H&R BLOCK INCOME TAX SPECIALIST TEST EXAM
ACTUAL QUESTIONS AND ANSWERS - LATEST AND
COMPLETE UPDATE WITH VERIFIED SOLUTIONS –
ASSURED PASS WITH INSTANT DOWNLOAD PDF.
In June 2017, Bill, a single taxpayer, purchased a home for $187,000. Later that
year, he added a new room at a cost of $28,400.
In May 2018, he sold the house for $473,000. The home served as his primary
residence for the entire time that he owned it. Bill's taxable gain on the sale is
________________. - solution - A. $0
B. $7,600
C. $257,600
D. $286,000
- ANSWER: C
Samuel (28), single taxpayer has earned income of $13,690. He lived in Kansas
City, MO all year. He cannot be claimed as a dependent on someone else's 2018
tax return. What is the max amount Samuel may claim for the Earned Income Tax
Credit (EITC)? - solution - A. $0
B. $122
C. $126
D. $160
- ANSWER: B
In 2018,Raj. a self-employed consultant, spent $4,500 for qualifying health
coverage that he purchased directly from an insurance company. He is not eligible
,to be covered under any other insurance plan. His net profit from his business and
the amount used to figure his SE tax, was $68,000. He had no other earned income.
How much can Raj deduct as an adjustment for SE health insurance? - solution -
A. $0
B. $2,250
C. $3,750
D. $4,500
- ANSWER: D
All of the following are reported on SCH 1, line 21 EXCEPT: - solution -
A. Fees Received for services as a juror
B. Prizes and awards
C. Self-employment income
D. Hobby income
- ANSWER: C
Janelle (32) is single and has self-only coverage. Assuming she meets all
requirements, what is the most she can contribute to a health savings account for
2018? - solution - A. $2,600
B. $3,450
C. $4,450
D. $6,900
- ANSWER: B
, A taxpayer must meet all of the following requirements to claim a deduction for
moving expenses EXCEPT: - solution - A. A member of the Armed Forces on
active duty
B. Cannot have any expenses reimbursed
C. Due to a military order
D. Because of a permanent change of station
- ANSWER: B
Max receives a Form 1099-INT with $26 in box 2. Max may be eligible to claim: -
solution - A. An adjustment for tax-exempt interest
B. A write-in adjustment
C. An adjustment for the penalty for early withdrawal of savings
D. An IRA deduction
- ANSWER: A
What is the maximum lifetime limit for the nonbusiness energy property credit? -
solution - A. $50
B. $150
C. $200
D. $500
- ANSWER: D
ACTUAL QUESTIONS AND ANSWERS - LATEST AND
COMPLETE UPDATE WITH VERIFIED SOLUTIONS –
ASSURED PASS WITH INSTANT DOWNLOAD PDF.
In June 2017, Bill, a single taxpayer, purchased a home for $187,000. Later that
year, he added a new room at a cost of $28,400.
In May 2018, he sold the house for $473,000. The home served as his primary
residence for the entire time that he owned it. Bill's taxable gain on the sale is
________________. - solution - A. $0
B. $7,600
C. $257,600
D. $286,000
- ANSWER: C
Samuel (28), single taxpayer has earned income of $13,690. He lived in Kansas
City, MO all year. He cannot be claimed as a dependent on someone else's 2018
tax return. What is the max amount Samuel may claim for the Earned Income Tax
Credit (EITC)? - solution - A. $0
B. $122
C. $126
D. $160
- ANSWER: B
In 2018,Raj. a self-employed consultant, spent $4,500 for qualifying health
coverage that he purchased directly from an insurance company. He is not eligible
,to be covered under any other insurance plan. His net profit from his business and
the amount used to figure his SE tax, was $68,000. He had no other earned income.
How much can Raj deduct as an adjustment for SE health insurance? - solution -
A. $0
B. $2,250
C. $3,750
D. $4,500
- ANSWER: D
All of the following are reported on SCH 1, line 21 EXCEPT: - solution -
A. Fees Received for services as a juror
B. Prizes and awards
C. Self-employment income
D. Hobby income
- ANSWER: C
Janelle (32) is single and has self-only coverage. Assuming she meets all
requirements, what is the most she can contribute to a health savings account for
2018? - solution - A. $2,600
B. $3,450
C. $4,450
D. $6,900
- ANSWER: B
, A taxpayer must meet all of the following requirements to claim a deduction for
moving expenses EXCEPT: - solution - A. A member of the Armed Forces on
active duty
B. Cannot have any expenses reimbursed
C. Due to a military order
D. Because of a permanent change of station
- ANSWER: B
Max receives a Form 1099-INT with $26 in box 2. Max may be eligible to claim: -
solution - A. An adjustment for tax-exempt interest
B. A write-in adjustment
C. An adjustment for the penalty for early withdrawal of savings
D. An IRA deduction
- ANSWER: A
What is the maximum lifetime limit for the nonbusiness energy property credit? -
solution - A. $50
B. $150
C. $200
D. $500
- ANSWER: D
