Questions from Individual Taxation

Q: 21. In April 2019, Fred paid $60 of state

21. In April 2019, Fred paid $60 of state income tax that was due when he filed his 2018 income tax return. During 2019, Fred’s employer withheld $1,500 of state income tax from his pay. In April 2020...

Q: 31. Which of the following would typically be deductible as a

31. Which of the following would typically be deductible as a casualty loss in 2019? a. Long-term damage to a home from termites b. An automobile accident during the daily commute c. A theft of a big...

Q: 3. Which of the following entities is likely to have the

3. Which of the following entities is likely to have the greatest flexibility in choosing a year-end other than a calendar year-end? a. Sole proprietor b. General partnership c. Corporation d. S corpo...

Q: 13. For 2019, Roberta is a self-employed truck

13. For 2019, Roberta is a self-employed truck driver with earnings of $47,000 from her business. During the year, Roberta received $2,500 in interest income and dividends of $500. She also sold inves...

Q: 1. Russ and Linda are married and file a joint tax

1. Russ and Linda are married and file a joint tax return claiming their three children, ages 4, 7, and 18, as dependents. Their adjusted gross income for 2019 is $415,300. What is Russ and Linda’s to...

Q: 13. Joan, a single mother, has AGI of $

13. Joan, a single mother, has AGI of $61,500 in 2019. In September 2019, she pays $5,000 in qualified tuition for her dependent son who just started at Big University. What is Joan’s American Opportu...

Q: 1. Alice purchases a rental house on August 22, 2019

1. Alice purchases a rental house on August 22, 2019, for a cost of $174,000. Of this amount, $100,000 is considered to be allocable to the cost of the home, with the remaining $74,000 allocable to th...

Q: 11. The amortization period for Section 197 intangibles is:

11. The amortization period for Section 197 intangibles is: a. 5 years b. 7 years c. 10 years d. 15 years e. 40 years 12. Which of the following intangibles is defined as a Section 197 intangibl...

Q: 2. Abbe, age 56, is married and has two

2. Abbe, age 56, is married and has two dependent children, one age 14, and the other a 21-year-old full-time student. Abbe has one job, and her husband, age 58, is not employed. If she expects to ear...

Q: 11. Ran’s wage income is $47,350 in 2019

11. Ran’s wage income is $47,350 in 2019. The combined employer and employee FICA tax rates that apply to Ran’s wages are: a. 15.3% for Social Security and Medicare b. 6.2% for Social Security and Med...