Question 1

The maximum allowable American opportunity tax credit for the current tax year is $2,500 per eligible student.

Accepted Answer

A) True 
 B)False  True

Question 2

The foreign tax credit is available only to individuals born in a foreign country.

Accepted Answer

A) True 
 B)False  False

Question 3

The credit for child and dependent care expenses can only be claimed if a taxpayer incurs employment-related expenses to care for one or more qualifying individuals.

Accepted Answer

A) True 
 B)False  True

Question 4

The American opportunity tax and lifetime learning credits are not available to taxpayers who are married filing separately.

Accepted Answer

A) True 
 B)False

Question 5

Jillian is single and her son,Parker is 12 years old.If her AGI is $76,200,what is her child tax credit for Parker?

Accepted Answer

A) $0. 
B) $500. 
C) $900. 
D) $1,000. 
A) $0. 
B) $500. 
C) $900. 
D) $1,000.

Question 6

Name the two credits that are available as education credits and briefly discuss the criteria to claim the credits.

Accepted Answer

The two credits available are the Americ

Question 7

Adrienne has total taxable income of $93,000 which includes $10,000 taxable income from India.She paid $2,800 in foreign income taxes,and her U.S.tax liability is $25,210.Adrienne's foreign tax credit is:

Accepted Answer

A) $0. 
B) $2,711. 
C) $2,800. 
D) $25,210. 
A) $0. 
B) $2,711. 
C) $2,800. 
D) $25,210.

Question 8

A qualifying child for the child tax credit must be a dependent and under the age of 14.

Accepted Answer

A) True 
 B)False

Question 9

The maximum amount of earned income credit for a joint taxpayer with one child in 2017 is $3,400.

Accepted Answer

A) True 
 B)False

Question 10

Shawn and Dahlia are married;both work and have one qualifying child.They had AGI of $19,000.What is their Earned Income Credit?

Accepted Answer

A) $0. 
B) $5,616. 
C) $3,400. 
D) $6,460. 
A) $0. 
B) $5,616. 
C) $3,400. 
D) $6,460.

Question 11

The maximum amount per year of dependent care expenses that can be used for calculating the credit for child and dependent care expenses is $3,000 for one qualifying individual.

Accepted Answer

A) True 
 B)False

Question 12

Mindy and Xavier have a tax liability of $475 before EIC.Their EIC for the current year is $2,578.What is their total tax refund or tax liability for the current year (assume they have no other credits or additional tax liability)?

Accepted Answer

A) $0. 
B) $475 tax liability. 
C) $2,103 tax refund. 
D) $2,578 tax refund. 
A) $0. 
B) $475 tax liability. 
C) $2,103 tax refund. 
D) $2,578 tax refund.

Question 13

Rudy and Rebecca have AGI of $156,000.They have twin daughters,Ashley and Amy,ages 5.What amount of child tax credit can they claim?

Accepted Answer

A) $0. 
B) $1,000. 
C) $2,000. 
D) $2,300. 
A) $0. 
B) $1,000. 
C) $2,000. 
D) $2,300.

Question 14

Ian and Jolene are ages 70 and 72,respectively,and file a joint return.They have AGI of $15,000 and received $1,000 in nontaxable social security benefits.How much can Ian and Jolene take as a credit for the elderly or the disabled?

Accepted Answer

A) $225. 
B) $600. 
C) $1,000. 
D) $2,250. 
A) $225. 
B) $600. 
C) $1,000. 
D) $2,250.

Question 15

Juan paid $1,750 in qualifying expenses for his daughter who attended a community college.How much is Juan's lifetime learning credit without regard to AGI limitations or other credits?

Accepted Answer

A) $250. 
B) $350. 
C) $825. 
D) $1,750. 
A) $250. 
B) $350. 
C) $825. 
D) $1,750.

Question 16

Juliann reported foreign income tax of $1,000 on foreign income of $8,000.Her worldwide taxable income was $89,000 and her U.S.tax liability was $23,000.What is the amount of foreign tax credit she is allowed? Briefly explain your answer.

Accepted Answer

FTC = $1,000: The amount of foreign tax

Question 17

Maria and Vincent,whose modified AGI is $169,000,adopted a little girl from Mexico which was finalized in 2017.They incurred a total of $16,000 in qualified adoption expenses.What is the amount of adoption credit they can claim in 2017?

