IRS ENROLLED AGENT (EA) – PRACTICE QUESTIONS AND CORRECT
ANSWERS (VERIFIED ANSWERS) PLUS RATIONALES 2026 Q&A | INSTANT
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*Core Domains*
*• Individuals (Form 1040)*
*• Businesses (Form 1120)*
*• Partnerships (Form 1065)*
*• Representation, Practice, and Procedures*
*• Circular 230 Ethical Standards*
*• Estate and Gift Tax Rules*
*• Retirement Plans and Pensions*
*• Tax Credits and Deductions*
*• Filing Status and Exemptions*
*• Property Transactions*
*Introduction*
*This comprehensive assessment is designed to mirror the rigor and scope
SECTION ONE: QUESTIONS 1–100
, 1. Which of the following taxpayers must use the "Married Filing Separately" or
"Married Filing Jointly" status?
A. A taxpayer who is legally separated under a decree of divorce.
B. A taxpayer whose spouse died three years ago and who has a dependent child.
🟢 C. A taxpayer who is still legally married but lived apart from their spouse for the
last 4 months of the year and does not have children.
D. A taxpayer who qualifies as Head of Household.
🔴 RATIONALE: To file as Head of Household while married, a taxpayer must live
apart from their spouse for the last 6 months of the year and maintain a household for
a qualifying child. Since this taxpayer only lived apart for 4 months and has no
children, they must file using a married status.
2. Under Circular 230, what is the requirement for an Enrolled Agent regarding a
client's omission on a previous year's tax return?
A. The EA must immediately notify the IRS of the error.
🟢 B. The EA must advise the client promptly of the noncompliance and the
consequences.
C. The EA must refuse to perform any further work for the client until the error is
,corrected.
D. The EA must file an amended return on behalf of the client immediately.
🔴 RATIONALE: Section 10.21 of Circular 230 requires a practitioner who knows of a
client's noncompliance, error, or omission to advise the client promptly of the fact and
the consequences under the Code and regulations.
3. For the current tax year, a single taxpayer has an AGI of $100,000. They donate
$10,000 in cash to a qualified public charity and $50,000 in appreciated long-
term capital gain stock to a private non-operating foundation. What is the
maximum deduction allowed for the stock donation this year?
A. $50,000
B. $30,000
🟢 C. $20,000
D. $10,000
🔴 RATIONALE: Contributions of appreciated long-term capital gain property to a
private non-operating foundation are generally limited to 20% of AGI. $100,000 x 20%
= $20,000.
, 4. A partnership is required to file its federal income tax return by which day of the
third month following the close of its tax year?
🟢 A. 15th day
B. 10th day
C. 20th day
D. Last day
🔴 RATIONALE: Form 1065 is due on the 15th day of the third month following the
close of the partnership's tax year (March 15 for calendar year partnerships).
5. Which of the following is NOT a requirement to claim the Earned Income Tax
Credit (EITC)?
A. The taxpayer must have earned income.
B. The taxpayer must have a valid Social Security Number.
🟢 C. The taxpayer must be at least 25 years old if they have no qualifying children.
D. The taxpayer's investment income must be below the annual threshold.
🔴 RATIONALE: While there were age requirements historically (25-64 for childless
adults), recent legislative changes and specific year criteria vary; however, the
ANSWERS (VERIFIED ANSWERS) PLUS RATIONALES 2026 Q&A | INSTANT
DOWNLOAD PDF.
*Core Domains*
*• Individuals (Form 1040)*
*• Businesses (Form 1120)*
*• Partnerships (Form 1065)*
*• Representation, Practice, and Procedures*
*• Circular 230 Ethical Standards*
*• Estate and Gift Tax Rules*
*• Retirement Plans and Pensions*
*• Tax Credits and Deductions*
*• Filing Status and Exemptions*
*• Property Transactions*
*Introduction*
*This comprehensive assessment is designed to mirror the rigor and scope
SECTION ONE: QUESTIONS 1–100
, 1. Which of the following taxpayers must use the "Married Filing Separately" or
"Married Filing Jointly" status?
A. A taxpayer who is legally separated under a decree of divorce.
B. A taxpayer whose spouse died three years ago and who has a dependent child.
🟢 C. A taxpayer who is still legally married but lived apart from their spouse for the
last 4 months of the year and does not have children.
D. A taxpayer who qualifies as Head of Household.
🔴 RATIONALE: To file as Head of Household while married, a taxpayer must live
apart from their spouse for the last 6 months of the year and maintain a household for
a qualifying child. Since this taxpayer only lived apart for 4 months and has no
children, they must file using a married status.
2. Under Circular 230, what is the requirement for an Enrolled Agent regarding a
client's omission on a previous year's tax return?
A. The EA must immediately notify the IRS of the error.
🟢 B. The EA must advise the client promptly of the noncompliance and the
consequences.
C. The EA must refuse to perform any further work for the client until the error is
,corrected.
D. The EA must file an amended return on behalf of the client immediately.
🔴 RATIONALE: Section 10.21 of Circular 230 requires a practitioner who knows of a
client's noncompliance, error, or omission to advise the client promptly of the fact and
the consequences under the Code and regulations.
3. For the current tax year, a single taxpayer has an AGI of $100,000. They donate
$10,000 in cash to a qualified public charity and $50,000 in appreciated long-
term capital gain stock to a private non-operating foundation. What is the
maximum deduction allowed for the stock donation this year?
A. $50,000
B. $30,000
🟢 C. $20,000
D. $10,000
🔴 RATIONALE: Contributions of appreciated long-term capital gain property to a
private non-operating foundation are generally limited to 20% of AGI. $100,000 x 20%
= $20,000.
, 4. A partnership is required to file its federal income tax return by which day of the
third month following the close of its tax year?
🟢 A. 15th day
B. 10th day
C. 20th day
D. Last day
🔴 RATIONALE: Form 1065 is due on the 15th day of the third month following the
close of the partnership's tax year (March 15 for calendar year partnerships).
5. Which of the following is NOT a requirement to claim the Earned Income Tax
Credit (EITC)?
A. The taxpayer must have earned income.
B. The taxpayer must have a valid Social Security Number.
🟢 C. The taxpayer must be at least 25 years old if they have no qualifying children.
D. The taxpayer's investment income must be below the annual threshold.
🔴 RATIONALE: While there were age requirements historically (25-64 for childless
adults), recent legislative changes and specific year criteria vary; however, the
