TRUE OR FALSE??

1. If a municipality that is widening its streets, expropriates land from a taxpayer and compensates him with a similar parcel of land of equivalent value, the taxpayer does not recognizes gain or loss on the exchange of the property.

2. The federal estimated taxes rules require that taxpayers make a payment once every three months to the United States Treasury Department equivalent of a quarter of their expected annual tax liability .

3. Employers with annual payroll tax liabilities of $1,000 or less are not required to make withholdings to their employees.

4. When an employer pays FICA taxes in excess of the applicable social security salary base limit for an specific employee, the employer can request a refund for the excess FICA payment made.

5. Generally, the tax rate that applies to the unearned income of a minor under the kiddie tax in 2020 is:

Select one:

a.

0%. The unearned income of a minor is not taxed

b.

The same as the head of household rate

c.

The same as the trust and estate rate

d.

The same as the parents tax rate

e.

The same as the single taxpayer rate