Read 'Chapter 17: Individual Retirement Arrangements' & answer the following question(s): |
1. | You cannot make contributions to an IRA if you are 80 years old. |
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2. | You can contribute to a Roth IRA for your spouse provided the contributions satisfy the spousal IRA limit. |
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3. | You can keep funds in your traditional IRA indefinitely. |
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4. | Generally, distributions from a Roth IRA are taxable in the year that you receive them. |
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5. | You are not required to take distributions from your Roth IRA at any age. |
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6. | You can set up a Roth IRA at any time. |
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7. | You can make contributions to a Roth IRA at any time. |
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Read 'Chapter 18: Alimony' & answer the following question(s): |
8. | Not all payments required under a divorce instrument are considered alimony for tax purposes. |
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9. | All payments required under a divorce instrument are considered alimony for tax purposes. |
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10. | If your alimony payments decrease or terminate during the first three calendar years, you may be subject to the recapture rule. |
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Read 'Chapter 19: Education-Related Adjustments' & answer the following question(s): |
11. | Student loan interest includes both required and voluntary interest payments. |
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12. | You can change your return by filing Form 1040X. |
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13. | For purposes of the standard deduction, earned income includes any part of a scholarship or fellowship grant that you must include in your gross income. |
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Read 'Chapter 20: Standard Deduction' & answer the following question(s): |
Read 'Chapter 21: Medical and Dental Expenses' & answer the following question(s): |
14. | In order to claim medical expenses for your spouse: |
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15. | Birth control pills prescribed by a doctor qualify as a medical expense. |
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16. | Bottled water qualifies as a medical expense. |
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17. | In order for a tax to be deductible, it must be imposed on you. |
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18. | You can deduct state and local income taxes. |
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19. | Deductible real estate taxes generally do not include taxes charged for the local benefits and improvements that increase the value of the property. |
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Read 'Chapter 22: Taxes' & answer the following question(s): |
Read 'Chapter 23: Interest Expense' & answer the following question(s): |
20. | Prepaid mortgage interest is deductible in the year paid. |
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21. | You generally cannot deduct the full amount of points in the year paid. |
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Read 'Chapter 24: Contributions' & answer the following question(s): |
22. | Money or property given to public parks and recreation facilities are deductible as charitable contributions. |
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23. | Money or property given to political groups are deductible as charitable contributions. |
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Read 'Chapter 25: Nonbusiness Casualty and Theft Losses' & answer the following question(s): |
24. | Deductible casualty losses can result from sonic booms. |
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25. | Deductible casualty losses can result from terrorist attacks. |
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Read 'Chapter 26: Car Expenses and Other Employee Business Expenses' & answer the following question(s): |
26. | Your trip is considered entirely for business if you were outside the United States for a week or less, combining business and nonbusiness activities. |
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27. | You can deduct your travel expenses when you attend a convention if you can show that your attendance benefits your trade or business. |
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Read 'Chapter 27: Tax Benefits for Work-Related Education' & answer the following question(s): |
28. | Education you need to meet the minimum education requirements for your present trade or business is qualifying work-related education. |
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29. | Education that maintains or improves skills in your present work is considered qualifying work-related education. |
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Read 'Chapter 28: Miscellaneous Deductions' & answer the following question(s): |
30. | You can claim a depreciation deduction on your computer or cell phone that you use in your work as an employee if its use is for the convenience of your employer and is: |
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31. | Fines and penalties paid to a governmental unit for violating the law are nondeductible. |
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Read 'Chapter 29: Limit on Itemized Deductions' & answer the following question(s): |
32. | Gambling losses are subject to the overall limit on itemized deductions. |
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33. | Medical and dental expenses are not subject to the overall limit on itemized deductions. |
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34. | The overall limit on itemized deduction does not apply to investment interest expense. |
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Read 'Chapter 30: How to Figure Your Tax' & answer the following question(s): |
35. | Changes to accelerated depreciation of certain property is a common tax preference item for AMT purposes. |
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36. | The addition of personal exemptions is a common adjustment for AMT purposes. |
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Read 'Chapter 31: Tax on Investment Income of Certain Minor Children' & answer the following question(s): |
37. | Part of a child's investment income may be subject to tax at the parent's tax rate if the child's investment income was less than $1,600. |
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38. | If you qualify and elect to include your child's interest and dividend income on your tax return, your child will not have to file a return. |
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39. | To claim the child and dependent care credit, you must keep up a home. |
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40. | The home you keep up in order to claim the child and dependent credit must be the main home for both you and the qualified person. |
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Read 'Chapter 32: Child and Dependent Care Credit' & answer the following question(s): |
Read 'Chapter 33: Credit for the Elderly or the Disabled' & answer the following question(s): |
41. | For purposes of the credit for the elderly or disabled, if you are under age 65, you must have your physician complete a statement certifying that you were permanently and totally disabled on the date you retired. |
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42. | You can take the credit for the elderly or disabled if you are a qualifying individual and your income is not more than certain limits. |
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Read 'Chapter 34: Child Tax Credit' & answer the following question(s): |
43. | An 18 year old child is considered a qualifying child for purposes of the child tax credit. |
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44. | To claim the child tax credit, you must file Form 1040 or Form 1040A. |
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Read 'Chapter 35: Education Credits' & answer the following question(s): |
45. | The Lifetime Learning Credit is available for all years of postsecondary education and for courses to acquire or improve job skills. |
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46. | The Hope Credit is available only until the first two years of postsecondary education are completed. |
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Read 'Chapter 36: Earned Income Credit' & answer the following question(s): |
47. | To claim the earned income credit, your filing status cannot be married filing separately. |
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48. | To claim the earned income credit, your filing status cannot be married filing jointly. |
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Read 'Chapter 37: Other Credits' & answer the following question(s): |
49. | Currently, there is NO tax credit allowed for placing a qualified electric vehicle in service during the year. |
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50. | Credit for excess social security tax withheld is a refundable credit. |
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