Question 1

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

Accepted Answer

A) Encouraging certain social goals such as contributions to charity. 
B) Encouraging certain economic goals such as a thriving business community. 
C) Encouraging smaller families. 
D) Raising revenue to operate the government. 
E) None of the above are goals of the tax law. 
A) Encouraging certain social goals such as contributions to charity. 
B) Encouraging certain economic goals such as a thriving business community. 
C) Encouraging smaller families. 
D) Raising revenue to operate the government. 
E) None of the above are goals of the tax law.

Question 2

What is the difference between the standard deduction and itemized deductions?

Accepted Answer

The standard deduction is a flat amount,

Question 3

Match the letter of the filing status to the taxpayers below. Items may be used more than once.
-The taxpayer is married,but her husband disappeared with a girlfriend while on vacation in March of the current year.The taxpayer has no dependents.

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 4

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 the above. 
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 the above.

Question 5

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2017.Compute his additional ACA Medicare tax on net investment income.

Accepted Answer

$2,280 = 3.8% x [the

Question 6

In which of the following situations is the taxpayer not required to file a 2017 income tax return?

Accepted Answer

A) When an individual has a current year income tax refund and would like to obtain it. 
B) When the taxpayer is a single 67-year-old with wages of $9,800. 
C) When the taxpayer is a 35-year-old head of household with wages of $16,800. 
D) When the taxpayer is a 69-year-old widow (spouse died 3 years ago)with wages of $16,500 and no dependents. 
E) When the taxpayers are a married couple with both spouses under 65 years old with wages of $23,000. 
A) When an individual has a current year income tax refund and would like to obtain it. 
B) When the taxpayer is a single 67-year-old with wages of $9,800. 
C) When the taxpayer is a 35-year-old head of household with wages of $16,800. 
D) When the taxpayer is a 69-year-old widow (spouse died 3 years ago)with wages of $16,500 and no dependents. 
E) When the taxpayers are a married couple with both spouses under 65 years old with wages of $23,000.

Question 7

How should a taxpayer decide whether to take the standard deduction or claim itemized deductions?

Accepted Answer

A taxpayer should claim the la

Question 8

Clay purchased Elm Corporation stock 20 years ago for $10,000.In the current year,he sells the stock for $29,000.What is Clay's gain or loss?

Accepted Answer

A) $19,000 long-term 
B) $19,000 short-term 
C) $19,000 ordinary 
D) $3,000,with the excess carried forward 
E) No gain or loss is recognized on this transaction 
A) $19,000 long-term 
B) $19,000 short-term 
C) $19,000 ordinary 
D) $3,000,with the excess carried forward 
E) No gain or loss is recognized on this transaction

Question 9

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 10

The maximum official individual income tax rate for 2017 is 39.6 percent,not including the Medicare surtax on net investment income.

Accepted Answer

A) True 
 B)False

Question 11

For 2017,personal and dependency exemptions are $4,100 each.

Accepted Answer

A) True 
 B)False

Question 12

List two general objectives of the tax code.

Accepted Answer

The tax code promote

Question 13

During the current tax year,Anita was entirely supported by her three sons,Dudley,Carlton,and Isidore,who provided support for her in the following percentages: ​
  Which of the children may be allowed to claim his mother as a dependent,assuming a multiple support agreement exists?

Accepted Answer

A) Dudley 
B) Dudley or Carlton 
C) Carlton or Isidore 
D) Dudley,Carlton,or Isidore 
E) None of the above 
A) Dudley 
B) Dudley or Carlton 
C) Carlton or Isidore 
D) Dudley,Carlton,or Isidore 
E) None of the above

Question 14

Steven,age 35 and single,is a commodities broker.His salary for 2017 is $111,500 and he has taxable interest income of $40,000.He has no deductions for adjusted gross income.His itemized deductions are $31,000.Steven does not have any dependents.
a.What is the amount of his adjusted gross income?
b.What are his allowable itemized deductions?
c.What is his deduction for personal exemptions?
d.What is his taxable income?
e.What is his regular tax liability from the tax rate schedules?

Accepted Answer

The answer of Steven,age 35 and single,is a commodities broker.His...

Question 15

Ronald is 92 years old and in poor health.Clever investing earlier in his life has left him with a sizeable income.He is able to support his son Ed.Ed is 67 years old and a bit "confused," so he lives in a nursing home.Ed's income is less than $2,000.How many exemptions should Ronald claim on his tax return?

Accepted Answer

A) 1 
B) 2 
C) 3 
D) 4 
E) None of the above 
A) 1 
B) 2 
C) 3 
D) 4 
E) None of the above

Question 16

Determine from the tax table or the tax rate schedule,whichever is appropriate,the amount of the income tax for each of the following taxpayers for 2017.

