Tax Exam Chapters 4,5,6,7 Jenny Bem Wofford College

For AGI deductions,

a. are determined by the taxpayer

b. are set by statute

c. increase tax liability

d. are reported in schedule A

b. are set by statute

For AGI deductions,

a. increase AGI

b. reduce tax credits

c. are available only for married filing jointly

d. can reduce overall tax liability

d. can reduce overall tax liability

Student loan interest is reported on Form

a. I098-SA

b. 1098-E

c. 1099-S

d. 1098-GA

b. 1098-E

Taxpayers eligible to take the student loan interest deduction do not include

a. a student who is claimed as a dependent on another’s return

b. a self-supporting student

c. the parents of a dependent student who took out the loan on their child’s behalf

d. a married student filing jointly

a. a student who is claimed as a dependent on another’s return

To be eligible to fund a HSA, a taxpayer must meet which criteria:

a. an employee (spouse) who works for an employer with a high deductible health plan

b. an uninsured employee who has purchased a HDHP on their own

c. a self employed individual

d. all of the above

d. all of the above

To be eligible to deduct moving expenses, a taxpayer

a. must be a member of the armed forces

b. must be on active duty

c. must be undergoing a permanent change of station

d. all of the above

d. all of the above

The deduction for half of the self-employment tax is

a. based on a total of 7.65% of FICA taxes

b. based the gross earnings of the business

c. based on filing status

d. based on the net earnings of the business

d. based on the net earning of the business

As for AGI Deduction, self-employed health insurance premiums are deductible at

a. 50%

b. 70%

c. 80%

d. 100%

d. 100%