Walt and Kim claim and in what year? Assume there is no credit limitation due to their AGI amount. 2015 $ 12,500
2016 2,800

Accepted Answer

A) $15,300 in 2016. 
B) $15,300 in 2015. 
C) $12,500 in 2015 and $2,800 in 2016. 
D) $13,460 in 2016. 
A) $15,300 in 2016. 
B) $15,300 in 2015. 
C) $12,500 in 2015 and $2,800 in 2016. 
D) $13,460 in 2016.

Question 19

Brian and Clara paid $4,350 in foreign income taxes to Mexico.Their total income was $105,000,which included $16,000 of foreign income.Their U.S.tax liability is $22,750.How much can Brian and Clara claim as foreign tax credit?

Accepted Answer

A) $4,350. 
B) $16,000. 
C) $0. 
D) $3,467. 
A) $4,350. 
B) $16,000. 
C) $0. 
D) $3,467.

Question 20

Taxpayers with household income between 100% and 400% of the Federal Poverty Level are generally eligible for a premium tax credit.

Accepted Answer

A) True 
 B)False

The retirement savings contributions credit is available for head of household taxpayers only.

George is a single father who has 2 qualifying children.His AGI is $22,000.How much is his EIC use the EIC formula)? Round your answer to the nearest dollar.)

The maximum amount per year of dependent care expenses that can be used for calculating the credit for child and dependent care expenses is $3,000 for one qualifying individual.

Kylie is a single mom with two dependent children,Tanner,age 7 and Olivia,age 11.She has AGI of $38,000 and paid $5,300 to a qualified day care center for the two children.What amount of credit can Kylie receive for the child and dependent care credit?

In the case of the adoption credit,what special rules apply when adopting a child who is a citizen of another country?

The maximum allowable lifetime learning credit per year is $2,000 per student.

Which of the following is a refundable credit?

Brendan paid $950 to Brazil in foreign income taxes.His total income was $52,500,which included $12,000 of investment income from Brazil.His U.S.tax liability is $8,000.Brendan's foreign tax credit is:

Julia and Omar are married and file a joint tax return.They have two dependent daughters,ages 14 and 18.If their AGI is $98,000,what amount of child tax credit can they claim?

Patricia is single and her son Quinn is age 11.If her AGI is $77,000,what amount of child tax credit can she claim?

Which of the following statements is not true with regard to the child and dependent care expense credit?

Kobe is a single dad with two dependent children,Lizzie,age 7 and Leslie,age 3.He has AGI of $51,000 and paid $3,700 to a qualified day care center.What amount of credit can Kobe receive for the child and dependent care credit?

Arturo and Deena are married with two dependents.They enrolled in a qualified plan through the Marketplace at a cost of $2,700 per year.Their household income was $31,000.Their SLCSP premium is $3,600.What is their premium tax credit?

The American opportunity tax credit phases out beginning at $80,000 of modified AGI for single taxpayers.

Brian and Clara paid $4,350 in foreign income taxes to Mexico.Their total income was $105,000,which included $16,000 of foreign income.Their U.S.tax liability is $22,750.How much can Brian and Clara claim as foreign tax credit?

Taxpayers with household income between 100% and 400% of the Federal Poverty Level are generally eligible for a premium tax credit.

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

Payroll Taxes

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

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

Partnership Taxation

Corporate Taxation

Filters

Exam 9: Tax Credits Form 1040, lines 46 Through 54 and Lines 66a Through 73

The retirement savings contributions credit is available for head of household taxpayers only.

George is a single father who has 2 qualifying children.His AGI is $22,000.How much is his EIC use the EIC formula)? Round your answer to the nearest dollar.)

The maximum amount per year of dependent care expenses that can be used for calculating the credit for child and dependent care expenses is $3,000 for one qualifying individual.

Kylie is a single mom with two dependent children,Tanner,age 7 and Olivia,age 11.She has AGI of $38,000 and paid $5,300 to a qualified day care center for the two children.What amount of credit can Kylie receive for the child and dependent care credit?

In the case of the adoption credit,what special rules apply when adopting a child who is a citizen of another country?

The maximum allowable lifetime learning credit per year is $2,000 per student.

Which of the following is a refundable credit?

Brendan paid $950 to Brazil in foreign income taxes.His total income was $52,500,which included $12,000 of investment income from Brazil.His U.S.tax liability is $8,000.Brendan's foreign tax credit is:

Julia and Omar are married and file a joint tax return.They have two dependent daughters,ages 14 and 18.If their AGI is $98,000,what amount of child tax credit can they claim?

Patricia is single and her son Quinn is age 11.If her AGI is $77,000,what amount of child tax credit can she claim?

Which of the following statements is not true with regard to the child and dependent care expense credit?

Kobe is a single dad with two dependent children,Lizzie,age 7 and Leslie,age 3.He has AGI of $51,000 and paid $3,700 to a qualified day care center.What amount of credit can Kobe receive for the child and dependent care credit?

Arturo and Deena are married with two dependents.They enrolled in a qualified plan through the Marketplace at a cost of $2,700 per year.Their household income was $31,000.Their SLCSP premium is $3,600.What is their premium tax credit?

The American opportunity tax credit phases out beginning at $80,000 of modified AGI for single taxpayers.

Brian and Clara paid $4,350 in foreign income taxes to Mexico.Their total income was $105,000,which included $16,000 of foreign income.Their U.S.tax liability is $22,750.How much can Brian and Clara claim as foreign tax credit?

Taxpayers with household income between 100% and 400% of the Federal Poverty Level are generally eligible for a premium tax credit.

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

Payroll Taxes

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

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

Partnership Taxation

Corporate Taxation

Filters