test bank for income tax fundamentals 38th edition gerald e whittenburg martha altus buller

,TABLE OF CONTENTS v v v




1. The Individual Income Tax Return.
v v v v v




2. Gross Income and Exclusions.
v v v v




3. Business Income and Expenses, Part I.
v v v v v v




4. Business Income and Expenses, Part II.
v v v v v v




5. Itemized Deductions and Other Incentives.
v v v v v




6. Credits and Special Taxes.
v v v v




7. Accounting Periods and Methods and Depreciation.
v v v v v v




8. Capital Gains and Losses.
v v v v




9. Withholding, Estimated Payments, and Payroll Taxes.
v v v v v v




10. Partnership Taxation.
v v




11. The Corporate Income Tax.
v v v v




12. Tax Administration and Tax Planning.
v v v v v

,Chapter 1: The Individual Income Tax Return
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1. Avcorporationvisvavreportingventityvbutvnotvavtax-payingventity.
FALSE



2. Partnershipvcapitalvgainsvandvlossesvarevallocatedvseparatelyv toveachvofvthevpartners.
TRUE



3. Marriedv taxpayersv mayv doublev theirv standardv deductionv amountv byv filingv separatevreturns.
FALSE



4. Anvitemvisvnotvincludedvinvgrossvincomevunlessvthevtaxvlawvspecifiesvthatv thevitemvisvsubjectvtovt
axation.
FALSE



5. Forvtaxpayersvwhovdov notv itemizevdeductions,vthevstandardv deductionv amountv isvsubtractedv
fromvthevtaxpayer'svadjustedvgrossvincome.
TRUE



6. Avtaxpayervwithvself-employmentvincomevofv$600vmustvfilevavtaxvreturn.
TRUE



7. Avdependentvchildv withvearnedvincomev invexcessvofvthevavailablevstandardv deductionvamountvmu
stvfilevavtaxvreturn.
TRUE



8. Avsinglev taxpayer,vwhovisv notv blindv andv whov isvundervagev65,v withv incomev ofv$8,750vmustvfilev
avtaxvreturn.
FALSE

, 9. Ifvavtaxpayervisvduevavrefund,vitvwillvbevmailedvtovthevtaxpayervregardlessvofvwhethervhevorvshevfilesv
avtaxvreturn.
FALSE



10. Taxpayersvwithvself-employmentvincomevofv$400vorvmorevmustvfilevavtaxvreturn.
TRUE



11. Ifv yourv spousevdiesv duringv thev taxvyearv andv youvdovnotv remarry,v youvmustvfilev asvsinglevforv
thevyearvofvdeath.
FALSE



12. Taxpayersvwhovdovnotvqualifyvforvmarried,vheadvofvhousehold,vorvqualifyingvwidowvorvwidowerv
filingvstatusvmustvfilevasvsingle.
TRUE



13. Ifvanvunmarriedvtaxpayervpaidvmorevthanvhalfv thevcostvofvkeepingvavhomevwhichvisvthevprincipalvpl
acevofvresidencevofvavnephew,vwhovisvnotvhervdependent,vshevmayvusevthevheadvofvhouseholdvfilingvsta
tus.
FALSE



14. Thevmaximumvofficialvindividualvincomevtaxvratevforv2012visv35vpercent.
TRUE



15. Allvtaxpayersvmayvusevthevtaxvratevschedulevtovdeterminevtheirvtaxvliability.
FALSE



16. Thevheadvofvhouseholdvtaxvratesvarevhighervthanvthevratesvforvavsinglevtaxpayer.
FALSE



17. Mostv statesv arev communityv propertyv states.
FALSE