ADVANCED EXAM VITA.FINAL TEST 2026\2027.
• Lydia's husband, Morgan, moved out of their home in February of 2021. Lydia has had no contact with
Morgan since he moved out. Lydia and Morgan are not legally separated.
• Lydia has one child, Mary, age 10. She will claim Mary as a dependent on her 2023 tax return.
• Lydia is 31 years old.
• Lydia earned $42,300 in wages and received $50 of interest. Lydia had lottery winnings of $2,000 reported on
Form W2-G.
• Lydia paid all the costs of keeping up her home. She provided over half of the support for Mary.
• They all are U.S. citizens and have valid social security numbers. They lived in the U.S. all year.
1. Lydia qualifies for Head of Household filing status.
True
• Lydia's husband, Morgan, moved out of their home in February of 2021. Lydia has had no contact with
Morgan since he moved out. Lydia and Morgan are not legally separated.
• Lydia has one child, Mary, age 10. She will claim Mary as a dependent on her 2023 tax return.
• Lydia is 31 years old.
• Lydia earned $42,300 in wages and received $50 of interest. Lydia had lottery winnings of $2,000 reported on
Form W2-G.
• Lydia paid all the costs of keeping up her home. She provided over half of the support for Mary.
• They all are U.S. citizens and have valid social security numbers. They lived in the U.S. all year.
2. Who qualifies to claim the earned income credit for Mary?
Lydia
• Scott and Barbara are married and want to file a joint return.
• Scott is a U.S. citizen and has a valid Social Security number. Barbara is a resident alien and has an ITIN. They
resided in the United States all year with their children.
,ADVANCED EXAM VITA.FINAL TEST 2026\2027.
• Scott and Barbara have two children, Maria, age 8, and Luis, age 16. Maria and Luis are U.S. citizens and have
valid Social Security numbers.
• Scott earned $22,000 in wages.
• Barbara earned $20,000 in wages.
• In order to work, the Gymses paid $2,000 to their son Luis to care for Maria after school.
• Scott and Barbara provided all of the support for their two children.
4. The maximum amount Scott and Barbara are eligible to claim for the Child Tax Credit is $2,000.
True
• Scott and Barbara are married and want to file a joint return.
• Scott is a U.S. citizen and has a valid Social Security number. Barbara is a resident alien and has an ITIN. They
resided in the United States all year with their children.
• Scott and Barbara have two children, Maria, age 8, and Luis, age 16. Maria and Luis are U.S. citizens and have
valid Social Security numbers.
• Scott earned $22,000 in wages.
• Barbara earned $20,000 in wages.
• In order to work, the Gymses paid $2,000 to their son Luis to care for Maria after school.
• Scott and Barbara provided all of the support for their two children.
5. Payments made to Luis can be claimed on Form 2441 as child and dependent care expenses.
False
• Rose Jones, age 57, is single.
• Rose earned wages of $52,000 and was enrolled the entire year in a high deductible health plan (HDHP) with
self-only coverage.
• During the year, Rose contributed $2,000 to her Health Savings Account (HSA) and her mother also contributed
$1,000 to Rose's HSA.
• Rose's Form W-2 shows $850 in Box 12 with code W. She has Form 5498-SA showing $3,850 in Box 2.
, ADVANCED EXAM VITA.FINAL TEST 2026\2027.
• Rose took a distribution from her HSA to pay her unreimbursed expenses:
o 8 visits to a physical therapist after her knee surgery $400
o unreimbursed doctor bills for $1,100
o prescription medicine $280
o replacement of a crown $1,500
o deep cleaning for teeth: $300
o over the counter medication $40
o gym membership $240
• Rose is a U.S. citizen with a valid Social Security number.
6. Rose cannot include her mother's contribution on Form 8889, Part 1.
False
• Rose Jones, age 57, is single.
• Rose earned wages of $52,000 and was enrolled the entire year in a high deductible health plan (HDHP) with
self-only coverage.
• During the year, Rose contributed $2,000 to her Health Savings Account (HSA) and her mother also contributed
$1,000 to Rose's HSA.
• Rose's Form W-2 shows $850 in Box 12 with code W. She has Form 5498-SA showing $3,850 in Box 2.
• Rose took a distribution from her HSA to pay her unreimbursed expenses:
o 8 visits to a physical therapist after her knee surgery $400
o unreimbursed doctor bills for $1,100
o prescription medicine $280
o replacement of a crown $1,500
o deep cleaning for teeth: $300
• Lydia's husband, Morgan, moved out of their home in February of 2021. Lydia has had no contact with
Morgan since he moved out. Lydia and Morgan are not legally separated.