Accepted Answer

A) $0. 
B) $13,570. 
C) $16,000. 
D) $16,900. 
A) $0. 
B) $13,570. 
C) $16,000. 
D) $16,900.

Question 18

What is the "applicable figure" used to determine a taxpayer's contribution amount for purposes of calculating the appropriate premium tax credit if the taxpayer has a household size of 5 and household income of $44,000?

Accepted Answer

A) 0)0200. 
B) 0)0430. 
C) 0)0543. 
D) Cannot be determined with the information provided. 
A) 0)0200. 
B) 0)0430. 
C) 0)0543. 
D) Cannot be determined with the information provided.

Question 19

What is the definition of qualifying child for purposes of the earned income credit?

Accepted Answer

A qualifying child is either (a)the taxp

Question 20

Warren and Erika paid $9,300 in qualified expenses for their son,Cash,to attend the University of Washington.Cash is in his first year of college and attended full-time.How much is Warren and Erika's American opportunity tax credit,without regard to any AGI limitation?

Accepted Answer

A) $0. 
B) $1,800. 
C) $2,500. 
D) $9,300. 
A) $0. 
B) $1,800. 
C) $2,500. 
D) $9,300.

The maximum allowable American opportunity tax credit for the current tax year is $2,500 per eligible student.

The foreign tax credit is available only to individuals born in a foreign country.

The credit for child and dependent care expenses can only be claimed if a taxpayer incurs employment-related expenses to care for one or more qualifying individuals.

The American opportunity tax and lifetime learning credits are not available to taxpayers who are married filing separately.

Jillian is single and her son,Parker is 12 years old.If her AGI is $76,200,what is her child tax credit for Parker?

Name the two credits that are available as education credits and briefly discuss the criteria to claim the credits.

Adrienne has total taxable income of $93,000 which includes $10,000 taxable income from India.She paid $2,800 in foreign income taxes,and her U.S.tax liability is $25,210.Adrienne's foreign tax credit is:

A qualifying child for the child tax credit must be a dependent and under the age of 14.

The maximum amount of earned income credit for a joint taxpayer with one child in 2017 is $3,400.

Shawn and Dahlia are married;both work and have one qualifying child.They had AGI of $19,000.What is their Earned Income Credit?

The maximum amount per year of dependent care expenses that can be used for calculating the credit for child and dependent care expenses is $3,000 for one qualifying individual.

Mindy and Xavier have a tax liability of $475 before EIC.Their EIC for the current year is $2,578.What is their total tax refund or tax liability for the current year (assume they have no other credits or additional tax liability)?

Rudy and Rebecca have AGI of $156,000.They have twin daughters,Ashley and Amy,ages 5.What amount of child tax credit can they claim?

Ian and Jolene are ages 70 and 72,respectively,and file a joint return.They have AGI of $15,000 and received $1,000 in nontaxable social security benefits.How much can Ian and Jolene take as a credit for the elderly or the disabled?

Juan paid $1,750 in qualifying expenses for his daughter who attended a community college.How much is Juan's lifetime learning credit without regard to AGI limitations or other credits?

Juliann reported foreign income tax of $1,000 on foreign income of $8,000.Her worldwide taxable income was $89,000 and her U.S.tax liability was $23,000.What is the amount of foreign tax credit she is allowed? Briefly explain your answer.

Maria and Vincent,whose modified AGI is $169,000,adopted a little girl from Mexico which was finalized in 2017.They incurred a total of $16,000 in qualified adoption expenses.What is the amount of adoption credit they can claim in 2017?

What is the "applicable figure" used to determine a taxpayer's contribution amount for purposes of calculating the appropriate premium tax credit if the taxpayer has a household size of 5 and household income of $44,000?

What is the definition of qualifying child for purposes of the earned income credit?

Warren and Erika paid $9,300 in qualified expenses for their son,Cash,to attend the University of Washington.Cash is in his first year of college and attended full-time.How much is Warren and Erika's American opportunity tax credit,without regard to any AGI limitation?

