1. Nikita owns a rental house in California and another rental house in Nevada. She is a Nevada resident. Both her rental house in California and her rental house in Nevada had a passive activity loss in the current year. For passive activity loss limitations, which of the following is true for her California State Income Tax Return?

a. Nikita only recognizes the passive activity loss from her rental house in Nevada, and not the passive activity loss from her rental house in California.

b. Nikita cannot recognize the passive activity loss in her rental house in California, nor the passive activity loss from her rental house in Nevada.

c. Nikita groups the passive activity losses from the rental house in California and the rental house in Nevada together for her California State Income Tax Return.

d. Nikita only recognizes the passive activity loss from the rental house in California, and does not recognize the passive activity loss from the rental house in Nevada.

2. On 6/30/20X1, Chloe sold her primary residence in San Francisco, California, and moved to Las Vegas, Nevada, where she bought her new primary residence. She bought her new house on 7/1/20X1, and lived in Nevada for the remainder of 20X1. Chole paid $4,000 in qualified residential mortgage interest on her house in San Francisco , and $5,000 in qualified residential mortgage interest on her house in Nevada. In 20X1, how much qualified mortgage interest can she claim on her California State Income Tax Return?

Group of answer choices

a. $0

b. $4,000

c. $5,000

d. $9,000

3. Florence is a California resident. She worked, and earned wages in California. In addition to this, she had a rental house in New York. Her rental house had a net income of $10,000, and she paid $500 in New York State Income Tax. What is true in regards to the $500 in New York State Income Tax that she paid?

Group of answer choices

a. The $500 is a miscellaneous itemized deduction on her Federal Income Tax Return, but not deductible on her California State Income Tax Return.

b. The $500 is a miscellaneous itemized deduction on her Federal Income Tax Return, and can be claimed as a credit on her California State Income Tax Return

c. The $500 is not deductible her Federal Income Tax Return, and deductible on her California State Income Tax Return.

d. The $500 is not deductible her Federal Income Tax Return, and not deductible on her California State Income Tax Return.