All questions will be based on Tax Cuts & Jobs Act (TCJA) and tax returns prepared after 2017

8) In addition to the general requirements for in-home office expenses, employees must also prove that the exclusive use of the office is for the convenience of the employer.

A) TRUE

B) FALSE

9) All of the following are essential elements of an employer expense reporting Accountable Plan, that enables exclusion from employee gross income, except:

A) A business connection of the expense incurred.

B) The expense must be substantiated.

C) Approval by the Board of Directors or owners of the employer.

D) Return of all advances to the employer by the employee that exceed the actual expense

10) If an employer has an Accountable Plan, the reimbursement paid to an employee for business travel based on the standard mileage rate is deductible to the employer and included in gross income of the employee.

A) TRUE

B) FALSE

11) The maximum tax deductible contribution to a traditional IRA in 2018 is:

A) $5,500 ($6,500 for a taxpayer age 50 or over).

B) $5,000

C) $6,000

D) $0. The contribution to a traditional IRA in 2018 is no longer deductible.

12) All of the following are true regarding Health Savings Accounts, except:

A) A High Deductible Health Plan (HDHP) must be utilized.

B) The interest or other earnings on the assets in the account are tax free.

C) All distributions are taxable, even if used to pay qualified medical expenses.

D) An HSA is "portable." It stays with you if you change employers or leave the work force.

E) The contributions remain in your account until you use them.

13) Under the MACRS rules, salvage value is not considered in the computation of the cost-recovery or depreciation amount.

A) TRUE

B) FALSE

14) Under the MACRS system, automobiles and computers are classified as seven-year property.

A) TRUE

B) FALSE

15) Any Section 179 deduction that is not allowed currently due to the taxable income limitation may be carried over and deducted in future years.

A) TRUE

B) FALSE

16) A large SUV is place in service in 2018. The entire cost of the SUV weighing over 6,000 pounds can be written off using 100$ bonus depreciation in the first year placed in service.

A) TRUE

B) FALSE