Chapter 2 Review - Expanded
Tax Formula, Form 1040, and
Basic Concepts fully solved &
updated
Fraud on a tax return can also lead to criminal charges. True or
False? - answer true
Put the following items in the order in which they are found in the
individual income tax formula.
A. Equals Taxes Due or Refunded
B. Minus tax credits and prepayments
C. Taxable Income
D. Equals Income Tax Liability
E. Times Tax Rates - answer Answers: C, E, D, B, A
A taxpayer's filing status depends on his or her _____ _____, at the end
of the year and whether the taxpayer has any _____. - answer marital
status, dependents
A taxpayer may file as a single taxpayer when:
A. she has been unmarried for over half of the year
B. she is separated from her husband, but not yet divorced
C. her spouse died during the year
D. she is unmarried at the end of the tax year - answer D. she is
unmarried at the end of the tax year
When can the married filing jointly or married filing separately filing
status be used?
, A. When the taxpayers are unmarried, but have lived together for
the entire year
B. When the taxpayers are married as of the last day of the tax year
C. When one spouse died during the year and the surviving spouse
has not remarried
D. When the taxpayers are unmarried, but have a dependent child
living with them - answer Answers: B, C
Which of the following requirements are necessary to qualify for
head of household status?
A. Pay more than half the costs of keeping up a home for the year
B. Be a qualifying widow or widower
C. Have lived with a qualifying person in the taxpayer's home for the
entire year
D. Be unmarried (or considered unmarried under the abandoned
spouse provisions) at the end of the year - answer Answers: A, D
Which of the following items may be subtracted from adjusted gross
income to arrive at taxable income?
A. Itemized deductions
B. Tax prepayments
C. Standard deduction
D. Tax credits
E. Dependency exemptions - answer Answers: A, C, E
Which of the following statements is correct regarding the choice of
a taxpayer's filing status?
A. Filing status depends on marital status and whether the taxpayer
has dependents.
B. Filing status depends on the age of the taxpayer.
C. Filing status depends on the race and gender of the taxpayer.
Tax Formula, Form 1040, and
Basic Concepts fully solved &
updated
Fraud on a tax return can also lead to criminal charges. True or
False? - answer true
Put the following items in the order in which they are found in the
individual income tax formula.
A. Equals Taxes Due or Refunded
B. Minus tax credits and prepayments
C. Taxable Income
D. Equals Income Tax Liability
E. Times Tax Rates - answer Answers: C, E, D, B, A
A taxpayer's filing status depends on his or her _____ _____, at the end
of the year and whether the taxpayer has any _____. - answer marital
status, dependents
A taxpayer may file as a single taxpayer when:
A. she has been unmarried for over half of the year
B. she is separated from her husband, but not yet divorced
C. her spouse died during the year
D. she is unmarried at the end of the tax year - answer D. she is
unmarried at the end of the tax year
When can the married filing jointly or married filing separately filing
status be used?
, A. When the taxpayers are unmarried, but have lived together for
the entire year
B. When the taxpayers are married as of the last day of the tax year
C. When one spouse died during the year and the surviving spouse
has not remarried
D. When the taxpayers are unmarried, but have a dependent child
living with them - answer Answers: B, C
Which of the following requirements are necessary to qualify for
head of household status?
A. Pay more than half the costs of keeping up a home for the year
B. Be a qualifying widow or widower
C. Have lived with a qualifying person in the taxpayer's home for the
entire year
D. Be unmarried (or considered unmarried under the abandoned
spouse provisions) at the end of the year - answer Answers: A, D
Which of the following items may be subtracted from adjusted gross
income to arrive at taxable income?
A. Itemized deductions
B. Tax prepayments
C. Standard deduction
D. Tax credits
E. Dependency exemptions - answer Answers: A, C, E
Which of the following statements is correct regarding the choice of
a taxpayer's filing status?
A. Filing status depends on marital status and whether the taxpayer
has dependents.
B. Filing status depends on the age of the taxpayer.
C. Filing status depends on the race and gender of the taxpayer.
