couple questions to go over and get the correct answer

Question 1 1. The US tax code was authorized by? Congress The Senate An amendment to the constitution The President 5 points Question 2 1. The US tax code is designed to: Promote economic and social policies Raise money for international programs Raise money for the federal government Raise money for the state governments throughout the country 5 points Question 3 1. Not every taxpayer will have the same filing status. All of the following filing statuses are acceptable EXCEPT: Head of household Married filing separately Single Single filing a joint return 5 points Question 4 1. Tax rates: Are the same for all individuals but businesses have different rates Are lower as an individual's income increases Vary depending on filing status Have remained fairly constant over the last 50 years with increases due to inflation 5 points Question 5 1. Adjusted gross income is calculated After the earned income credit is deducted Before student loan interest is deducted Before tax credits are deducted Before wages and salaries are added into income 5 points Question 6 1. Taxable income is Calculated after deductions Calculated before wages and salaries are added into income The same as adjusted gross income The same as what is shown on the W-2 5 points Question 7 1. Social Security Benefits: Are always taxed Are never taxed May be taxed depending on the recipients age May be taxed depending on the recipients income 5 points Question 8 1. Which of the following would be excluded from gross income? Child support Jury duty fees Tips Unemployment compensation 5 points Question 9 1. There are: Individual and business credits and deductions Individual credits and deductions none for business Only business credits and individual deductions Only individual credits and business deductions 5 points Question 10 1. What is the difference between a deduction and a credit? A credit is a direct reduction in a person's tax liability A credit is a reduction of income A deduction can only be taken by a taxpayer over 65 A deduction is a direct reduction in a person's tax penalty 5 points Question 11 1. To be deductible, the cost of uniforms must be: A required condition of employment and not be suitable for everyday use A required condition of employment yet can be suitable for everyday wear Required by the employer and written in their dress code Voted on by the employees of the organization and later incorporated into the employee hand book 5 points Question 12 1. Which of the following is not an itemized deduction on Schedule A? Alimony paid Casualty losses Medical expenses Personal property tax 5 points Question 13 1. What is meant by Standard Deduction? A credit against the tax liability A set deduction for everyone in the country An allowable deduction according to the number of dependents claimed on the tax return. An allowable deduction that varies depending on the filing status of the taxpayers. 5 points Question 14 1. If a taxpayer has $2,000 in interest income; on what form, other than on the 1040, do you report the interest income? Schedule B Schedule C Schedule E Schedule I 5 points Question 15 1. What tax form would be used to report a long-term gain on the sale of stock? Schedule A Schedule B Schedule D Schedule S 5 points Question 16 1. On what form is used to prepare an individual return with itemized deductions? 1040 1040D 1120 1120-I 5 points Question 17 1. What tax form would be used to report a profit or loss from sole proprietorship? Schedule A Schedule B Schedule C Schedule D 5 points Question 18 1. When meeting with a client: Explain to them that your fee will be based on the amount of the tax refund they receive Explain to them they do not need documentation for deductions unless the IRS calls them in for an audit and they can make it up then Explain to them where and when they must file their return Help the client make up W-2s if they have not gotten them from their employer but they know the amounts so they can file their return quickly 5 points Question 19 1. When a new small business client prepares account totals for you, you should? discuss each and every receipt with the client regardless of the amount enter in exactly what the client gives you since they sign the return enter in what the client gives you and add in 15% more to the accounts since small business clients frequently do not take all of the deductions allowed review the amounts for accuracy before entering them on the tax return 5 points Question 20 1. You have hired a babysitter to take care of your 2 children in your home. You pay this person $200 a week and she is employed all year. Not withholding FICA tax is allowed because The babysitter does not file a US tax return The babysitter does not have a social security number to give you The amount received by the babysitter is very low so withholding the tax would lower her income below the poverty level This is not allowed