DETAILED ANSWERS|LATEST
UPDATE!!!!2025/2026|GUARANTEED PASS|GRADED
Interest the taxpayer receives or that is credited to the taxpayer's account is considered
taxable income in most cases. - ANSWER True
What are examples of taxable interest? - ANSWER - Bank accounts
- Certificates of deposit
-Money Market accounts
- Deposited Insurance dividends
- US treasury bills, notes and bonds
- US savings bonds
- Other interests
Generally, amounts you receive from money markets funds should be reported as dividends,
not as interest - ANSWER True
Interest income from treasury bonds, bills, and notes is subject to federal income tax but is
exempt from all state and local income taxes. True or false? - ANSWER True
Is interest on an IRA taxable or non-taxable interest? - ANSWER Non-taxable
What is a 1099-OID? - ANSWER Original issue discount
1
UPDATE!!!!2025/2026|GUARANTEED PASS|GRADED
Interest the taxpayer receives or that is credited to the taxpayer's account is considered
taxable income in most cases. - ANSWER True
What are examples of taxable interest? - ANSWER - Bank accounts
- Certificates of deposit
-Money Market accounts
- Deposited Insurance dividends
- US treasury bills, notes and bonds
- US savings bonds
- Other interests
Generally, amounts you receive from money markets funds should be reported as dividends,
not as interest - ANSWER True
Interest income from treasury bonds, bills, and notes is subject to federal income tax but is
exempt from all state and local income taxes. True or false? - ANSWER True
Is interest on an IRA taxable or non-taxable interest? - ANSWER Non-taxable
What is a 1099-OID? - ANSWER Original issue discount
1
