Intuit Tax Level 1 Study Guide
Question and answers verified to pass
2025/2026
Ford 1040, Line 1 - correct answer ✔Wages, salaries, tips, etc. Reflects income from form W2.
Form 1040 Line 2B - correct answer ✔taxable interest; form 1099-INT
What is the child tax credit for each child under 17? - correct answer ✔$2000
Net capital losses over $3000 can be carried forward indefinitely until exhausted. - correct answer
✔True
In 2021, Gustav bought a residential real estate property and rented it full time on November 1, 2021.
What schedule should he include with Form 1040? - correct answer ✔Schedule 1; Schedule E
Kahn received a Capital Gain Distribution reported on Form 1099-DIV, Box2a and also received a 1099B
reporting long term capital gains. What should he do when preparing the Form 1040? - correct answer
✔Attach a schedule D
Schedule 1 (Form 1040) - correct answer ✔additional income and adjustments to income
Schedule 2 (Form 1040) - correct answer ✔additional taxes
Schedule 3 (Form 1040) - correct answer ✔Additional Credits and Payments
Schedule A (Form 1040) - correct answer ✔itemized deductions
, Schedule B (Form 1040) - correct answer ✔Interest and Ordinary Dividends
Schedule D form 1040 - correct answer ✔Capital Gains and Losses
Schedule C (Form 1040) - correct answer ✔Profit or Loss from Business (Sole Proprietorship)
Schedule SE (Form 1040) - correct answer ✔self employment tax (SS tax)
Schedule E (Form 1040) - correct answer ✔Supplemental Income and Loss (From rental real estate,
royalties, partnerships, S corporations, estates, trusts, REMICs, etc.)
Schedule EIC (Form 1040) - correct answer ✔Earned Income Credit for a qualifying child
Schedule 8812 (Form 1040) - correct answer ✔Additional child tax credit; refundable credit received if
child tax credit is greater than total amount of income taxes owed
Three conditions to not pay estimated tax for current year - correct answer ✔1. They had no tax
liability for prior year
2. They were a U.S citizen or resident alien for the whole year
3. Prior tax year covered 12 months
Form 2210 - correct answer ✔Underpayment of Estimated Tax by Individuals, Estates, and Trusts
Linda, a US resident and sole proprietor, expects that she will owe $2500 and taxes for the current year.
According to the IRS guidelines, which is true about Linda's estimated tax payments? - correct answer
✔Linda must make estimated tax payments for the current year since her expected tax liability is $2500
or more
Question and answers verified to pass
2025/2026
Ford 1040, Line 1 - correct answer ✔Wages, salaries, tips, etc. Reflects income from form W2.
Form 1040 Line 2B - correct answer ✔taxable interest; form 1099-INT
What is the child tax credit for each child under 17? - correct answer ✔$2000
Net capital losses over $3000 can be carried forward indefinitely until exhausted. - correct answer
✔True
In 2021, Gustav bought a residential real estate property and rented it full time on November 1, 2021.
What schedule should he include with Form 1040? - correct answer ✔Schedule 1; Schedule E
Kahn received a Capital Gain Distribution reported on Form 1099-DIV, Box2a and also received a 1099B
reporting long term capital gains. What should he do when preparing the Form 1040? - correct answer
✔Attach a schedule D
Schedule 1 (Form 1040) - correct answer ✔additional income and adjustments to income
Schedule 2 (Form 1040) - correct answer ✔additional taxes
Schedule 3 (Form 1040) - correct answer ✔Additional Credits and Payments
Schedule A (Form 1040) - correct answer ✔itemized deductions
, Schedule B (Form 1040) - correct answer ✔Interest and Ordinary Dividends
Schedule D form 1040 - correct answer ✔Capital Gains and Losses
Schedule C (Form 1040) - correct answer ✔Profit or Loss from Business (Sole Proprietorship)
Schedule SE (Form 1040) - correct answer ✔self employment tax (SS tax)
Schedule E (Form 1040) - correct answer ✔Supplemental Income and Loss (From rental real estate,
royalties, partnerships, S corporations, estates, trusts, REMICs, etc.)
Schedule EIC (Form 1040) - correct answer ✔Earned Income Credit for a qualifying child
Schedule 8812 (Form 1040) - correct answer ✔Additional child tax credit; refundable credit received if
child tax credit is greater than total amount of income taxes owed
Three conditions to not pay estimated tax for current year - correct answer ✔1. They had no tax
liability for prior year
2. They were a U.S citizen or resident alien for the whole year
3. Prior tax year covered 12 months
Form 2210 - correct answer ✔Underpayment of Estimated Tax by Individuals, Estates, and Trusts
Linda, a US resident and sole proprietor, expects that she will owe $2500 and taxes for the current year.
According to the IRS guidelines, which is true about Linda's estimated tax payments? - correct answer
✔Linda must make estimated tax payments for the current year since her expected tax liability is $2500
or more
