Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Summarized Exam Coverage Areas: Filing status and dependency determinations;
Schedule C business income and ordinary/necessary deductions; self-employment tax
via Schedule SE and the fifty-percent adjustment; Schedule D capital asset holding
periods, netting, and the three-thousand-dollar loss limit; Schedule E rental income,
residential depreciation, and passive activity constraints; Schedule A itemized
deductions including medical floor, SALT cap, charitable limits, and mortgage interest;
,above-the-line adjustments for retirement contributions, student loan interest, educator
expenses, and self-employed health insurance; advanced credits including Child Tax
Credit, American Opportunity Credit, Lifetime Learning Credit, Saver’s Credit, and Earned
Income Credit due diligence; Form 1099 reporting and investment basis calculations;
restricted stock unit and employee stock purchase plan taxation, stock option bargain
elements, and wash sale rule application . 2 4 5
1. A taxpayer’s filing status for the entire tax year is generally determined by their
marital and family circumstances as of which specific date?
A. January 1 of the tax year
B. April 15 of the following year
C. December 31 of the tax year
D. The date the completed return is electronically filed
Answer: C
Rationale: Filing status is generally locked in based on the taxpayer’s situation on the
last day of the tax year, regardless of changes that occurred earlier in the year . 4 6
,2. An unmarried taxpayer paid more than half the cost of maintaining a household for a
qualifying child who lived there for eight months. Which filing status generally applies?
A. Single
B. Head of Household
C. Married Filing Separately
D. Qualifying Surviving Spouse
Answer: B
Rationale: Head of Household requires the taxpayer to be unmarried, pay over half the
household maintenance costs, and have a qualifying person reside in the home for more
than half the year . 3 6
3. A legally married couple lived together for the entire tax year and neither spouse
qualifies for an exception allowing separate treatment. Which filing status permits
them to combine income and deductions?
A. Married Filing Separately
B. Single
, C. Head of Household
D. Married Filing Jointly
Answer: D
Rationale: Married Filing Jointly allows spouses to report combined income, deductions,
credits, and tax liability on a single federal return . 3 8
4. Which test is generally required for a child to satisfy the qualifying child residency
requirement for dependency purposes?
A. The child must live with the taxpayer for exactly twelve months.
B. The child must have the same principal place of abode as the taxpayer for more than
half the year.
C. The child must reside in the same state as the taxpayer for the entire year.
D. The child must not have any temporary absences from the taxpayer’s home.
Answer: B
Rationale: The residency test requires the qualifying child to share the taxpayer’s
principal home for more than half the year, though temporary absences such as school
attendance are generally permitted . 3 8
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Intuit Academy Tax Exam – Level 2
Summarized Exam Coverage Areas: Filing status and dependency determinations;
Schedule C business income and ordinary/necessary deductions; self-employment tax
via Schedule SE and the fifty-percent adjustment; Schedule D capital asset holding
periods, netting, and the three-thousand-dollar loss limit; Schedule E rental income,
residential depreciation, and passive activity constraints; Schedule A itemized
deductions including medical floor, SALT cap, charitable limits, and mortgage interest;
,above-the-line adjustments for retirement contributions, student loan interest, educator
expenses, and self-employed health insurance; advanced credits including Child Tax
Credit, American Opportunity Credit, Lifetime Learning Credit, Saver’s Credit, and Earned
Income Credit due diligence; Form 1099 reporting and investment basis calculations;
restricted stock unit and employee stock purchase plan taxation, stock option bargain
elements, and wash sale rule application . 2 4 5
1. A taxpayer’s filing status for the entire tax year is generally determined by their
marital and family circumstances as of which specific date?
A. January 1 of the tax year
B. April 15 of the following year
C. December 31 of the tax year
D. The date the completed return is electronically filed
Answer: C
Rationale: Filing status is generally locked in based on the taxpayer’s situation on the
last day of the tax year, regardless of changes that occurred earlier in the year . 4 6
,2. An unmarried taxpayer paid more than half the cost of maintaining a household for a
qualifying child who lived there for eight months. Which filing status generally applies?
A. Single
B. Head of Household
C. Married Filing Separately
D. Qualifying Surviving Spouse
Answer: B
Rationale: Head of Household requires the taxpayer to be unmarried, pay over half the
household maintenance costs, and have a qualifying person reside in the home for more
than half the year . 3 6
3. A legally married couple lived together for the entire tax year and neither spouse
qualifies for an exception allowing separate treatment. Which filing status permits
them to combine income and deductions?
A. Married Filing Separately
B. Single
, C. Head of Household
D. Married Filing Jointly
Answer: D
Rationale: Married Filing Jointly allows spouses to report combined income, deductions,
credits, and tax liability on a single federal return . 3 8
4. Which test is generally required for a child to satisfy the qualifying child residency
requirement for dependency purposes?
A. The child must live with the taxpayer for exactly twelve months.
B. The child must have the same principal place of abode as the taxpayer for more than
half the year.
C. The child must reside in the same state as the taxpayer for the entire year.
D. The child must not have any temporary absences from the taxpayer’s home.
Answer: B
Rationale: The residency test requires the qualifying child to share the taxpayer’s
principal home for more than half the year, though temporary absences such as school
attendance are generally permitted . 3 8
