Question 80.80. Which of the following is not a preparer penalty? (Points : 1)

Tax preparers may be assessed a penalty for failing to give the taxpayer the preparer's workpapers. Tax preparers may be assessed a penalty for failing to keep a copy of the prepared return. Tax preparers may be assessed a penalty for endorsing or cashing a refund check issued to a taxpayer. Tax preparers may be assessed a penalty for failing to sign a tax return.

Question 81.81. Which of the following statements is the most correct regarding The Taxpayer Bill of Rights? (Points : 1)

It directs taxpayers to other IRS publications with more details on specific taxpayer rights. It explains the examination, appeal, collection, and refund process. It states that a taxpayer is responsible for payment of only the correct amount of tax due, no more, no less. All of the other provided choices of statements (except for "None....") are correct. None of the other provied choices of statements are correct.

Question 82.82. Which of the following statements best describes the purpose of the Taxpayer Bill of Rights? (Points : 1)

To provide the IRS with additional enforcement powers To grant to taxpayers the right to choose the time and method of payment of delinquent taxes To inform taxpayers of their rights in dealing with the IRS To inform taxpayers of the methods for properly completing their income tax returns None of the other provided choices

Question 83.83. Which of the following is the best definition of tax planning? (Points : 1)

Preparing a client's tax return Planning taxpayers' financial affairs in an effort to minimize tax liability Planning taxpayers' financial affairs to find the best way to avoid tax by successfully bending tax law Researching complex tax issues None of the other provided choices are considered tax planning

Question 84.84. Patricia has taxable income of $40,000 on which she pays income tax of $5,856. If Patricia's taxable income increases by $2,000, she will pay an additional tax of $500. What is Patricia's marginal tax rate? (Points : 1)

15.00% 14.84% 15.32% 25.00% None of the other provided choices

Question 85.85. Which of the following statements best describes the process of tax planning? (Points : 1)

Tax planning is equivalent to tax evasion. Tax planning is the avoidance of "tax traps." Tax planning is the process of arranging one's financial affairs to minimize one's overall tax liability. Tax planning is the deferral of tax on income. Tax planning is the calculation of a taxpayer's marginal rate of tax.

Question 86.86. Which of the following taxpayers will benefit most in terms of dollars saved as a result of tax planning to reduce taxes? (Points : 1)

An individual taxpayer who has a marginal tax rate of 28%. An individual taxpayer who has an average tax rate of 28%. An individual taxpayer who has a marginal tax rate of 15%. Both an individual taxpayer who has a marginal tax rate of 28% and an individual taxpayer who has an average tax rate of 28% will benefit equally. None of the other provided choices.