H&R Block Income Tax Course Exam
Questions & Answers | 100% Verified
solutions |Questions with Correct
Answers|| LATEST UPDATE 2026
Circular 230 -CORRECTANSWER Regulations governing the practice of attorneys,
certified public accountants, enrolled agents, enrolled actuaries, and appraisers before
the IRS.
Disclosure -CORRECTANSWER The release of tax information by an IRS employee.
Due Diligence -CORRECTANSWER Requirements that tax professionals must follow
when preparing income tax returns.
Noncompliance -CORRECTANSWER Failure or refusal to comply with the tax code.
Privilege -CORRECTANSWER Protection from being required to disclose confidential
communications between two parties, such as attorney and client.
Estimated Tax -CORRECTANSWER The amount of tax a taxpayer expects to owe for
the year after subtracting expected amounts withheld and certain refundable credits.
,Estimated Tax Voucher -CORRECTANSWER A statement by an individual of (1) the
amount of income tax he estimates he will incur during the current taxable year on
income that is not subject to withholding, (2) the excess amount over that withheld on
income which is subject to withholding, and (3) his estimated self-employment tax.
Exemption from Withholding -CORRECTANSWER Status claimed on Form W-4
directing the employer not to withhold federal income taxes from the employee.
Underpayment Penalty -CORRECTANSWER If a taxpayer did not pay enough tax on a
timely basis during the year, he may be required to pay an underpayment penalty.
Withholding Allowances -CORRECTANSWER An increase by which income tax
withholding on certain income is reduced.
Two Ways to Pay as You Go -CORRECTANSWER Withholding and Estimated Tax
Payments
Form W-4 -CORRECTANSWER Employee's Withholding Allowance Certificate
Form 8815 -CORRECTANSWER Exclusion of Interest From Series EE and I U.S.
Savings Bonds Issued After 1989
,Form 2210 -CORRECTANSWER Underpayment of Estimated Tax by Individuals,
Estates, and Trusts
Form 4868 -CORRECTANSWER Application for Automatic Extension of Time To File
U.S. Individual Income Tax Return
Form 8888 -CORRECTANSWER Allocation of Refund
Form 9465 -CORRECTANSWER Installment Agreement Request
Amended Return -CORRECTANSWER A tax return filed on Form 1040X after the
original return has been filed.
Closed Year -CORRECTANSWER A tax year for which the statute of limitations has
expired.
Open Year -CORRECTANSWER A taxable year for which the statute of limitations has
not yet expired.
Failure-to-File Penalty -CORRECTANSWER Generally 5% for each month or part of a
month the return is late, but not more than 25% of the tax not paid.
, Failure to File -CORRECTANSWER Taxpayer fails to file the return by the due date,
and there is a balance due.
Failure to Pay -CORRECTANSWER Taxpayer fails to pay the tax owed by the due
date.
Failure-to-Pay Penalty -CORRECTANSWER 0.5% of the unpaid taxes for each month
or part of a month after the due date, but not more than 25%.
Negligence or Intentional Disregard -CORRECTANSWER Taxpayer shows negligence
or disregard of the rules or regulations causing an underpayment.
Negligence-or-Intentional-Disregard Penalty -CORRECTANSWER 20% of the
underpayment.
Substantial Understatment -CORRECTANSWER Taxpayer understates their tax by the
larger of $5,000 or 10% of the correct tax.
Substantial-Understatement Penalty -CORRECTANSWER 20% of the underpayment.
Form 1040X -CORRECTANSWER Amended U.S. Individual Income Tax Return
Questions & Answers | 100% Verified
solutions |Questions with Correct
Answers|| LATEST UPDATE 2026
Circular 230 -CORRECTANSWER Regulations governing the practice of attorneys,
certified public accountants, enrolled agents, enrolled actuaries, and appraisers before
the IRS.
Disclosure -CORRECTANSWER The release of tax information by an IRS employee.
Due Diligence -CORRECTANSWER Requirements that tax professionals must follow
when preparing income tax returns.
Noncompliance -CORRECTANSWER Failure or refusal to comply with the tax code.
Privilege -CORRECTANSWER Protection from being required to disclose confidential
communications between two parties, such as attorney and client.
Estimated Tax -CORRECTANSWER The amount of tax a taxpayer expects to owe for
the year after subtracting expected amounts withheld and certain refundable credits.
,Estimated Tax Voucher -CORRECTANSWER A statement by an individual of (1) the
amount of income tax he estimates he will incur during the current taxable year on
income that is not subject to withholding, (2) the excess amount over that withheld on
income which is subject to withholding, and (3) his estimated self-employment tax.
Exemption from Withholding -CORRECTANSWER Status claimed on Form W-4
directing the employer not to withhold federal income taxes from the employee.
Underpayment Penalty -CORRECTANSWER If a taxpayer did not pay enough tax on a
timely basis during the year, he may be required to pay an underpayment penalty.
Withholding Allowances -CORRECTANSWER An increase by which income tax
withholding on certain income is reduced.
Two Ways to Pay as You Go -CORRECTANSWER Withholding and Estimated Tax
Payments
Form W-4 -CORRECTANSWER Employee's Withholding Allowance Certificate
Form 8815 -CORRECTANSWER Exclusion of Interest From Series EE and I U.S.
Savings Bonds Issued After 1989
,Form 2210 -CORRECTANSWER Underpayment of Estimated Tax by Individuals,
Estates, and Trusts
Form 4868 -CORRECTANSWER Application for Automatic Extension of Time To File
U.S. Individual Income Tax Return
Form 8888 -CORRECTANSWER Allocation of Refund
Form 9465 -CORRECTANSWER Installment Agreement Request
Amended Return -CORRECTANSWER A tax return filed on Form 1040X after the
original return has been filed.
Closed Year -CORRECTANSWER A tax year for which the statute of limitations has
expired.
Open Year -CORRECTANSWER A taxable year for which the statute of limitations has
not yet expired.
Failure-to-File Penalty -CORRECTANSWER Generally 5% for each month or part of a
month the return is late, but not more than 25% of the tax not paid.
, Failure to File -CORRECTANSWER Taxpayer fails to file the return by the due date,
and there is a balance due.
Failure to Pay -CORRECTANSWER Taxpayer fails to pay the tax owed by the due
date.
Failure-to-Pay Penalty -CORRECTANSWER 0.5% of the unpaid taxes for each month
or part of a month after the due date, but not more than 25%.
Negligence or Intentional Disregard -CORRECTANSWER Taxpayer shows negligence
or disregard of the rules or regulations causing an underpayment.
Negligence-or-Intentional-Disregard Penalty -CORRECTANSWER 20% of the
underpayment.
Substantial Understatment -CORRECTANSWER Taxpayer understates their tax by the
larger of $5,000 or 10% of the correct tax.
Substantial-Understatement Penalty -CORRECTANSWER 20% of the underpayment.
Form 1040X -CORRECTANSWER Amended U.S. Individual Income Tax Return
