CTFA

CTFA practice questions, page 17 of 35, with answer review and explanations.

Question 81

The dues paid for membership in our society; the cost of living in this country may be referred as:

  1. Income deficit
  2. Expenses
  3. Taxes
  4. Filing surplus

Question 82

Taxable income is:

  1. The amount of income subject to taxes; it is calculated by subtracting expenses, the larger of itemized or standard deductions, and exemptions from gross income
  2. The amount of income subject to taxes; it is calculated by subtracting adjustments, the larger of itemized or standard depreciations, and exemptions from gross income
  3. The amount of income subject to taxes; it is calculated by subtracting adjustments, the larger of itemized or standard deductions, and exemptions from gross income
  4. The amount of income subject to taxes; it is calculated by subtracting adjustments, the larger of itemized or standard deductions, and exemptions from earned income

Question 83

Gross income essentially includes any and all income subject to federal taxes. Here are some common forms of gross income Except:

  1. Wages and salaries
  2. Bonuses, commissions, and tips
  3. Interest and dividends received
  4. Alimony paid

Question 84

An adoption tax credit of up to $11650 is available for the qualifying costs of adopting child under age 18. Only taxpayers with AGI under $17,730 are eligible for the adoption tax credit. Here are some other common tax credits. Which of the following is/are Not out of those?

  1. Credit for the elderly or the disabled
  2. National tax credit
  3. Credit for prior year minimum tax
  4. Credit for qualified electric vehicle

Question 85

An extension of time beyond the April 15 deadline during which taxpayers, with the approval of the IRS, can file their returns without incurring penalties.

  1. Filing extension
  2. Amended return
  3. Estimated taxes
  4. None of the above