Question 1

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2014. Compute his additional ACA Medicare surtax on net investment income.

Accepted Answer

$2,280 = 3.8% x [the

Question 2

Karl's father, Vronsky, is a 60-year-old Russian citizen who lived in Russia for the full year. Karl supported Vronsky while he looked for work. Vronsky had no income. Can Karl claim Vronsky as a dependent?

Accepted Answer

Vronsky can not be c

Question 3

Taxpayers who are blind get the benefit of:

Accepted Answer

A) An extra exemption. 
B) An additional amount added to their standard deduction. 
C) Two standard deductions. 
D) None of the above. 
A) An extra exemption. 
B) An additional amount added to their standard deduction. 
C) Two standard deductions. 
D) None of the above.

Question 4

If an unmarried taxpayer paid more than half the cost of keeping a home which is the principal place of residence of a nephew, who is not her dependent, she may use the head of household filing status.

Accepted Answer

A) True 
 B)False

Question 5

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 2014?

Accepted Answer

A) $1,200 
B) $1,000 
C) $3,950 
D) $6,200 
E) None of the above 
A) $1,200 
B) $1,000 
C) $3,950 
D) $6,200 
E) None of the above

Question 6

Partnerships:

Accepted Answer

A) Are not taxable entities. 
B) Are taxed in the same manner as individuals. 
C) File tax returns on Form 1120. 
D) File tax returns on Form 1041. 
A) Are not taxable entities. 
B) Are taxed in the same manner as individuals. 
C) File tax returns on Form 1120. 
D) File tax returns on Form 1041.

Question 7

George, age 67, and Linda, age 60, are married taxpayers with three dependent children. Their adjusted gross income for the 2014 tax year is $142,000. They have itemized deductions of $24,000. Determine the following for their joint tax return for 2014:
a.The number of exemptions
b.Exemption deduction amount
c.The greater of the amount of their standard deduction or their itemized deductions
d.Taxable income

Accepted Answer

The answer of George, age 67, and Linda, age 60,...

Question 8

List two general objectives of the tax code.

Accepted Answer

The tax code promote

Question 9

Mark each of the following as a taxable entity, a reporting entity, or both:
a. Individuals
b. Corporations
c. Partnerships

Accepted Answer

a. Taxable and repor

Question 10

Bob owns a rental property that he bought several years ago for $260,000. He has taken depreciation on the house of $35,000 since buying it. He sells it in 2014 for $290,000. His selling expenses were $12,000 for the year. What was Bob's realized gain on the sale?

Accepted Answer

A) $18,000 
B) $53,000 
C) $65,000 
D) $77,000 
E) None of the above 
A) $18,000 
B) $53,000 
C) $65,000 
D) $77,000 
E) None of the above

Question 11

Which of the following is correct?

Accepted Answer

A) An individual is a reporting entity but not a taxable entity. 
B) A partnership is a taxable entity and a reporting entity. 
C) A corporation is a reporting entity but not a taxable entity. 
D) A partnership is a reporting entity but not a taxable entity. 
A) An individual is a reporting entity but not a taxable entity. 
B) A partnership is a taxable entity and a reporting entity. 
C) A corporation is a reporting entity but not a taxable entity. 
D) A partnership is a reporting entity but not a taxable entity.

Question 12

Amended individual returns are filed on:

Accepted Answer

A) Form 1040X 
B) Form 1120S 
C) Form 1041 
D) Form 1040Amend 
A) Form 1040X 
B) Form 1120S 
C) Form 1041 
D) Form 1040Amend

Question 13

Calculate the amount of the standard deduction the taxpayers should claim on their 2014 income tax returns.

Accepted Answer

a. $12,400
b. $6,200
c. $12,40

Question 14

A married person with a dependent child may choose to file as head of household if it reduces his or her tax liability.

Accepted Answer

A) True 
 B)False

Question 15

Oscar and Mary have no dependents and file a joint income tax return for 2014. They have adjusted gross income of $140,000 and itemized deductions of $30,000. What is the amount of taxable income that Oscar and Mary must report on their 2014 income tax return?

Accepted Answer

A) $97,600 
B) $102,100 
C) $105,200 
D) $110,000 
E) $127,600 
A) $97,600 
B) $102,100 
C) $105,200 
D) $110,000 
E) $127,600

Question 16

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 17

A taxpayer who is living alone and is legally separated from his or her spouse under a separate maintenance decree at year-end should file as single.

Accepted Answer

A) True 
 B)False

Question 18

Match the letter of the filing status to the taxpayers below. Items may be used more than once.
-The taxpayer who is unmarried legally adopted a child who lives with her.

