Filing Status
Scott is single. His daughter, Rita, is his qualifying child. They lived together for all of 2018. Scott pays more than 50% of the cost of maintaining their home. What is his best filing status?
HOH
what is the max amount of child tax credit I can receive if I have a son who is 5, a daughter that is 10 and a son that is turning 17 on Jan 3rd?
$4000
the 5 year and the 10 year old if they are qualifying children
the other son will be to old
what is earned income?
income from wages, job etc
I have Home mortgage interest for my personal home what schedule do I use?
Sched A
what is their tax bill?
Michael and Maureen Cummings
Married filing jointly
89,375
$11,542
Michael and Jenna entered into a common-law marriage in 2012. They have not divorced. Neither Michael nor Jenna have dependents they could claim for 2018. Michael does not know the whereabouts of Jenna and has not spoken with her in two years. what is Michaels best filing status?
Michael must file as married filing separately.
what is the limits for AOC.
4 years to claim
$2500 per student on return
tell me if the following are earned or unearned and included or excluded?
1. Interest from a savings account
2. Unemployment compensation
3. w-2 wages
1. unearned and included
2.unearned and included
3. earned and included
Student loan interest goes on what form?
Schedule 1
For an individual to be a qualifying child (QC) of a taxpayer, an individual must meet five tests what are they?
Timothy and Francine were married for ten years before Francine’s passing in 2018. Timothy paid all of the cost of maintaining a home for himself and his dependent son, Quentin. Quentin lived with Timothy for all of 2018. Timothy has not remarried. what is his best filing status
For 2018, Timothy will file married filing jointly as the surviving spouse.
what is the difference between a Credit and a Deduction?
Deduction lowers taxable income before tax bill
Credit lowers tax bill
I have capital gains why is this important?
taxed at a lower rate
I have $5000 in interest income where do I report this?
Schedule B
Frank, a tax preparer, receives a call from Mark, who is also a tax preparer. Frank and Mark work for different companies and do not know each other. Mark is preparing a tax return for one of Frank’s prior clients and needs some information from a prior-year return. is this ok why or why not?
Frank is not allowed to release information without the client’s written authorization. He may release the information after positively identifying the client by checking any applicable information, such as SSN, home address, spouse’s name, children’s names, etc. He must also receive the client’s consent before releasing the information
Sean and Cynthia were divorced on September 21, 2018. Neither had dependents they could claim for 2018.
Single
what is the age requirements for EIC?
25-65 without a qualifying child
no age with a qualifying child
Which of the following is not recorded on Schedule C?
Cost of Goods Sold.
Information on Your Vehicle.
Other Expenses.
Self-Employment Tax.
Self- employment tax
I have a home office. my house is 2000 sq feet and my office is 125 sq feet. what form will I use to claim my home office?
Bonus if you can tell me the % of office use
form 8829 + schedule C
Bonus- 16%
what is the highest % of SS can be taxed?
85%
Julie is married. Her husband, Gary, moved out in February of 2018. Her daughter, Kelli, is her qualifying child. She lived together with Kelli for all of 2018. Julie pays more than 50% of the cost of maintaining their home. what is her best filing status
HOH
what is a refundable credit, and name 3 of them?
credit that will pay out
EIC
ACTC
AOC
is child support included or excluded for both payer and payee?
excluded
what is the most important form for a taxpro and one you will be filling out for every client?
8867-
what is the difference between a Roth IRA and a Traditional IRA?
Roth is after tax money added
Traditional is pre taxed money