Who must file
Whether a U.S. citizen or resident alien must file an individual return generally depends on three factors?
What are:
1. Income,
2. Filing status, and
3. Age.
Which section of Form 1040 do taxpayers use to claim Earned Income Credit?
What is Payments and Refund Credits
What year did they eliminate personal, spousal, and dependent exemptions?
What is all years 2018 and later
Chris and Jennifer Rose are married. Chris files his return on a fiscal-year basis and Jennifer uses the calendar-year tax period. They must file separately for tax year 2025. True or False and explain your answer
What is "True" because they married, but because they use different accounting periods, they must file MFS.
What is a number assigned by the IRS when a document or payment is received without an SSN?
What is an IRSN
What are the two accounting methods?
What is Cash and Accrual.
Cash – Taxpayers use the cash method of accounting to report an item of income in the year in which it is actually or constructively received. Deductions are taken in the year expenses are actually paid. Most individual taxpayers use this accounting method. Constructive receipt is covered in a separate lesson in this course.
Accrual – Taxpayers using the accrual method report income when it is earned, even if they receive the payment in a later year. They take expenses when they are incurred, even if not yet paid.
Which Schedule for Form 1040 would taxpayers use to enter self-employment tax?
What is Schedule 2, Additional Taxes
Phillip Adder is 19 and out of school. His parents want to claim him as a dependent. He earned $10,950 from a part-time job. Does Phillip meet the gross income test?
What is "No" because his gross income is over $5,200.
What is the first step in figuring the taxpayer’s filing status?
What is determining what the taxpayer’s marital status on the last day of the tax year.
What Form is used by a taxpayer to apply for an ITIN?
What is Form W-7
Fred Boxer’s parents claim him as a dependent. He is age 20, not blind, and unmarried. His wages for the year totaled $9,130. What is Fred’s filing threshold for tax year 2025?
What is $9,580
Which Schedule do taxpayers use to enter the health savings account deduction?
What is Schedule 1, Additional Income and Adjustments to Income
To be claimed as qualifying relative, the dependent must what four tests?
1. Not a qualifying child of the taxpayer or anyone else.
2. Member of household or relationship
3. Gross income
4. Support
One requirement for filing as HOH is to pay only half the cost of keeping up a home for the tax year. True or False
What is "False" you must pay more than half the cost of keeping up a home for the tax year.
Which TIN is formatted 900-93-0000?
What is an ATIN
Paul Deer made $18,500 in income while starting out in his new business; however, his startup costs were high, and his net earnings were only $350. Paul is filing single and is 28 years old. Is Paul required to file a tax return for tax year 2025?
What is "Yes", his gross income was more than $15,000.
Which Schedule for Form 1040 would taxpayers use to claim Education Credits from Form 8863, line 19?
What is Schedule 3, Additional Credits and Payment
Marla Finch wants to claim her father, Brad, whose income consists of $5,760 nontaxable Social Security benefits, $2,460 nontaxable veteran’s benefits, and $180 interest income. Does Brad meet the gross income test?
What is "Yes" because her father’s gross income is less than the $5,200. A taxpayer who receives Social Security benefits includes only the taxable portion in the gross income test.
Ed Pacer is single and pays more than half the cost of keeping up the home for himself and his son, Josh. Josh is 15 years old and does not provide more than half of his own support. Josh lived with Ed for all of 2025. Can Ed file as HOH for 2025? Yes or No and explain why or why not
What is "Yes" because Josh meets the qualifying child criteria for Ed to qualify to file HOH.
Which form should a taxpayer file to obtain an SSN?
What is a Form SS-5
What is the form a taxpayer would file to allow them an automatic six-month extension of time to file?
What is a Form 4868
Which section do taxpayers use to enter their IP PIN?
What is a Jurat
To be claimed as qualifying child, the dependent must meet what 5 tests?
1. Relationship
2. Age
3. Residency
4. Support
5. Joint return
To qualify for HOH filing status what are the three things the taxpayers must be?
What is:
o Be unmarried or considered unmarried.
o Have paid more than half the cost of keeping up a home for the tax year.
o Be able to claim a qualifying person as a dependent
An ATIN expires two years from the date issued
What is True