Homework Answers
Part 5
Answer is True
Payments received through mowing lawns is an earned income and should be included in the tax return as a part of gross income.
Part 6
Answer is False
Interest and dividends are unearned income and an unearned income of 17-year old child is taxed as per trust and estates tax rates.
Part 7
Answer is False
All gambling winnings are to be reported on the tax return. Gambling losses to the extent of gambling innings are deducted only if the itemized deduction is used.
Add Answer to:
Question 6 (1 point) A taxpayer who receives payments for mowing lawns must include them in...
Question 9 (1 point) An accrual basis taxpayer receives an advanced payment for services to be...
Question 9 (1 point) An accrual basis taxpayer receives an advanced payment for services to be performed over the next three years. The taxpayer reports the payments in gross income over the years as the services are rendered over the next three years. 1) True 2) False Question 10 (1 point) When a person receives compensation in the form of noncash property, the person is includes the fair market value of the property in gross income. 1) True 2) False...
true or false 10. The individual alternative minimum tax liability may not exceed the regular tax...
true or false
10. The individual alternative minimum tax liability may not exceed the regular tax liability of the taxpayer. 11. When taxpayers overpay FICA taxes, the excess taxes may be claimed as a credit against tax lia bility 12. Gambling winnings must be reported to the IRS using form 1099 13. Dividend income is not subject to the self-employment tax 14. The FUTA tax is a voluntary unemployment tax which an employer may or may not wish to contribute...
True/False 1. The simplified method is used only for annuity distributions from qualified retirement plans. 2....
True/False 1. The simplified method is used only for annuity distributions from qualified retirement plans. 2. Total gambling winnings must be included in gross income and gambling losses (up to the amount of current year's winnings) are allowable as an itemized deduction. 3. Unemployment compensation is taxable. 4. Income from illegal activities is not taxable.
Question 12 (1 point) Taxpayers paying or receiving alimony must file Form 1040. 1) True 2)...
Question 12 (1 point) Taxpayers paying or receiving alimony must file Form 1040. 1) True 2) False a o Question 13 (1 point) The imputed interest rules do not apply to compensation-related loans of $10,000 or less (assuming no tax avoidance motive). ! 1) True 2) False Question 14 (1 point) The "kiddie tax" is imposed on any child who has at least one living parent or stepparent. 1) True 2) False Question 15 (1 point) For higher-income taxpayers, it...
Answer TRUE OR FALSE. CHAPTER 1 1. Two notable trends in tax revenue sources is that...
Answer TRUE OR FALSE. CHAPTER 1 1. Two notable trends in tax revenue sources is that social security taxes have decreased gradually while corporate income taxes have increased gradually over the last fifty years. 2. If a progressive tax rate system is used, as a taxpayer's taxable income decreases, a progressively higher rate of tax is applied. 3. The marginal tax rate measures the tax rate applicable to the next dollar of income or deduction for a taxpayer. 4. All...
True and False QUESTION 13 The fruit and tree metaphor is used to determine who must...
True and False
QUESTION 13 The fruit and tree metaphor is used to determine who must include an item of income in his or her gross income. True False QUESTION 14 Phil, age 15, who is claimed as a dependent by his parents, earned interest of $1,700 and wages of $500 in 2020. Phil's standard deduction is $1,050. True O False QUESTION 15 Issues regarding who is taxed on the income from community property are generally only important for federal...
Question 36 (1 point) Which of the following childcare costs can a taxpayer use in computing...
Question 36 (1 point) Which of the following childcare costs can a taxpayer use in computing the child and dependent care credit? 1) Payments made to the taxpayer's 17-year-old daughter to look after her younger brother after school so that the child's parents can both work. Payments made to the taxpayer's mother to look after the taxpayer's children after school so that the taxpayer can work. The taxpayer cannot claim her mother as a dependent. 3) Payments made to a...
I. TRUE OR FALSE (20 POINTS) 1. Partnerships may adopt any fiscal tax year if the...
I. TRUE OR FALSE (20 POINTS) 1. Partnerships may adopt any fiscal tax year if the tax year is used consistently. 2. The IRS will automatically grant a request for a change in tax years, provided the proper form is filed in a timely manner. 3. "Annualizing" is a method by which the taxpayer can usually decrease the amount of tax he or she pays. 4. Generally, cash basis taxpayers must account for payments of prepaid interest using the accrual...
QUESTION 6 An 18-year-old full-time student child who is claimed on the parents' tax return as...
QUESTION 6 An 18-year-old full-time student child who is claimed on the parents' tax return as a dependent is eligible for the child tax credit. True False 1 points QUESTION 7 A single taxpayer, who is not a dependent on another’s return, not blind and under age 65, with income of $11,750 must file a tax return. True False 1 points QUESTION 8 If an unmarried taxpayer paid more than half the cost of keeping a home which is the...
