VITA Basic Test

Calvin has qualifying health insurance coverage (also known as minimum essential coverage) as defined under the Affordable Care Act. - correct answer True Calvin and Betty may need to make a shared responsibility payment on their joint return if they don't qualify for an exemption. - correct answer True Who can claim the American opportunity credit? - correct answer Dana can claim the credit because Tom is her dependent. Dana's most advantageous allowable filing status is: - correct answer Head of Household Who can Bob claim as a qualifying child(ren) for the earned income credit? - correct answer Bob can claim Sara, but not Joan. Who can claim Sara as a dependent? - correct answer Joan can claim Sara because she is Sara's mother. (Wrong) Will may claim R.J. as a dependent on his tax return. - correct answer True Is Will able to claim R.J. as a qualifying child for the earned income credit (EIC)? - correct answer No, because Will has an ITIN. Which benefit(s) can Will claim on his tax return? (Choose the best answer) - correct answer All of the above What are the correct filing statuses? - correct answer Both John and Marsha must file as Single Is it allowable for John and Marsha to each claim one qualifying child for the earned income credit on their individual returns? - correct answer No What amount of gambling winnings should be reported as other income on Linda's return? - correct answer $1,400 Based on her Married Filing Separately filing status, which education benefit is Linda eligible to claim? - correct answer She does not qualify for any education benefit What is Gordon's filing status on his 2017 tax return? - correct answer Single The $25 of savings account interest is not required to be reported on the return since no Form 1099-INT was issued. - correct answer False How much of Gordon's Social Security is taxable? - correct answer $6,646 Gordon is over 65. How does that affect his tax return? - correct answer It increases his standard deduction What is the total amount of Gordon's federal income tax withhol