Federal Income Tax Exam 1 Questions
with Verified Answers
Robert is a single taxpayer who has AGI of $145,000 in 2014; his taxable income is
$122,000. What is his federal tax liability for 2014, rounded to the nearest dollar? -
ANSWERS122000 x .28 - 6824.25 = 27335.75
Which of the following forms may be filed by individual taxpayers? - ANSWERSForm
1040
Mr. and Mrs. Vonce, both age 62, file a joint return for 2014. They provided all the
support for their daughter who is 19 years old, legally blind, and who earns no income.
Their son, age 21 and a full-time student at a university, had $4,200 of income and
provided 70 percent of his own support during 2014. How many exemptions may Mr.
and Mrs. Vonce claim on their 2014 tax return? - ANSWERS3
Which of the following is not a goal of the tax law? - ANSWERSEncourage Small
Families
Oscar and Mary have no dependents and file a joint income tax return for 2014. They
have adjusted gross income of $145,000 and itemized deductions of $32,000. What is
the amount of taxable income that Oscar and Mary must report on their 2014 income
tax return? - ANSWERS$105,100
Which of the following taxpayers does not have to file a tax return for 2014? -
ANSWERSA qualifying widow (age 67) with a dependent child and income of $14,500.
William is a divorced taxpayer who provides a home for his dependent child, Edward.
What filing status should William indicate on his tax return? - ANSWERSHead of
household
Which of the following is a true statement with respect to the gross income test for the
qualifying relative dependency exemption? - ANSWERSThe relative must receive less
than $3,950 of gross income in order to qualify.
Which of the following amounts must be included in the gross income of the recipient? -
ANSWERSRoyalties
In the tax law, the definition of gross income is: - ANSWERSAll income from whatever
source derived
with Verified Answers
Robert is a single taxpayer who has AGI of $145,000 in 2014; his taxable income is
$122,000. What is his federal tax liability for 2014, rounded to the nearest dollar? -
ANSWERS122000 x .28 - 6824.25 = 27335.75
Which of the following forms may be filed by individual taxpayers? - ANSWERSForm
1040
Mr. and Mrs. Vonce, both age 62, file a joint return for 2014. They provided all the
support for their daughter who is 19 years old, legally blind, and who earns no income.
Their son, age 21 and a full-time student at a university, had $4,200 of income and
provided 70 percent of his own support during 2014. How many exemptions may Mr.
and Mrs. Vonce claim on their 2014 tax return? - ANSWERS3
Which of the following is not a goal of the tax law? - ANSWERSEncourage Small
Families
Oscar and Mary have no dependents and file a joint income tax return for 2014. They
have adjusted gross income of $145,000 and itemized deductions of $32,000. What is
the amount of taxable income that Oscar and Mary must report on their 2014 income
tax return? - ANSWERS$105,100
Which of the following taxpayers does not have to file a tax return for 2014? -
ANSWERSA qualifying widow (age 67) with a dependent child and income of $14,500.
William is a divorced taxpayer who provides a home for his dependent child, Edward.
What filing status should William indicate on his tax return? - ANSWERSHead of
household
Which of the following is a true statement with respect to the gross income test for the
qualifying relative dependency exemption? - ANSWERSThe relative must receive less
than $3,950 of gross income in order to qualify.
Which of the following amounts must be included in the gross income of the recipient? -
ANSWERSRoyalties
In the tax law, the definition of gross income is: - ANSWERSAll income from whatever
source derived