1. Summary Problem: Tommy, a single taxpayer with no dependents, has the following items that may...
1. Summary Problem: Tommy, a single taxpayer with no dependents, has the following items that may affect his taxable income. What is his adjusted gross income? Employee salary received $70,000 Child support paid to ex-wife 12,000 Total allowable itemized deductions 3,000 Cash gift received from parents 7,000 Gain on the sale of stock 5,000 Loss on the sale of personal residence (10,000) Loss on the sale of stock (6,000) Amount collected from a life insurance policy 40,000 Health insurance premiums...
Question 9 (1 point) An accrual basis taxpayer receives an advanced payment for services to be performed over the next three years. The taxpayer reports the payments in gross income over the years as the services are rendered over the next three years. 1) True 2) False Question 10 (1 point) When a person receives compensation in the form of noncash property, the person is includes the fair market value of the property in gross income. 1) True 2) False...
true or false
10. The individual alternative minimum tax liability may not exceed the regular tax liability of the taxpayer. 11. When taxpayers overpay FICA taxes, the excess taxes may be claimed as a credit against tax lia bility 12. Gambling winnings must be reported to the IRS using form 1099 13. Dividend income is not subject to the self-employment tax 14. The FUTA tax is a voluntary unemployment tax which an employer may or may not wish to contribute...
Question 12 (1 point) Taxpayers paying or receiving alimony must file Form 1040. 1) True 2) False a o Question 13 (1 point) The imputed interest rules do not apply to compensation-related loans of $10,000 or less (assuming no tax avoidance motive). ! 1) True 2) False Question 14 (1 point) The "kiddie tax" is imposed on any child who has at least one living parent or stepparent. 1) True 2) False Question 15 (1 point) For higher-income taxpayers, it...
True and False
QUESTION 13 The fruit and tree metaphor is used to determine who must include an item of income in his or her gross income. True False QUESTION 14 Phil, age 15, who is claimed as a dependent by his parents, earned interest of $1,700 and wages of $500 in 2020. Phil's standard deduction is $1,050. True O False QUESTION 15 Issues regarding who is taxed on the income from community property are generally only important for federal...
Question 36 (1 point) Which of the following childcare costs can a taxpayer use in computing the child and dependent care credit? 1) Payments made to the taxpayer's 17-year-old daughter to look after her younger brother after school so that the child's parents can both work. Payments made to the taxpayer's mother to look after the taxpayer's children after school so that the taxpayer can work. The taxpayer cannot claim her mother as a dependent. 3) Payments made to a...
I. TRUE OR FALSE (20 POINTS) 1. Partnerships may adopt any fiscal tax year if the tax year is used consistently. 2. The IRS will automatically grant a request for a change in tax years, provided the proper form is filed in a timely manner. 3. "Annualizing" is a method by which the taxpayer can usually decrease the amount of tax he or she pays. 4. Generally, cash basis taxpayers must account for payments of prepaid interest using the accrual...
1. Summary Problem: Tommy, a single taxpayer with no dependents, has the following items that may affect his taxable income. What is his adjusted gross income? Employee salary received $70,000 Child support paid to ex-wife 12,000 Total allowable itemized deductions 3,000 Cash gift received from parents 7,000 Gain on the sale of stock 5,000 Loss on the sale of personal residence (10,000) Loss on the sale of stock (6,000) Amount collected from a life insurance policy 40,000 Health insurance premiums...
Most questions answered within 3 hours.
-
Computer Programming II CS141(Java)
Mention the appropriate relationship between following
classes:
HOD–StaffMember
Car–Ferrari
Student-Address
BankAccount–FixedAccount
House-Building...
asked 1 hour ago -
Assume one of your finals has 50 questions on it, and
lucky for you, it's all...
asked 3 hours ago -
Rice Products in Bangladesh
Business behavior is derived in large part from the basic cultural
environment...
asked 4 hours ago -
The following base sequence is found for a mRNA fragment from
wild-type E. coli: 5'- UAUCAGUAGAUAAUGUAACC-3'...
asked 4 hours ago -
For this exercise, round all regression parameters to three
decimal places.
One of the two tables...
asked 5 hours ago -
What is the 5% level of significance for mean = 3.60, standard
deviation = 0.94, and...
asked 5 hours ago -
Prior to beginning work on this discussion, please read the
article by Hayley Peterson, 15 Companies...
asked 5 hours ago -
Which pair of aqueous solutions, when mixed, will form a
precipitate?
A) NaNO3 and AgC2H3O2
B)...
asked 6 hours ago -
1-Write an algorithm to get two numbers from the user (as
inputs) and calculate the sum...
asked 9 hours ago -
Define white-collar crime. What is the difference between
offender and offense-based definitions of white-collar crime? What...
asked 10 hours ago -
Consider a reaction which is 1st order with respect to A and 1st
order with respect...
asked 10 hours ago -
c++
The length of the hypotenuse of a right-angled triangle is the
square root of the...
asked 10 hours ago