• Lydia has one child, Mary, age 10. She will claim Mary as a dependent on her 2023 tax return.
• Lydia is 31 years old.
• Lydia earned $42,300 in wages and received $50 of interest. Lydia had lottery winnings of $2,000 reported on
Form W2-G.
• Lydia paid all the costs of keeping up her home. She provided over half of the support for Mary.
• They all are U.S. citizens and have valid social security numbers. They lived in the U.S. all year.
1. Lydia qualifies for Head of Household filing status.
True
• Lydia's husband, Morgan, moved out of their home in February of 2021. Lydia has had no contact with
Morgan since he moved out. Lydia and Morgan are not legally separated.
• Lydia has one child, Mary, age 10. She will claim Mary as a dependent on her 2023 tax return.
• Lydia is 31 years old.
• Lydia earned $42,300 in wages and received $50 of interest. Lydia had lottery winnings of $2,000 reported on
Form W2-G.
• Lydia paid all the costs of keeping up her home. She provided over half of the support for Mary.
• They all are U.S. citizens and have valid social security numbers. They lived in the U.S. all year.
2. Who qualifies to claim the earned income credit for Mary?
Lydia
• Scott and Barbara are married and want to file a joint return.
• Scott is a U.S. citizen and has a valid Social Security number. Barbara is a resident alien and has an ITIN. They
resided in the United States all year with their children.
,ADVANCED EXAM VITA.FINAL TEST 2026\2027.
• Scott and Barbara have two children, Maria, age 8, and Luis, age 16. Maria and Luis are U.S. citizens and have
valid Social Security numbers.
• Scott earned $22,000 in wages.
• Barbara earned $20,000 in wages.
• In order to work, the Gymses paid $2,000 to their son Luis to care for Maria after school.
• Scott and Barbara provided all of the support for their two children.
4. The maximum amount Scott and Barbara are eligible to claim for the Child Tax Credit is $2,000.
True
• Scott and Barbara are married and want to file a joint return.
• Scott is a U.S. citizen and has a valid Social Security number. Barbara is a resident alien and has an ITIN. They
resided in the United States all year with their children.
• Scott and Barbara have two children, Maria, age 8, and Luis, age 16. Maria and Luis are U.S. citizens and have
valid Social Security numbers.
• Scott earned $22,000 in wages.
• Barbara earned $20,000 in wages.
• In order to work, the Gymses paid $2,000 to their son Luis to care for Maria after school.
• Scott and Barbara provided all of the support for their two children.
5. Payments made to Luis can be claimed on Form 2441 as child and dependent care expenses.
False
• Rose Jones, age 57, is single.
• Rose earned wages of $52,000 and was enrolled the entire year in a high deductible health plan (HDHP) with
self-only coverage.
• During the year, Rose contributed $2,000 to her Health Savings Account (HSA) and her mother also contributed
$1,000 to Rose's HSA.
• Rose's Form W-2 shows $850 in Box 12 with code W. She has Form 5498-SA showing $3,850 in Box 2.
, ADVANCED EXAM VITA.FINAL TEST 2026\2027.
• Rose took a distribution from her HSA to pay her unreimbursed expenses:
o 8 visits to a physical therapist after her knee surgery $400
o unreimbursed doctor bills for $1,100
o prescription medicine $280
o replacement of a crown $1,500
o deep cleaning for teeth: $300
o over the counter medication $40
o gym membership $240
• Rose is a U.S. citizen with a valid Social Security number.
6. Rose cannot include her mother's contribution on Form 8889, Part 1.
False
• Rose Jones, age 57, is single.
• Rose earned wages of $52,000 and was enrolled the entire year in a high deductible health plan (HDHP) with
self-only coverage.
• During the year, Rose contributed $2,000 to her Health Savings Account (HSA) and her mother also contributed
$1,000 to Rose's HSA.
• Rose's Form W-2 shows $850 in Box 12 with code W. She has Form 5498-SA showing $3,850 in Box 2.
• Rose took a distribution from her HSA to pay her unreimbursed expenses:
o 8 visits to a physical therapist after her knee surgery $400
o unreimbursed doctor bills for $1,100
o prescription medicine $280
o replacement of a crown $1,500
o deep cleaning for teeth: $300