Accepted Answer

Macintosh,$4,885 (tax table)
Hindmarsh,$

Question 17

Taxpayers who do not qualify for married,head of household,or qualifying widow or widower filing status must file as single.

Accepted Answer

A) True 
 B)False

Question 18

Brian is 60 years old,single and legally blind.Brian supports his father,who is 88 years old and blind,by paying the rent and other costs of his father's residence.What is the total standard deduction amount that Brian should claim on his 2017 tax return?

Accepted Answer

A) $9,350 
B) $10,600 
C) $10,900 
D) $13,250 
E) None of the above 
A) $9,350 
B) $10,600 
C) $10,900 
D) $13,250 
E) None of the above

Question 19

A taxpayer with self-employment income of $600 must file a tax return.

Accepted Answer

A) True 
 B)False

Question 20

Kenzie is a research scientist in Tallahassee,Florida.Her husband Gary stays home to take care of their two young children.Kenzie's total wages for 2017 were $60,500 from which $5,900 of federal income tax was withheld.
​
Calculate the income tax due or income tax refund on Kenzie and Gary's 2017 individual income tax return.Use the tax formula for individuals and show your work.

Accepted Answer

The answer of Kenzie is a research scientist in Tallahassee,Florida.Her...

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

What is the difference between the standard deduction and itemized deductions?

Match the letter of the filing status to the taxpayers below. Items may be used more than once. -The taxpayer is married,but her husband disappeared with a girlfriend while on vacation in March of the current year.The taxpayer has no dependents.

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

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2017.Compute his additional ACA Medicare tax on net investment income.

In which of the following situations is the taxpayer not required to file a 2017 income tax return?

How should a taxpayer decide whether to take the standard deduction or claim itemized deductions?

Clay purchased Elm Corporation stock 20 years ago for $10,000.In the current year,he sells the stock for $29,000.What is Clay's gain or loss?

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.

The maximum official individual income tax rate for 2017 is 39.6 percent,not including the Medicare surtax on net investment income.

For 2017,personal and dependency exemptions are $4,100 each.

List two general objectives of the tax code.

During the current tax year,Anita was entirely supported by her three sons,Dudley,Carlton,and Isidore,who provided support for her in the following percentages: Which of the children may be allowed to claim his mother as a dependent,assuming a multiple support agreement exists?

Determine from the tax table or the tax rate schedule,whichever is appropriate,the amount of the income tax for each of the following taxpayers for 2017.

Taxpayers who do not qualify for married,head of household,or qualifying widow or widower filing status must file as single.

Brian is 60 years old,single and legally blind.Brian supports his father,who is 88 years old and blind,by paying the rent and other costs of his father's residence.What is the total standard deduction amount that Brian should claim on his 2017 tax return?

A taxpayer with self-employment income of $600 must file a tax return.

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

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

What is the difference between the standard deduction and itemized deductions?

Match the letter of the filing status to the taxpayers below. Items may be used more than once. -The taxpayer is married,but her husband disappeared with a girlfriend while on vacation in March of the current year.The taxpayer has no dependents.

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

Gerald is single and earns $80,000 in dividend income and $180,000 in wage income in 2017.Compute his additional ACA Medicare tax on net investment income.

In which of the following situations is the taxpayer not required to file a 2017 income tax return?

How should a taxpayer decide whether to take the standard deduction or claim itemized deductions?

Clay purchased Elm Corporation stock 20 years ago for $10,000.In the current year,he sells the stock for $29,000.What is Clay's gain or loss?

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.

The maximum official individual income tax rate for 2017 is 39.6 percent,not including the Medicare surtax on net investment income.

For 2017,personal and dependency exemptions are $4,100 each.

List two general objectives of the tax code.

During the current tax year,Anita was entirely supported by her three sons,Dudley,Carlton,and Isidore,who provided support for her in the following percentages: ​ Which of the children may be allowed to claim his mother as a dependent,assuming a multiple support agreement exists?

Determine from the tax table or the tax rate schedule,whichever is appropriate,the amount of the income tax for each of the following taxpayers for 2017.

Taxpayers who do not qualify for married,head of household,or qualifying widow or widower filing status must file as single.

Brian is 60 years old,single and legally blind.Brian supports his father,who is 88 years old and blind,by paying the rent and other costs of his father's residence.What is the total standard deduction amount that Brian should claim on his 2017 tax return?

A taxpayer with self-employment income of $600 must file a tax return.

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

During the current tax year,Anita was entirely supported by her three sons,Dudley,Carlton,and Isidore,who provided support for her in the following percentages: Which of the children may be allowed to claim his mother as a dependent,assuming a multiple support agreement exists?