Introduction to Taxation, the Income Tax Formula, and Form 1040EZ

Expanded Tax Formula, forms 1040A and 1040, and Basic Concepts

Gross Income: Inclusions and Exclusions

Adjustments for Adjusted Gross Income

Itemized Deductions

Self-Employed Business Income Line 12 of Form 1040 and Schedule C

Capital Gains and Other Sales of Property Schedule D and Form 4797

Rental Property, Royalties, and Income From Flow- Through Entities Line 17, form 1040, and Schedule E

Payroll Taxes

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

At-Riskpassive Activity Loss Rules and the Individual Alternative Minimum Tax

Partnership Taxation

Corporate Taxation

Filters

Exam 9: Tax Credits Form 1040,lines 48 Through 54 and Lines 66A Through 73

The maximum allowable American opportunity tax credit for the current tax year is $2,500 per eligible student.

The foreign tax credit is available only to individuals born in a foreign country.

The credit for child and dependent care expenses can only be claimed if a taxpayer incurs employment-related expenses to care for one or more qualifying individuals.

The American opportunity tax and lifetime learning credits are not available to taxpayers who are married filing separately.

Jillian is single and her son,Parker is 12 years old.If her AGI is $76,200,what is her child tax credit for Parker?

Name the two credits that are available as education credits and briefly discuss the criteria to claim the credits.

Adrienne has total taxable income of $93,000 which includes $10,000 taxable income from India.She paid $2,800 in foreign income taxes,and her U.S.tax liability is $25,210.Adrienne's foreign tax credit is:

A qualifying child for the child tax credit must be a dependent and under the age of 14.

The maximum amount of earned income credit for a joint taxpayer with one child in 2017 is $3,400.

Shawn and Dahlia are married;both work and have one qualifying child.They had AGI of $19,000.What is their Earned Income Credit?

The maximum amount per year of dependent care expenses that can be used for calculating the credit for child and dependent care expenses is $3,000 for one qualifying individual.

Mindy and Xavier have a tax liability of $475 before EIC.Their EIC for the current year is $2,578.What is their total tax refund or tax liability for the current year (assume they have no other credits or additional tax liability)?

Rudy and Rebecca have AGI of $156,000.They have twin daughters,Ashley and Amy,ages 5.What amount of child tax credit can they claim?

Ian and Jolene are ages 70 and 72,respectively,and file a joint return.They have AGI of $15,000 and received $1,000 in nontaxable social security benefits.How much can Ian and Jolene take as a credit for the elderly or the disabled?

Juan paid $1,750 in qualifying expenses for his daughter who attended a community college.How much is Juan's lifetime learning credit without regard to AGI limitations or other credits?

Juliann reported foreign income tax of $1,000 on foreign income of $8,000.Her worldwide taxable income was $89,000 and her U.S.tax liability was $23,000.What is the amount of foreign tax credit she is allowed? Briefly explain your answer.

Maria and Vincent,whose modified AGI is $169,000,adopted a little girl from Mexico which was finalized in 2017.They incurred a total of $16,000 in qualified adoption expenses.What is the amount of adoption credit they can claim in 2017?

What is the "applicable figure" used to determine a taxpayer's contribution amount for purposes of calculating the appropriate premium tax credit if the taxpayer has a household size of 5 and household income of $44,000?

What is the definition of qualifying child for purposes of the earned income credit?

Warren and Erika paid $9,300 in qualified expenses for their son,Cash,to attend the University of Washington.Cash is in his first year of college and attended full-time.How much is Warren and Erika's American opportunity tax credit,without regard to any AGI limitation?

Introduction to Taxation, the Income Tax Formula, and Form 1040EZ

Expanded Tax Formula, forms 1040A and 1040, and Basic Concepts

Gross Income: Inclusions and Exclusions

Adjustments for Adjusted Gross Income

Itemized Deductions

Self-Employed Business Income Line 12 of Form 1040 and Schedule C

Capital Gains and Other Sales of Property Schedule D and Form 4797

Rental Property, Royalties, and Income From Flow- Through Entities Line 17, form 1040, and Schedule E

Payroll Taxes

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

At-Riskpassive Activity Loss Rules and the Individual Alternative Minimum Tax

Partnership Taxation

Corporate Taxation

Filters