INTUIT ACADEMY TAX LEVEL 1 EXAM QUESTION BANK
NEWEST ACTUAL EXAM WITH COMPLETE 330+
QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED
ANSWERS) ALREADY GRADED A+ | GUARANTEED PASS
Social Security benefits can be taxed to a maximum of ___________% based on
the beneficiary's annual income.
Up to 85% of your Social Security income is taxed if you receive income from
other sources and your combined income is more than a certain base amount.
Which factor does not limit QBI components of QBI deduction?
reported on Schedule C
Who cannot take the standard deduction? (select all that apply)
An individual filing as Married Filing Separately and the spouse itemizes An
individual filing a return for a short tax year due to a change in the annual
accounting period A nonresident or dual-status alien during the year
,What type of payment is not considered miscellaneous?
employment wages Miscellaneous income can include payments in the form of
rents received, royalties, medical and health care, crop insurance proceeds,
refund or credits of state and local taxes, unemployment compensation, and
prizes and awards,
What dividend comes from mutual funds and real estate investment trusts
(REITs)?
capital gain Capital gain distributions come from mutual funds and real estate
investment trusts (REITs).
Which is not considered a gambling winning?
games of chance Gambling winnings include, but are not limited to, money
or prizes earned from: Casino games
Slot machines
Keno
Poker tournaments
Lotteries
Sweepstakes
Raffles
Betting pools
Gameshows
Horse or dog races
Off-track betting
,Bingo
Which is considered an adjustment to Gross Income?
Moving Expense Adjustments to gross income are divided into four categories:
charitable items, employment-related items, compensation and benefits, and
investment-related exclusions.
What does CFC stand for?
Controlled Foreign Corporation
The self-employed health insurance deduction is limited to the net
selfemployment profit shown on the return reduced by the deduction for
____________ of the self-employment tax.
one-half The self-employed health insurance deduction is limited to the net
selfemployment profit shown on the return reduced by the deduction for one-half
of the self-employment tax.
What is on Line 2b of Form 1040?
Taxable Interest Line 2b includes taxable interest. This line consists of the taxable
interest earned from savings accounts, personal loans, certificates of deposits,
and annuity contracts. An interest-paying institution will send these amounts on a
Form 1099-INT to the taxpayer. If interest income exceeds $1500, a Schedule B
will need to be completed and attached.
Taxpayers must file Form 1116 to claim the foreign tax credit when the foreign tax
paid is more than ____________ for Married Filing Jointly.
, $600 If the foreign tax paid is more than $300 ($600 for Married Filing Jointly) or
they do not meet the other conditions to make the election to claim the foreign
tax credit without filing Form 1116, taxpayers must file Form 1116 to claim the
foreign tax credit.
_______________ is used to set limits to various items such as retirement
contributions, certain deductions, and credits.
Adjusted Gross Income (AGI) Adjusted Gross Income (AGI) is used to set limits to
various items such as retirement contributions, certain deductions, and credits.
When using the standard mileage rate or actual expense to calculate business
auto expenses, which expense is separately deductible?
toll charges Toll charges and parking fees are separately deductible irrespective of
the fact whether you use standard mileage rate or actual expense.
What schedule splits partnership income so that every partner is taxed at an
individual income tax rate instead of the corporate tax rate.
Schedule K-1 Schedule K-1 splits partnership income so that every partner is taxed
at an individual income tax rate instead of the corporate tax rate.
There are ________ types of Social Security trust funds. two
There are two types of Social Security trust funds.
NEWEST ACTUAL EXAM WITH COMPLETE 330+
QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED
ANSWERS) ALREADY GRADED A+ | GUARANTEED PASS
Social Security benefits can be taxed to a maximum of ___________% based on
the beneficiary's annual income.
Up to 85% of your Social Security income is taxed if you receive income from
other sources and your combined income is more than a certain base amount.
Which factor does not limit QBI components of QBI deduction?
reported on Schedule C
Who cannot take the standard deduction? (select all that apply)
An individual filing as Married Filing Separately and the spouse itemizes An
individual filing a return for a short tax year due to a change in the annual
accounting period A nonresident or dual-status alien during the year
,What type of payment is not considered miscellaneous?
employment wages Miscellaneous income can include payments in the form of
rents received, royalties, medical and health care, crop insurance proceeds,
refund or credits of state and local taxes, unemployment compensation, and
prizes and awards,
What dividend comes from mutual funds and real estate investment trusts
(REITs)?
capital gain Capital gain distributions come from mutual funds and real estate
investment trusts (REITs).
Which is not considered a gambling winning?
games of chance Gambling winnings include, but are not limited to, money
or prizes earned from: Casino games
Slot machines
Keno
Poker tournaments
Lotteries
Sweepstakes
Raffles
Betting pools
Gameshows
Horse or dog races
Off-track betting
,Bingo
Which is considered an adjustment to Gross Income?
Moving Expense Adjustments to gross income are divided into four categories:
charitable items, employment-related items, compensation and benefits, and
investment-related exclusions.
What does CFC stand for?
Controlled Foreign Corporation
The self-employed health insurance deduction is limited to the net
selfemployment profit shown on the return reduced by the deduction for
____________ of the self-employment tax.
one-half The self-employed health insurance deduction is limited to the net
selfemployment profit shown on the return reduced by the deduction for one-half
of the self-employment tax.
What is on Line 2b of Form 1040?
Taxable Interest Line 2b includes taxable interest. This line consists of the taxable
interest earned from savings accounts, personal loans, certificates of deposits,
and annuity contracts. An interest-paying institution will send these amounts on a
Form 1099-INT to the taxpayer. If interest income exceeds $1500, a Schedule B
will need to be completed and attached.
Taxpayers must file Form 1116 to claim the foreign tax credit when the foreign tax
paid is more than ____________ for Married Filing Jointly.
, $600 If the foreign tax paid is more than $300 ($600 for Married Filing Jointly) or
they do not meet the other conditions to make the election to claim the foreign
tax credit without filing Form 1116, taxpayers must file Form 1116 to claim the
foreign tax credit.
_______________ is used to set limits to various items such as retirement
contributions, certain deductions, and credits.
Adjusted Gross Income (AGI) Adjusted Gross Income (AGI) is used to set limits to
various items such as retirement contributions, certain deductions, and credits.
When using the standard mileage rate or actual expense to calculate business
auto expenses, which expense is separately deductible?
toll charges Toll charges and parking fees are separately deductible irrespective of
the fact whether you use standard mileage rate or actual expense.
What schedule splits partnership income so that every partner is taxed at an
individual income tax rate instead of the corporate tax rate.
Schedule K-1 Schedule K-1 splits partnership income so that every partner is taxed
at an individual income tax rate instead of the corporate tax rate.
There are ________ types of Social Security trust funds. two
There are two types of Social Security trust funds.
