Enrolled Agent (EA) Special Enrollment
Examination – Part 1 (AGACNP-C)
2026–2027 | Comprehensive Question
Practice Test with Answers & Rationales|
Free Pdf Access
1. Which IRS form is generally used by most individual taxpayers to file their
federal income tax return?
A. Form 1040
B. Form 1120
C. Form 1065
D. Form 941
Correct Answer: A
Rationale: Form 1040 is the standard U.S. Individual Income Tax Return used by most
individual taxpayers.
2. Which filing status generally provides the highest standard deduction for
an unmarried taxpayer maintaining a home for a qualifying person?
A. Head of Household
B. Single
C. Married Filing Separately
D. Qualifying Surviving Spouse
Correct Answer: A
,Rationale: Head of Household generally provides a higher standard deduction and more
favorable tax rates than Single status.
3. A taxpayer who is legally married on the last day of the tax year is generally
considered:
A. Married for the entire tax year
B. Single
C. Head of Household automatically
D. Unmarried for tax purposes
Correct Answer: A
Rationale: Marital status is generally determined as of the last day of the tax year.
4. Which filing status is generally available for a surviving spouse with a
qualifying dependent child for a limited period after the spouse's death?
A. Qualifying Surviving Spouse
B. Single
C. Head of Household
D. Married Filing Separately
Correct Answer: A
Rationale: Eligible taxpayers may use Qualifying Surviving Spouse status for a limited
time after a spouse's death.
5. Which filing status generally results in each spouse reporting only his or
her own income and deductions?
A. Married Filing Separately
B. Married Filing Jointly
C. Head of Household
D. Single
Correct Answer: A
Rationale: Married Filing Separately requires each spouse to report their own tax
information.
,Gross Income
6. Gross income generally includes:
A. Compensation for services
B. Gifts received
C. Qualified municipal bond interest
D. Certain life insurance proceeds
Correct Answer: A
Rationale: Compensation, including wages and salaries, is generally included in gross
income.
7. Which item is generally taxable?
A. Wages
B. Qualified gifts
C. Qualified inheritances
D. Certain municipal bond interest
Correct Answer: A
Rationale: Wages are generally fully taxable unless specifically excluded by law.
8. Which type of income is generally reported on Form W-2?
A. Employee wages
B. Partnership income
C. Interest income
D. Rental income
Correct Answer: A
Rationale: Form W-2 reports employee compensation and withholding.
9. Which IRS form commonly reports interest income?
A. Form 1099-INT
, B. Form W-2
C. Schedule C
D. Form 1041
Correct Answer: A
Rationale: Form 1099-INT reports taxable interest income.
10. Dividend income is commonly reported on:
A. Form 1099-DIV
B. Form 1098
C. Form W-4
D. Form 941
Correct Answer: A
Rationale: Form 1099-DIV reports dividends and certain distributions.
Adjustments to Income
11. Adjustments to income are generally claimed:
A. Before calculating adjusted gross income (AGI)
B. After computing taxable income
C. After calculating tax liability
D. After claiming credits
Correct Answer: A
Rationale: Adjustments reduce gross income to arrive at adjusted gross income (AGI).
12. Which item may qualify as an adjustment to income if IRS requirements
are met?
A. Deductible traditional IRA contribution
B. Personal vacation expense
C. Home mortgage principal payment
Examination – Part 1 (AGACNP-C)
2026–2027 | Comprehensive Question
Practice Test with Answers & Rationales|
Free Pdf Access
1. Which IRS form is generally used by most individual taxpayers to file their
federal income tax return?
A. Form 1040
B. Form 1120
C. Form 1065
D. Form 941
Correct Answer: A
Rationale: Form 1040 is the standard U.S. Individual Income Tax Return used by most
individual taxpayers.
2. Which filing status generally provides the highest standard deduction for
an unmarried taxpayer maintaining a home for a qualifying person?
A. Head of Household
B. Single
C. Married Filing Separately
D. Qualifying Surviving Spouse
Correct Answer: A
,Rationale: Head of Household generally provides a higher standard deduction and more
favorable tax rates than Single status.
3. A taxpayer who is legally married on the last day of the tax year is generally
considered:
A. Married for the entire tax year
B. Single
C. Head of Household automatically
D. Unmarried for tax purposes
Correct Answer: A
Rationale: Marital status is generally determined as of the last day of the tax year.
4. Which filing status is generally available for a surviving spouse with a
qualifying dependent child for a limited period after the spouse's death?
A. Qualifying Surviving Spouse
B. Single
C. Head of Household
D. Married Filing Separately
Correct Answer: A
Rationale: Eligible taxpayers may use Qualifying Surviving Spouse status for a limited
time after a spouse's death.
5. Which filing status generally results in each spouse reporting only his or
her own income and deductions?
A. Married Filing Separately
B. Married Filing Jointly
C. Head of Household
D. Single
Correct Answer: A
Rationale: Married Filing Separately requires each spouse to report their own tax
information.
,Gross Income
6. Gross income generally includes:
A. Compensation for services
B. Gifts received
C. Qualified municipal bond interest
D. Certain life insurance proceeds
Correct Answer: A
Rationale: Compensation, including wages and salaries, is generally included in gross
income.
7. Which item is generally taxable?
A. Wages
B. Qualified gifts
C. Qualified inheritances
D. Certain municipal bond interest
Correct Answer: A
Rationale: Wages are generally fully taxable unless specifically excluded by law.
8. Which type of income is generally reported on Form W-2?
A. Employee wages
B. Partnership income
C. Interest income
D. Rental income
Correct Answer: A
Rationale: Form W-2 reports employee compensation and withholding.
9. Which IRS form commonly reports interest income?
A. Form 1099-INT
, B. Form W-2
C. Schedule C
D. Form 1041
Correct Answer: A
Rationale: Form 1099-INT reports taxable interest income.
10. Dividend income is commonly reported on:
A. Form 1099-DIV
B. Form 1098
C. Form W-4
D. Form 941
Correct Answer: A
Rationale: Form 1099-DIV reports dividends and certain distributions.
Adjustments to Income
11. Adjustments to income are generally claimed:
A. Before calculating adjusted gross income (AGI)
B. After computing taxable income
C. After calculating tax liability
D. After claiming credits
Correct Answer: A
Rationale: Adjustments reduce gross income to arrive at adjusted gross income (AGI).
12. Which item may qualify as an adjustment to income if IRS requirements
are met?
A. Deductible traditional IRA contribution
B. Personal vacation expense
C. Home mortgage principal payment
