1. Looking at the Massachusetts Income Tax form, what are the deductions you can make (lines 11-16)? 2. Suppose in line 10 you have 25300 and in line 14 you have a $3000 rental deduction as your only deduction. Fill in lines 16, 17, 18, and 19. Assuming your interest and dividend income is 0 (no out of state banks), what is your total taxable 5.1% income? 3. What is your 5.1% tax (line 22)? 4. I have to fill out a schedule B form because I have an out of state bank (my interest is usually around $2.00 for the year, so it doesn't make much difference...). What is the tax rate on out-of-state interest (line 23)? 5. Assuming 0 on lines 23-27, what is my income tax before credits? 6. The difference between deductions and tax credits is that deductions come off your income and credits come the taxes (so a $1000 deduction only takes 5.1% or $51, whereas a $1000 credit takes off $1000). What are the two main tax credits listed on lines 29,30? 7. What are the voluntary fund contributions you can contribute to on the tax form? 8. Schedule HC is the form for Massachusetts health care. If you were enrolled in an eligible health care program, the penalty on line 35 is 0. What is the maximum penalty if you are not enrolled in an eligible health care program? 9. Look up something that you want to or need to know about taxes, and write a small amount about it here. Suggested topics: how much do I want to withhold if I'm working as a waitress; if I work in Rhode Island and live in Massachusetts, do I pay taxes to both, neither, or one and which one); what is the maximum penalty for going without health insurance in Massachusetts; what is the minimum amount I need to earn to need to file a return; how does a state like New Hampshire with no income tax and no sales tax pay for schools and services; what is the federal poverty level, and how many people live below it; 1. Looking at the Massachusetts Income Tax form, what are the deductions you can make (lines 11-16)? 2. Suppose in line 10 you have 25300 and in line 14 you have a $3000 rental deduction as your only deduction. Fill in lines 16, 17, 18, and 19. Assuming your interest and dividend income is 0 (no out of state banks), what is your total taxable 5.1% income? 3. What is your 5.1% tax (line 22)? 4. I have to fill out a schedule B form because I have an out of state bank (my interest is usually around $2.00 for the year, so it doesn't make much difference...). What is the tax rate on out-of-state interest (line 23)? 5. Assuming 0 on lines 23-27, what is my income tax before credits? 6. The difference between deductions and tax credits is that deductions come off your income and credits come the taxes (so a $1000 deduction only takes 5.1% or $51, whereas a $1000 credit takes off $1000). What are the two main tax credits listed on lines 29,30? 7. What are the voluntary fund contributions you can contribute to on the tax form? 8. Schedule HC is the form for Massachusetts health care. If you were enrolled in an eligible health care program, the penalty on line 35 is 0. What is the maximum penalty if you are not enrolled in an eligible health care program? 9. Look up something that you want to or need to know about taxes, and write a small amount about it here. Suggested topics: how much do I want to withhold if I'm working as a waitress; if I work in Rhode Island and live in Massachusetts, do I pay taxes to both, neither, or one and which one); what is the maximum penalty for going without health insurance in Massachusetts; what is the minimum amount I need to earn to need to file a return; how does a state like New Hampshire with no income tax and no sales tax pay for schools and services; what is the federal poverty level, and how many people live below it
