FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 4: Individual Income Tax Overview, Dependents, and Filing Status

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 71

Multiple Choice

Review LaterAdd Note

Review Later

Jane is unmarried and has no children, but provides more than half of her mother's financial support. Jane's mother lives in an apartment across town and has a part-time job earning $5,000 a year. Which is the most advantageous filing status available to Jane?

A) Single.
B) Head of household.
C) Qualifying individual.
D) Surviving single.

E) A) and C)
F) C) and D)

Correct Answer

verified

Show Answer

Question 72

Essay

Review LaterAdd Note

Review Later

Doug and Lisa have determined that their tax liability on their joint return is $3,700. They have made prepayments of $1,000 and also are entitled to a $2,000 child tax credit. What is the amount of their tax refund or taxes due?

Correct Answer

verified

$700 taxes due ($3,7...

View Answer

Show Answer

Question 73

Essay

Review LaterAdd Note

Tom Suzuki's tax liability for the year is $2,450. He had $2,050 of federal income taxes withheld from his paycheck during the year by his employer and has $2,000 in tax credits. What are Tom's taxes due or tax refund for the year?

Jamison's gross tax liability is $7,255. Jamison had $2,450 of available credits and he had $4,050 of taxes withheld by his employer. What are Jamison's taxes due (or taxes refunded) with his tax return?

Taxpayers are allowed to deduct a specific amount for each of their dependents.

Eric and Josephine were married in Year 1. In Year 2, Eric dies. The couple did not have any children. Assuming Josephine does not remarry, she may file as a qualifying widow in Year 3.

Lydia and John Wickham filed jointly in Year 1. They divorced in Year 2.Late in Year 2, the IRS discovered that the Wickhamshad underpaid their Year 1 taxes by $2,000. Both Lydia and John worked in Year 1 and received equal income but John had $2,000 less tax withheld than Lydia did. Who is legally liable for the tax underpayment?

Joanna received $60,000 compensation from her employer, the value of her stock in ABC company appreciated by $5,000 during the year (but she did not sell any of the stock) , and she received $30,000 of life insurance proceeds from the death of her husband. What is the amount of Joanna's gross income from these items?

Which of the following types of income are not considered ordinary income?

Madison's gross tax liability is $11,900. Madison had $3,070 of tax credits available and she had $10,800 of taxes withheld by her employer. What are Madison's taxes due (or taxes refunded) with her tax return?