Tax Returns Answers

You have a gross income of $117,151 and are filing your tax return singly. You claim one exemption and can take a deduction of $2,713 for interest on your mortgage, an adjustment of $2,791 for business losses, an adjustment of $1,346 for alimony, a deduction of $2,086 for property taxes, a deduction of $2,376 for contributions to charity, and an adjustment of $1,091 for contributions to your retirement fund. The standard deduction for a single filer is $5,700, and exemptions are each worth $3,650. What is the difference between your adjusted gross income and your taxable income?a.$16,053b.$9,350c.$10,825d.$14,475

Which of these can be listed as benefits of filing your tax return online?I. Allows you to claim a larger number of deductionsII. Allows for faster receipt of any refunds dueIII. Allows for greater accuracy when filinga.I and IIb.III onlyc.II and IIId.I, II, and III

Ken, a single taxpayer, has a gross income of $79,685. He claims one exemption and can take a deduction of $1,257 for medical expenses, a deduction of $2,181 for interest on his mortgage, an adjustment of $800 for alimony, a deduction of $1,419 for property taxes, an adjustment of $1,722 for business expenses, and an adjustment of $2,511 for contributions to his retirement fund. The standard deduction for a single filer is $5,700, and exemptions are worth $3,650 apiece. Using the table below, how much does Ken owe in income tax? a. $12,663 b. $12,825 c. $12,675 d. $12,838 Please select the best answer from the choices provided

Mr. and Mrs. Nedage are filing a joint tax return. While listing their deductions, they find that they can deduct $2,150 from medical bills, $826 from state taxes, $3,133 from charitable donations, and $1,331 from interest on their mortgage. The standard deduction for married couples filing jointly is $8,350. How does the standard deduction compare to the Nedages’ deductions?a.The Nedages’ deductions are $1,740 better than the standard deduction.b.The Nedages’ deductions are $7,440 better than the standard deduction.c.The standard deduction is $910 better than the Nedages’ deductions.d.The standard deduction is $9,260 better than the Nedages’ deductions.

If 20% of all manually filed returns contain errors, and 0.05% of all electronically filed returns contain errors, how much more likely is a manual filer to make an error than an electronic filer?a.40,000 times more likelyb.4,000 times more likelyc.400 times more likelyd.40 times more likely

What is the difference between a tax credit and a tax deduction?a.A tax credit represents money owed to you, while a tax deduction represents money you owe.b.A tax credit reduces the amount of money you must pay, while a tax deduction reduces your taxable income.c.A tax credit is owed money that collects interest, while a tax deduction is money that you do not have to pay.d.A tax credit occurs if you underpaid during the year, and a tax deduction occurs if you overpaid.

Tax returns filed manually have a 20% chance of containing errors, while tax returns filed electronically have a 0.05% chance of containing the same. If 2.7 million tax returns are filed each way, how many more erroneous manually filed returns will there be than erroneous electronically filed returns?a.270,675b.538,650c.541,350d.269,325

Bianca and Dave are a married couple filing a joint tax return. They have a combined gross income of $81,031 and claim four exemptions. They can make an adjustment of $2,914 for business expenses, an adjustment of $1,939 for business losses, a deduction of $4,140 for medical expenses, an adjustment of $4,825 for contributions to their retirement fund, and a deduction of $2,420 for charitable donations. If exemptions are worth $3,650 apiece and the standard deduction for a joint return is $8,350, what is their total taxable income?a.$50,193b.$41,843c.$48,403d.$52,793

Harry and Helen are married, filing jointly. Their combined taxable income is $65,922. Every week, a total of $187 is withheld from their pay. Based on the table below, what can Harry and Helen expect when their taxes are due? a. Harry and Helen will owe an additional $193. b. Harry and Helen will owe an additional $3,104. c. Harry and Helen will receive a refund of $724. d. Harry and Helen will receive a refund of $555. Please select the best answer from the choices provided

Nastasha has a gross income of $66,429. She can make adjustments of $14,490 for business losses, $3,584 for business expenses, and $4,813 for contributions to her retirement plan. What is Nastasha’s adjusted gross income?a.$109,971b.$22,887c.$72,522d.$43,542