H&R Block Specialist Test Questions
And Answers With Verified Solutions
(GRADED A+)
Sam pays his 19-year-old son, Joshua, $550 per month to maintain the lawn
and garden at their family home. What household employment tax rules apply
to Joshua?
Answer: B. Since Joshua is the taxpayer's child under age 21, the household
employment tax rules do not apply.
Other Choices:
A. Since Joshua is not performing any child care services, the household tax rules
do not apply.
C. Since no evidence is given that Joshua is a student, he is considered to be Sam's
household employee.
D. Since Joshua's wages are over $2,100 for the year, Sam is subject to the
household employment tax rules for Joshua.
Which of the following should a taxpayer include when calculating their
federal gross income?
Answer: B. Ordinary dividends.
Other Choices:
A. Prior-year federal income tax refund.
C. Personal injury compensation.
D. Qualified disaster relief payments.
A taxpayer needs to file Schedule 1 (Form 1040) when claiming which of the
following?
Answer: B. Health savings account deduction.
Other Choices:
A. Retirement savings contributions credit.
C. Education credit.
D. Excess advance premium tax credit repayment.
,In 2018, what was the excise tax rate for excess contributions to a health
savings account?
Answer: B. 6%
Other Choices:
A. 0%
C. 10%
D. 20%
In 2018, the additional excise tax for non-qualified distributions from a health
savings account was?
Answer: D. 20%
Other Choices:
A. 0%
B. 6%
C. 10%
Cynthia, a teacher’s aide, paid $250 for a professional development course in
2018. Can she claim the educator expense deduction?
Answer: C. She may claim the deduction since she is an eligible educator and the
professional development course is a qualified expense.
Other Choices:
A. She may not claim the deduction because she is not considered an eligible
educator.
B. Since she spent the $250 on professional development rather than classroom
supplies, she is not eligible for this deduction.
D. Since employee business expenses are no longer deductible on Schedule A, she
may not claim a deduction for the cost of the professional development course.
Major Winters, a member of the Army Reserve, incurred travel expenses to
perform reserve duties in 2018. How much can he deduct as an above-the-line
adjustment?
Answer: C. $463
Other Choices:
A. $0
, B. $268
D. $698
Kimberly filed her 2017 return on February 19, 2018. What is the latest date
she can file an amended 2017 return?
Answer: A. April 15, 2021
Other Choices:
B. February 19, 2021
C. April 15, 2020
D. April 17, 2018
Which of the following issues cannot be corrected by filing Form 1040X,
Amended U.S. Individual Income Tax Return?
Answer: B. An error made on a trust return needs to be corrected.
Other Choices:
A. The amount of deductible medical expenses was reported incorrectly on the
original return.
C. Wages for a 2nd job were not initially reported.
D. A taxpayer who filed as a non-resident qualified for U.S. resident status.
Michelle converted her personal residence into rental property in 2018. What
is her basis for depreciation on the property?
Answer: A. $88,000
Other Choices:
B. $98,000
C. $100,000
D. $110,000
Greg purchased a new machine for his business and incurred additional costs.
What is his basis on the machine?
Answer: D. $12,700
Other Choices:
A. $2,000
And Answers With Verified Solutions
(GRADED A+)
Sam pays his 19-year-old son, Joshua, $550 per month to maintain the lawn
and garden at their family home. What household employment tax rules apply
to Joshua?
Answer: B. Since Joshua is the taxpayer's child under age 21, the household
employment tax rules do not apply.
Other Choices:
A. Since Joshua is not performing any child care services, the household tax rules
do not apply.
C. Since no evidence is given that Joshua is a student, he is considered to be Sam's
household employee.
D. Since Joshua's wages are over $2,100 for the year, Sam is subject to the
household employment tax rules for Joshua.
Which of the following should a taxpayer include when calculating their
federal gross income?
Answer: B. Ordinary dividends.
Other Choices:
A. Prior-year federal income tax refund.
C. Personal injury compensation.
D. Qualified disaster relief payments.
A taxpayer needs to file Schedule 1 (Form 1040) when claiming which of the
following?
Answer: B. Health savings account deduction.
Other Choices:
A. Retirement savings contributions credit.
C. Education credit.
D. Excess advance premium tax credit repayment.
,In 2018, what was the excise tax rate for excess contributions to a health
savings account?
Answer: B. 6%
Other Choices:
A. 0%
C. 10%
D. 20%
In 2018, the additional excise tax for non-qualified distributions from a health
savings account was?
Answer: D. 20%
Other Choices:
A. 0%
B. 6%
C. 10%
Cynthia, a teacher’s aide, paid $250 for a professional development course in
2018. Can she claim the educator expense deduction?
Answer: C. She may claim the deduction since she is an eligible educator and the
professional development course is a qualified expense.
Other Choices:
A. She may not claim the deduction because she is not considered an eligible
educator.
B. Since she spent the $250 on professional development rather than classroom
supplies, she is not eligible for this deduction.
D. Since employee business expenses are no longer deductible on Schedule A, she
may not claim a deduction for the cost of the professional development course.
Major Winters, a member of the Army Reserve, incurred travel expenses to
perform reserve duties in 2018. How much can he deduct as an above-the-line
adjustment?
Answer: C. $463
Other Choices:
A. $0
, B. $268
D. $698
Kimberly filed her 2017 return on February 19, 2018. What is the latest date
she can file an amended 2017 return?
Answer: A. April 15, 2021
Other Choices:
B. February 19, 2021
C. April 15, 2020
D. April 17, 2018
Which of the following issues cannot be corrected by filing Form 1040X,
Amended U.S. Individual Income Tax Return?
Answer: B. An error made on a trust return needs to be corrected.
Other Choices:
A. The amount of deductible medical expenses was reported incorrectly on the
original return.
C. Wages for a 2nd job were not initially reported.
D. A taxpayer who filed as a non-resident qualified for U.S. resident status.
Michelle converted her personal residence into rental property in 2018. What
is her basis for depreciation on the property?
Answer: A. $88,000
Other Choices:
B. $98,000
C. $100,000
D. $110,000
Greg purchased a new machine for his business and incurred additional costs.
What is his basis on the machine?
Answer: D. $12,700
Other Choices:
A. $2,000
