3/9/26, 11:11 PM HR BLOCK Final Test Review (ITC
HR BLOCK Final Test Review Exam (ITC 2025) Test Bank
Questions & Answers || Most Recent Exam Actual
Complete Real Exam Questions And Correct Answers
(Verified Answers) Already Graded A+ | Guaranteed
Success!! Newest Exam | Just Released 2026-2027
Which of the following is a requirement for all taxpayers who want to claim the
EIC?
Live in the U.S. for more than half a
year. Have a valid social security
number.
Have a qualifying child dependent.
Have AGI less than $21,430 ($27,380 MFJ).
Have a valid social security number.
A combined due diligence penalty of $2,180 would indicate a penalty for which of
the following?
EIC, CTC/ODC/ACTC, and head of
household. EIC, AOTC, and
CTC/ODC/ACTC.
EIC, AOTC, CTC/ODC/ACTC, and head of
household. EIC, PTC, CTC/ODC/ACTC, and head
of household.
EIC, AOTC, CTC/ODC/ACTC, and head of household.
1/30
,3/9/26, 11:11 PM HR BLOCK Final Test Review (ITC
When dependent care benefits are withheld from a taxpayer's income, where are
they reported by the employer?
Form 2441.
Form 1040.
Box 10 of Form W-2.
The employer is not required to report them.
Box 10 of Form W-2.
All of the following are due diligence requirements a tax preparer must meet
for EIC, AOTC, CTC/ODC/ACTC, and HOH, EXCEPT:
Investigate and verify the accuracy of information the taxpayer provides to
show eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
Complete all worksheets used to compute the credits. If the worksheet is
completed by hand, keep a copy in the taxpayer's client file.
Maintain a copy of documents provided by the taxpayer that the tax preparer
relied on when determining credit eligibility. Then record the date the
information was obtained and the name of who provided the information.
When information provided by the taxpayer appears to be incorrect, inconsistent,
or
incomplete, the tax preparer must make additional inquiries to determine if the
taxpayer is eligible for the benefit. Then document both the questions asked
and responses
provided.
Investigate and verify the accuracy of information the taxpayer provides to
show eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
2/30
, 3/9/26, 11:11 PM HR BLOCK Final Test Review (ITC
What document will the taxpayer receive from their employer reporting
disability pension payments?
The income is reported on Form 1099-R.
What types of income must be reported on Schedule 1 (Form 1040) and then
reported on Form 1040?
Gambling winnings, alimony, jury duty pay, canceled debts, and hobby income
are some examples of income that must be reported on Schedule 1 (Form 1040)
and then reported on Form 1040.
What are the adjustments that can be claimed on Schedule 1 (Form 1040)?
Some examples of adjustments that can be claimed on Schedule 1
are: Educator expense deduction.
The health savings account (HSA)
deduction. Moving expenses for
members of the military. Self-
employment tax deduction.
Self-employed health insurance
deduction. Penalty on early withdrawal
of savings.
Alimony
payments.
IRA deduction.
Student loan interest deduction.
3/30
HR BLOCK Final Test Review Exam (ITC 2025) Test Bank
Questions & Answers || Most Recent Exam Actual
Complete Real Exam Questions And Correct Answers
(Verified Answers) Already Graded A+ | Guaranteed
Success!! Newest Exam | Just Released 2026-2027
Which of the following is a requirement for all taxpayers who want to claim the
EIC?
Live in the U.S. for more than half a
year. Have a valid social security
number.
Have a qualifying child dependent.
Have AGI less than $21,430 ($27,380 MFJ).
Have a valid social security number.
A combined due diligence penalty of $2,180 would indicate a penalty for which of
the following?
EIC, CTC/ODC/ACTC, and head of
household. EIC, AOTC, and
CTC/ODC/ACTC.
EIC, AOTC, CTC/ODC/ACTC, and head of
household. EIC, PTC, CTC/ODC/ACTC, and head
of household.
EIC, AOTC, CTC/ODC/ACTC, and head of household.
1/30
,3/9/26, 11:11 PM HR BLOCK Final Test Review (ITC
When dependent care benefits are withheld from a taxpayer's income, where are
they reported by the employer?
Form 2441.
Form 1040.
Box 10 of Form W-2.
The employer is not required to report them.
Box 10 of Form W-2.
All of the following are due diligence requirements a tax preparer must meet
for EIC, AOTC, CTC/ODC/ACTC, and HOH, EXCEPT:
Investigate and verify the accuracy of information the taxpayer provides to
show eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
Complete all worksheets used to compute the credits. If the worksheet is
completed by hand, keep a copy in the taxpayer's client file.
Maintain a copy of documents provided by the taxpayer that the tax preparer
relied on when determining credit eligibility. Then record the date the
information was obtained and the name of who provided the information.
When information provided by the taxpayer appears to be incorrect, inconsistent,
or
incomplete, the tax preparer must make additional inquiries to determine if the
taxpayer is eligible for the benefit. Then document both the questions asked
and responses
provided.
Investigate and verify the accuracy of information the taxpayer provides to
show eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
2/30
, 3/9/26, 11:11 PM HR BLOCK Final Test Review (ITC
What document will the taxpayer receive from their employer reporting
disability pension payments?
The income is reported on Form 1099-R.
What types of income must be reported on Schedule 1 (Form 1040) and then
reported on Form 1040?
Gambling winnings, alimony, jury duty pay, canceled debts, and hobby income
are some examples of income that must be reported on Schedule 1 (Form 1040)
and then reported on Form 1040.
What are the adjustments that can be claimed on Schedule 1 (Form 1040)?
Some examples of adjustments that can be claimed on Schedule 1
are: Educator expense deduction.
The health savings account (HSA)
deduction. Moving expenses for
members of the military. Self-
employment tax deduction.
Self-employed health insurance
deduction. Penalty on early withdrawal
of savings.
Alimony
payments.
IRA deduction.
Student loan interest deduction.
3/30
