16.Which of the following statements about the child and dependent care credit is not true?

Group of answer choices

a.payments for dependent care services must be employment-related

b.the amount of the credit is not subject to phase-out based on the taxpayers adjusted gross income

c.the credit is for dependent care services is refundable

d. a credit of up to 35% may be claimed for certain child and dependent care expenses incurred as a result of an individuals employment

17.In order for a taxpayer to be eligible for education credits, he/she or his/her dependent must be enrolled in a program leading toward a college degree.

Group of answer choices

True

False

18.

With regard to wage income:

Group of answer choices

a. employers pay all of the social security income directly, and employees pay the Medicare tax through withholding.

c. payroll taxes are only withheld if the employee specifically requests additional withholding.

d. employees never see any reporting of their payroll taxes because they are sent directly from the employers account to the IRS.

b. employers pay half of the payroll taxes (7.65%) directly, while employees pay the other half through withholding.

19.Compared to wage income, self-employment income:

Group of answer choices

d. is subject to SECA taxes which must be paid entirely by the taxpayer

a. is always subject to higher social security and Medicare taxes.

b. has a lower cap on social security and Medicare taxes.

c. offers no deductions for SECA tax paid.

20.The alternative minimum tax (AMT) is a tax system that runs parallel to the normal system, and is designed to impose penalties on middle and upper income taxpayers for excessive use of certain tax preferences.

Group of answer choices

True

False