Question 1

In 2017, Ed is 66 and single.If he has itemized deductions of $7,400, he should not claim the standard deduction alternative.

Accepted Answer

A) True 
 B)False

Question 2

Under the Federal income tax formula for individuals, a choice must be made between claiming deductions for AGI and itemized deductions.

Accepted Answer

A) True 
 B)False

Question 3

Stealth taxes are directed at lower income taxpayers.

Accepted Answer

A) True 
 B)False

Question 4

For the year a spouse dies, the surviving spouse is considered married for the entire year for income tax purposes.

Accepted Answer

A) True 
 B)False

Question 5

Debby, age 18, is claimed as a dependent by her mother.During 2017, she earned $1,100 in interest income on a savings account.Debby's standard deduction is $1,450 ($1,100 + $350).

Accepted Answer

A) True 
 B)False

Question 6

Match the statements that relate to each other.Note: Some choices may be used more than once.
-Additional standard deduction

Accepted Answer

A)  Not available to 65-year old taxpayer who itemizes.
B)  Exception for U.S.citizenship or residency test (for dependency exemption purposes) .
C)  Largest basic standard deduction available to a dependent who has no earned income.
D)  Considered for dependency exemption purposes.
E)  Qualifies for head of household filing status.F) A child (age 15)  who is a dependent and has only earned income.G) Considered in applying gross income test (for dependency exemption purposes) .H) Not considered in applying the gross income test (for dependency exemption purposes) .I) Unmarried taxpayer who can use the same tax rates as married persons filing jointly.J) Exception to the support test (for dependency exemption purposes) .K) A child (age 16)  who is a dependent and has only unearned income of $4,500.L) No correct match provided.M) D) and I)
N) A) and B)

Question 7

Match the statements that relate to each other.
-Average income tax rate

Accepted Answer

A)  Available to a 70-year-old father claimed as a dependent by his son.
B)  Equal to tax liability divided by taxable income.
C)  The highest income tax rate applicable to a taxpayer.
D)  Not eligible for the standard deduction.
E)  No one qualified taxpayer meets the support test.F) Taxpayer's ex-husband does not qualify.G) A dependent child (age 18)  who has only unearned income.H) Highest applicable rate is 39.6%.I) Applicable rate could be as low as 0%.J) Maximum rate is 28%.K) Income from foreign sources is not subject to tax.L) No correct match provided.M) C) and L)
N) E) and I)

Question 8

In determining the filing requirement based on gross income received, both additional standard deductions (i.e., age and blindness) are taken into account.

Accepted Answer

A) True 
 B)False

Question 9

Once they reach age 65, many taxpayers will switch from itemizing their deductions from AGI and start claiming the standard deduction.

Accepted Answer

A) True 
 B)False

Question 10

The major advantage of being classified as an abandoned spouse is that the taxpayer is treated for tax purposes as being single and not married.This means that an abandoned spouse can use the more favorable tax rates available to single persons than those available to married persons filing separately.Comment on the accuracy of this conclusion.

Accepted Answer

The conclusion is incorrect.The classifi...

Question 11

Married taxpayers who file a joint return cannot later (i.e., after the filing due date) switch to separate returns for that year.

Accepted Answer

A) True 
 B)False

Question 12

Claude's deductions from AGI exceed the standard deduction allowed for the current year.Under these circumstances, Claude cannot claim the standard deduction.

Accepted Answer

A) True 
 B)False

Question 13

Emily, whose husband died in December 2016, maintains a household in which her dependent mother lives.Which (if any)  of the following is her filing status for the tax year 2017? (Note: Emily is the executor of her husband's estate.)

Accepted Answer

A)  Single
B)  Married, filing separately
C)  Surviving spouse
D)  Head of household
E)  Married, filing jointlyF) B) and E)
G) A) and B)

Exam 9: Individuals As the Taxpayers

In 2017, Ed is 66 and single.If he has itemized deductions of $7,400, he should not claim the standard deduction alternative.

Correct Answer
verified

Correct Answer
verified
The conclusion is incorrect.The classifi...
View Answer

Married taxpayers who file a joint return cannot later (i.e., after the filing due date) switch to separate returns for that year.

Correct Answer
verified

Match the statements that relate to each other.Note: Some choices may be used more than once. -Additional standard deduction

Correct Answer
verified

Match the statements that relate to each other. -Average income tax rate

Correct Answer
verified

Claude's deductions from AGI exceed the standard deduction allowed for the current year.Under these circumstances, Claude cannot claim the standard deduction.

Correct Answer
verified

In determining the filing requirement based on gross income received, both additional standard deductions (i.e., age and blindness) are taken into account.

Correct Answer
verified

Under the Federal income tax formula for individuals, a choice must be made between claiming deductions for AGI and itemized deductions.

Correct Answer
verified

Once they reach age 65, many taxpayers will switch from itemizing their deductions from AGI and start claiming the standard deduction.

Correct Answer
verified

Stealth taxes are directed at lower income taxpayers.

Correct Answer
verified

For the year a spouse dies, the surviving spouse is considered married for the entire year for income tax purposes.

Correct Answer
verified

Emily, whose husband died in December 2016, maintains a household in which her dependent mother lives.Which (if any) of the following is her filing status for the tax year 2017? (Note: Emily is the executor of her husband's estate.)

Correct Answer
verified

Debby, age 18, is claimed as a dependent by her mother.During 2017, she earned $1,100 in interest income on a savings account.Debby's standard deduction is $1,450 ($1,100 + $350).

Correct Answer
verified

Exam 9: Individuals As the Taxpayers

In 2017, Ed is 66 and single.If he has itemized deductions of $7,400, he should not claim the standard deduction alternative.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedThe conclusion is incorrect.The classifi...View AnswerShow Answer

Married taxpayers who file a joint return cannot later (i.e., after the filing due date) switch to separate returns for that year.

Correct AnswerverifiedShow Answer

Match the statements that relate to each other.Note: Some choices may be used more than once. -Additional standard deduction

Correct AnswerverifiedShow Answer

Match the statements that relate to each other. -Average income tax rate

Correct AnswerverifiedShow Answer

Claude's deductions from AGI exceed the standard deduction allowed for the current year.Under these circumstances, Claude cannot claim the standard deduction.

Correct AnswerverifiedShow Answer

In determining the filing requirement based on gross income received, both additional standard deductions (i.e., age and blindness) are taken into account.

Correct AnswerverifiedShow Answer

Under the Federal income tax formula for individuals, a choice must be made between claiming deductions for AGI and itemized deductions.

Correct AnswerverifiedShow Answer

Once they reach age 65, many taxpayers will switch from itemizing their deductions from AGI and start claiming the standard deduction.

Correct AnswerverifiedShow Answer

Stealth taxes are directed at lower income taxpayers.

Correct AnswerverifiedShow Answer

For the year a spouse dies, the surviving spouse is considered married for the entire year for income tax purposes.

Correct AnswerverifiedShow Answer

Emily, whose husband died in December 2016, maintains a household in which her dependent mother lives.Which (if any) of the following is her filing status for the tax year 2017? (Note: Emily is the executor of her husband's estate.)

Correct AnswerverifiedShow Answer

Debby, age 18, is claimed as a dependent by her mother.During 2017, she earned $1,100 in interest income on a savings account.Debby's standard deduction is $1,450 ($1,100 + $350).

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
The conclusion is incorrect.The classifi...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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