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Test bank for CCH Federal Taxation Comprehensive
Topics Exam ||Verified Exam!!! Most Recent Exam
2026 Actual Complete Real Exam Questions & Correct
Answers (Verified Answers) Already Graded
A+||Newest Exam!!!
Which of the following statements regarding Revenue
Rulings is correct? - Answers-Revenue Rulings present
administrative interpretations of tax law.
Which relative does not have to live in the same
household as the taxpayer claiming head of household
filing status? - Answers-Father
Which of the following is considered to be net earnings
from self- employment: Winning lottery ticket, Capital
gains, Wages received by an employee, Interest income
from personal savings account, None of the above -
Answers-None of the above
A self-employed person is subject to the self-employment
tax if self- employment taxable income is at least: -
Answers-400
,2|Page
The primary distinction between deductions for AGI and
deductions from AGI is that the latter are primarily: -
Answers-nonbusiness deductions.
If no one person contributes more than half the support of
a dependent, the dependency benefits may never be
claimed by anyone. - Answers-FALSE
A taxpayer is allowed an additional standard deduction for
a dependent grandmother who is 70 years old. - Answers-
FALSE
Mr. Ivory does not have sufficient gross income to require
the filing of a tax return; however, he has $200 in income
tax withheld, so he should file a return in order to collect
his taxes withheld. - Answers-TRUE
What is the amount of self-employment tax that would be
paid by Andy for the year assuming he earned $123,300
while working as an employee of the University and
another $20,000 from a sales business he owns? -
Answers-1726.03
,3|Page
Taxpayers are allowed to take the larger of their itemized
deductions or the standard deduction. - Answers-TRUE
Mr. and Mrs. Twig are both under 65 years of age and
have no dependents. Their only income for the year was
his salary of $35,000. During the year they made only a
nominal amount of disbursements of the type that qualify
as itemized deductions. What is their standard deduction
on a 2019 joint return? - Answers-24400
Property taxes are a major source of revenue for the
federal government. - Answers-FALSE
When a transfer of wealth occurs upon a person's death
and the tax owed is levied on the recipient, it is called: -
Answers-inheritance tax.
A main source of revenues for most local governments is:
- Answers-property taxes.
The major source of federal tax revenue is: - Answers-
Individual income tax
, 4|Page
The rate of tax that a taxpayer pays on the last dollar of
income is known as: - Answers-the marginal tax rate.
A partnership is taxed as a separate entity. - Answers-
FALSE
The majority of dollars collected by the U.S. government
come by way of corporate taxation. - Answers-FALSE
The art of using existing tax laws to pay the least amount
of tax legally possible is known as: - Answers-tax
avoidance.
The authority of the U.S. government to raise revenue
through a federal income tax is derived from: - Answers-
The 16th Amendment to the Constitution
An accountant discovers an error on a client's returns. The
accountant must advise the client and the Internal
Revenue Service of the error. - Answers-FALSE
Which of the following is not permitted to "practice before
the IRS"? - Answers-Bookkeeping service
Test bank for CCH Federal Taxation Comprehensive
Topics Exam ||Verified Exam!!! Most Recent Exam
2026 Actual Complete Real Exam Questions & Correct
Answers (Verified Answers) Already Graded
A+||Newest Exam!!!
Which of the following statements regarding Revenue
Rulings is correct? - Answers-Revenue Rulings present
administrative interpretations of tax law.
Which relative does not have to live in the same
household as the taxpayer claiming head of household
filing status? - Answers-Father
Which of the following is considered to be net earnings
from self- employment: Winning lottery ticket, Capital
gains, Wages received by an employee, Interest income
from personal savings account, None of the above -
Answers-None of the above
A self-employed person is subject to the self-employment
tax if self- employment taxable income is at least: -
Answers-400
,2|Page
The primary distinction between deductions for AGI and
deductions from AGI is that the latter are primarily: -
Answers-nonbusiness deductions.
If no one person contributes more than half the support of
a dependent, the dependency benefits may never be
claimed by anyone. - Answers-FALSE
A taxpayer is allowed an additional standard deduction for
a dependent grandmother who is 70 years old. - Answers-
FALSE
Mr. Ivory does not have sufficient gross income to require
the filing of a tax return; however, he has $200 in income
tax withheld, so he should file a return in order to collect
his taxes withheld. - Answers-TRUE
What is the amount of self-employment tax that would be
paid by Andy for the year assuming he earned $123,300
while working as an employee of the University and
another $20,000 from a sales business he owns? -
Answers-1726.03
,3|Page
Taxpayers are allowed to take the larger of their itemized
deductions or the standard deduction. - Answers-TRUE
Mr. and Mrs. Twig are both under 65 years of age and
have no dependents. Their only income for the year was
his salary of $35,000. During the year they made only a
nominal amount of disbursements of the type that qualify
as itemized deductions. What is their standard deduction
on a 2019 joint return? - Answers-24400
Property taxes are a major source of revenue for the
federal government. - Answers-FALSE
When a transfer of wealth occurs upon a person's death
and the tax owed is levied on the recipient, it is called: -
Answers-inheritance tax.
A main source of revenues for most local governments is:
- Answers-property taxes.
The major source of federal tax revenue is: - Answers-
Individual income tax
, 4|Page
The rate of tax that a taxpayer pays on the last dollar of
income is known as: - Answers-the marginal tax rate.
A partnership is taxed as a separate entity. - Answers-
FALSE
The majority of dollars collected by the U.S. government
come by way of corporate taxation. - Answers-FALSE
The art of using existing tax laws to pay the least amount
of tax legally possible is known as: - Answers-tax
avoidance.
The authority of the U.S. government to raise revenue
through a federal income tax is derived from: - Answers-
The 16th Amendment to the Constitution
An accountant discovers an error on a client's returns. The
accountant must advise the client and the Internal
Revenue Service of the error. - Answers-FALSE
Which of the following is not permitted to "practice before
the IRS"? - Answers-Bookkeeping service
