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6. For divorces after 1984 but before 2019, which of the following statements about alimony payments is not correct? a. The payments must be in
6. For divorces after 1984 but before 2019, which of the following statements about alimony payments is not correct? a. The payments must be in cash and must be received by the spouse(or former spouse). b. Divorced or legally separated parties can be members of the same household at the time the payments are c. The payor must have no liability to make payments for any period following the death of the spouse receiving the payments d. The payments must not be designated in the written agreement as anything other than alimony 7. In the current year, Johnice started a profitable bookkeeping business as a sole proprietor. Johnice made $38,000 in her first year of operation. What two forms must Johnice file for her business? a Schedules A andc b. Schedules D and E c. Schedule SE and C d. Schedules B andc e. None of the above 8 Which of the following is not a test to deduct business expenses: a. The expense must be ordinary and necessary b. The expense must have a legitimate business purpose cThe expense must be reasonable d. The expense must be lavsh and extravagant 9. Greg, a self employed plumber, commutes from his home to his office which is 10 miles away. At his office, he loads his truck for the day with the parts that he needs. Then he is off to see his first customer of the day, Mr Smith. Mr. Smith is 5 miles away from the office. After Mr. Smith's job, Greg goes to his next plumbing client, Martin's Dry Cleaning, which is 21 miles away from Mr. Smith. Greg spends the rest of the day at Martin's Dry Cleaning. From Martin's Dry Cleaning, Greg goes home which is now only 7 miles away. How much can Greg count as deductible transportation miles? a. None of it b. 21 miles c. 26 miles d. 43 miles 10. Which of the following is a capital asset? a. A literary work held by the author b. Real estate held by a developer c. A taxpayer's principle residence d. A truck used in a taxpayer's business e. None of the above
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