VITA UCLA EXAM QUESTIONS &
ANSWERS PASSED LATEST VERSION
Form 1040 - correct answer ✔✔Summary document for entire tax return
Gross Income - correct answer ✔✔Income in form of money, goods, property, services (not
exempt from tax)
Adjustments - correct answer ✔✔Amount that reduces gross income (AKA "above the line
deductions")
Adjusted Gross Income - correct answer ✔✔Gross income minus adjustments
Deductions - correct answer ✔✔Amounts that lower AGI, which therefore reduces taxable
income. Itemized vs Standard deductions. VITA only files standard deductions
Taxable Income - correct answer ✔✔Amount taxed after AGI reduced by deductions
Tax Tables - correct answer ✔✔Annually standardized table that determines the amount of tax
owed based on taxable income
True or False: Being in a higher tax bracket means that entire income is taxed at the higher rate -
correct answer ✔✔False
Only the amount of income that pushes you into the next tax bracket is taxed at the higher rate,
income below taxed at lower rates
, Tax Liability - correct answer ✔✔Tax that the taxpayer is responsible for paying. Calculated from
tax tables
Tax Credits - correct answer ✔✔Reductions/Credits given to pay the taxpayer's tax liability
under certain eligibility criteria
Withholdings - correct answer ✔✔Money taxpayer already paid to the IRS throughout the year
by having it deducted from paychecks
Individuals are required to file if: - correct answer ✔✔-They owe taxes
-Have self-employment income greater than $400
-Their gross income exceeds the filing requirement threshold
Recommended to file is they have withholding that can be refunded or qualify for refund credits
What are the 5 general filing statuses - correct answer ✔✔-Single
-Married filing jointly
-Married filing separately
-Head of household
-Qualifying widow(er)
Filing Status: Single - correct answer ✔✔On last day of 2018:
-Not married
-Legally separated or divorced
-Widowed and not remarried after 2 years of death of spouse
Filing Status: Married Filing Jointly - correct answer ✔✔On last day of 2018:
ANSWERS PASSED LATEST VERSION
Form 1040 - correct answer ✔✔Summary document for entire tax return
Gross Income - correct answer ✔✔Income in form of money, goods, property, services (not
exempt from tax)
Adjustments - correct answer ✔✔Amount that reduces gross income (AKA "above the line
deductions")
Adjusted Gross Income - correct answer ✔✔Gross income minus adjustments
Deductions - correct answer ✔✔Amounts that lower AGI, which therefore reduces taxable
income. Itemized vs Standard deductions. VITA only files standard deductions
Taxable Income - correct answer ✔✔Amount taxed after AGI reduced by deductions
Tax Tables - correct answer ✔✔Annually standardized table that determines the amount of tax
owed based on taxable income
True or False: Being in a higher tax bracket means that entire income is taxed at the higher rate -
correct answer ✔✔False
Only the amount of income that pushes you into the next tax bracket is taxed at the higher rate,
income below taxed at lower rates
, Tax Liability - correct answer ✔✔Tax that the taxpayer is responsible for paying. Calculated from
tax tables
Tax Credits - correct answer ✔✔Reductions/Credits given to pay the taxpayer's tax liability
under certain eligibility criteria
Withholdings - correct answer ✔✔Money taxpayer already paid to the IRS throughout the year
by having it deducted from paychecks
Individuals are required to file if: - correct answer ✔✔-They owe taxes
-Have self-employment income greater than $400
-Their gross income exceeds the filing requirement threshold
Recommended to file is they have withholding that can be refunded or qualify for refund credits
What are the 5 general filing statuses - correct answer ✔✔-Single
-Married filing jointly
-Married filing separately
-Head of household
-Qualifying widow(er)
Filing Status: Single - correct answer ✔✔On last day of 2018:
-Not married
-Legally separated or divorced
-Widowed and not remarried after 2 years of death of spouse
Filing Status: Married Filing Jointly - correct answer ✔✔On last day of 2018:
