Lesson 12
Question 1 (10 points) Save
Taxpayers who reach age 70 1/2 in the current year and have not started to withdraw their IRA fund have until what date in the next year to start withdrawing these funds to avoid a late withdrawal penalty?
1) February 1
2) March 1
3) April 1
4) April 15
5) None of the above
Question 2 (10 points) Save
For the first 8 months of 2005, medical travel expenses are deductible at the standard mileage rate of:
1) 10 cents per mile.
2) 12 cents per mile.
3) 15 cents per mile.
4) 36 cents per mile.
5) None of the above.
Question 3 (10 points) Save
For the current year, Fred and Sharon Miner (ages 66 and 64, respectively) will file a joint tax return and claim the standard deduction. While Sharon is legally blind, Fred's vision is perfect. The Miners fully support Arthur, their 45-year-old unmarried son. His gross income for the current year is $1,000. The amount that the Miners may claim as a standard deduction for the current year is:
1) $10,000.
2) $11,000.
3) $12,000.
4) $13,000.
5) None of the above.
The taxpayer filing status that invokes the highest tax for $75,000 of taxable income is:
1) married filing jointly.
2) married filing separately.
3) head of household.
4) surviving spouse.
5) single.
Question 5 (10 points) Save
Ann Bolen's husband died last year. Ann maintains a household where she and her 8-year-old daughter reside for the tax year. On her tax return, she properly claims a dependency exemption for her daughter. For the current year, Ann should file her tax return as:
1) married taxpayer filing separately.
2) surviving spouse.
3) head of household.
4) single individual.
5) none of the above.
Question 6 (10 points) Save
The amount deductible for exemptions is phased down when adjusted gross income (AGI) exceeds a certain threshold amount. The phasedown for all taxpayers except those who file married filing separately is:
1) one percentage point for each $2,500 of AGI (or fraction thereof) in excess of the threshold phase-down amount.
2) two percentage points for each $2,500 of AGI (or fraction thereof) in excess of the threshold amount.
3) three percentage points for each $2,500 of AGI (or fraction thereof) in excess of the threshold amount.
4) four percentage points for each $2,500 of AGI in excess of the threshold amount.
5) none of the above.
Question 7 (10 points) Save
John pays his former wife Rose $3,100 in alimony and $400 in child support each month. For the current year, Rose must include in gross income:
1) $0.
2) $4,800.
3) $37,200.
4) $42,000.
5) None of the above.
Question 8 (10 points) Save
What is the standard mileage rate for computing the deductible cost of operating a car for business purposes during the first 8 months of 2005?
1) $0.10
2) $0.14
3) $0.36
4) $0.405
5) None of the above
Question 9 (10 points) Save
Which of the following is not a criterion used in determining whether an event qualifies as a casualty?
1) Sudden
2) Uninsurable
3) Unusual
4) Unexpected
5) All of the above are criteria used in determining whether an event qualifies as a casualty
Question 10 (10 points) Save
Frank Smith will celebrate his 65th birthday on January 1, 2006. Frank lives with his wife, Mary, who is 62 years of age. Neither Frank nor Mary is blind. On their joint tax return for 2005, Frank and Mary may claim a standard deduction of:
1) $6,000.
2) $10,000.
3) $11,000.
4) $12,000.
5) None of the above.
No comments:
Post a Comment