Accepted Answer

A) Single 
B) Married, filing a joint return 
C) Married, filing separate returns 
D) Head of household 
E) Qualifying widow(er)
F)Married, filing joint or married, filing separate 
A) Single 
B) Married, filing a joint return 
C) Married, filing separate returns 
D) Head of household 
E) Qualifying widow(er)
F)Married, filing joint or married, filing separate

Question 19

Albert and Louise, ages 66 and 64, respectively, filed a joint return for 2014. They provided all of the support for their blind 19 year-old son, who had no gross income. They also provided the total support of Louise's father, who is a citizen and life-long resident of Peru. How many exemptions may they claim on their 2014 tax return?

Accepted Answer

A) 2 
B) 3 
C) 4 
D) 5 
E) None of the above 
A) 2 
B) 3 
C) 4 
D) 5 
E) None of the above

Question 20

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

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2014. Compute his additional ACA Medicare surtax on net investment income.

Karl's father, Vronsky, is a 60-year-old Russian citizen who lived in Russia for the full year. Karl supported Vronsky while he looked for work. Vronsky had no income. Can Karl claim Vronsky as a dependent?

Taxpayers who are blind get the benefit of:

If an unmarried taxpayer paid more than half the cost of keeping a home which is the principal place of residence of a nephew, who is not her dependent, she may use the head of household filing status.

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 2014?

Partnerships:

List two general objectives of the tax code.

Mark each of the following as a taxable entity, a reporting entity, or both: a. Individuals b. Corporations c. Partnerships

Bob owns a rental property that he bought several years ago for $260,000. He has taken depreciation on the house of $35,000 since buying it. He sells it in 2014 for $290,000. His selling expenses were $12,000 for the year. What was Bob's realized gain on the sale?

Which of the following is correct?

Amended individual returns are filed on:

Calculate the amount of the standard deduction the taxpayers should claim on their 2014 income tax returns.

A married person with a dependent child may choose to file as head of household if it reduces his or her tax liability.

Oscar and Mary have no dependents and file a joint income tax return for 2014. They have adjusted gross income of $140,000 and itemized deductions of $30,000. What is the amount of taxable income that Oscar and Mary must report on their 2014 income tax return?

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?

A taxpayer who is living alone and is legally separated from his or her spouse under a separate maintenance decree at year-end should file as single.

Match the letter of the filing status to the taxpayers below. Items may be used more than once. -The taxpayer who is unmarried legally adopted a child who lives with her.

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

Gross Income and Exclusions

Business Income and Expenses, Part I

Business Income and Expenses, Part II

Itemized Deductions and Other Incentives

Credits and Special Taxes

Accounting Periods and Methods and Depreciation

Capital Gains and Losses

Withholding, Estimated Payments, and Payroll Taxes

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters

Exam 1: The Individual Income Tax Return

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2014. Compute his additional ACA Medicare surtax on net investment income.

Karl's father, Vronsky, is a 60-year-old Russian citizen who lived in Russia for the full year. Karl supported Vronsky while he looked for work. Vronsky had no income. Can Karl claim Vronsky as a dependent?

Taxpayers who are blind get the benefit of:

If an unmarried taxpayer paid more than half the cost of keeping a home which is the principal place of residence of a nephew, who is not her dependent, she may use the head of household filing status.

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 2014?

Partnerships:

List two general objectives of the tax code.

Mark each of the following as a taxable entity, a reporting entity, or both: a. Individuals b. Corporations c. Partnerships

Bob owns a rental property that he bought several years ago for $260,000. He has taken depreciation on the house of $35,000 since buying it. He sells it in 2014 for $290,000. His selling expenses were $12,000 for the year. What was Bob's realized gain on the sale?

Which of the following is correct?

Amended individual returns are filed on:

Calculate the amount of the standard deduction the taxpayers should claim on their 2014 income tax returns.

A married person with a dependent child may choose to file as head of household if it reduces his or her tax liability.

Oscar and Mary have no dependents and file a joint income tax return for 2014. They have adjusted gross income of $140,000 and itemized deductions of $30,000. What is the amount of taxable income that Oscar and Mary must report on their 2014 income tax return?

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?

A taxpayer who is living alone and is legally separated from his or her spouse under a separate maintenance decree at year-end should file as single.

Match the letter of the filing status to the taxpayers below. Items may be used more than once. -The taxpayer who is unmarried legally adopted a child who lives with her.

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

Gross Income and Exclusions

Business Income and Expenses, Part I

Business Income and Expenses, Part II

Itemized Deductions and Other Incentives

Credits and Special Taxes

Accounting Periods and Methods and Depreciation

Capital Gains and Losses

Withholding, Estimated Payments, and Payroll Taxes

Partnership Taxation

The Corporate Income Tax

Tax Administration and Tax Planning

Filters