1.

How are a clergy housing allowance and the fair rental value of provided housing treated for tax purposes?

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For all clergy, the amounts are excluded from gross income for both SE and income taxes.

For active clergy, the amounts are included in gross income for SE and income taxes.

For all clergy, the amounts are excluded for SE tax, but included for income tax.

For active clergy, the amounts are included in gross income for SE tax, but excluded for income tax.

2.

Which of the following, when paid to produce taxable investment income, is an investment expense deductible on line 23 of Schedule A?

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Commissions paid on sales of stock.

Cost of attending an investment-related seminar.

Cost of investment advice.

Investment interest expense.

3.

When must a taxpayer prepare Form 982?

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When a Form 1099-C is issued to a taxpayer.

When a Form 1099-A is issued to a taxpayer.

When a taxpayer has excludable income from cancellation of debt income.

When a taxpayer decides to exclude some income from their return.

4.

Izzie sold residential rental property he had owned for three years. As part of this sale, Izzie realized gain on the sale of the rental house he was depreciating using regular MACRS. Which Code section describes the gain on the LAND?

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1231.

1245.

1250.

1254.

5.

Which statement about qualified tuition programs (529 plans) is TRUE?

*	Taxpayers may contribute on behalf of a nondependent.
	Contributions are limited to $2,000 per student per year.
	Contributions are deductible for federal income tax purposes.
	Earnings grow tax-deferred but are always taxed at distribution.