A+ Answers

What is the filing status for Norman and Dorothy Painter?
a.Married Filing Joint
b.Married Filing Separately
c.Head of Household
d.None of the Above
Question 2
How many exemptions are the Painter’s filing on their 1040A tax return
a.1
b.2
c.3
d.4
Question 3
How many dependents are the Painter’s claiming on this tax return?
a.`1
b.2
c.3
d.4
Question 4
Who is considered the “primary” on this tax return?
a.Hunter
b.Emily
c.Norman
d.Dorothy
Question 5
What is the adjusted gross income amount and on what line(s) is this amount identified on tax form 1040A?
a.Line 21, $48,945
b.Line 22, $49,245
c.Line 22 or 21, $49,245
d.Line 21 and 22, $48,495
Question 6
How much is the taxable interest and where is it located on the tax form(s)?
a.Schedule B, Line 4 and on Form 1040A, Line 8a, $245
b.Schedule B, Line 2, and form 1040A, Line 8b, $245
c.Only on Schedule B, $245
d.Only on Form 1040A, $245
Question 7
What is the amount of the student loan interest that Norman is adjusting from the adjusted gross income, and what line number is it on Form 1040A?
a.$300
b.$245 and Line 8a
c.Line 18
d.$300 and Line 18
Question 8
Are the Painter’s electing the standard or itemized deductions, what is the amount and what is the line number on the 1040A?
a.Itemized, line 24; $11,900
b.Standardized, Line 26, $11,900
c.Standardized, Line 26, $8,700
d.None of the above.
Question 9
What is the total amount of the exemptions and on what line number is the figure located on the 1040A?
a.Line 26, $5,200
b.Line 27, $15,200
c.Line 26, $15,200
d.None of the above.
Question 10
What is the amount of Taxable Income and what line number is it located?
a.Line 28, $21,845
b.Line 27, $2,404
c.Line 27, $21,845
d.None of the above.
Question 11
Where is the tax amount located on the 1040A Tax Return and where was the tax amount found?
a.Tax Tables
b.Form 1040A, Line 28, Tax Tables
c.Tax Rate Schedle
d.Form 1040A, Line 45, Tax Tables
Question 12
What is the amount of the Child Tax Credit and where is it located on form 1040A?
a.$4000, Line 12
b.$2,000 Line 33
c.$2000, Form 8812
d.None of the above.
Question 13
How much was paid in estimated taxes?
a.$400
b.$345
c.$000
d.$300
Question 14
The amount of Earned Income Credit (EIC) allowed for the Painters is
a.
$0
b.$543
c.
$932
d.$1000
Question 15
What is the amount of the refund on this tax return and what line is it located on?
a.$2,146
b.$2,550, Line 41
c.$2,550, Line 36
d.$2,550 Line 42
Question 16
On the Child Tax Credit WORKSHEET, how many qualifying children are being claimed?
a.1
b.2
c.3
d.4
Question 17
On the Child Tax Credit WORKSHEET, what is the amount in Box 2 and what is it called?
a.Adjusted Gross Income, $48,945
b.Adjusted Gross Income, $49,245
c.Earned Income, $49,000
d.None of the above
Question 18
Do the Painter’s qualify for the Additional Child Tax Credit (Schedule 8812, Part II)?
a.No
b.Yes
c.Not Sure
d.Maybe
Question 19
Whose Social Security Number is identified on the top of Schedule EIC in the box on the right hand side of the Schedule?
a.Dorothy
b.Emily
c.Norman
d.Hunter
Question 20
Does the tax preparer, Valerie Bush, need to prepare the Paid Preparers Earned Income Credit Checklist for the Painter’s if they do not qualify for the credit?
a.Yes
b.No
Question 21
What are the four areas that are identified to be completed if a taxpayer qualifies for the Child Tax Credit and the tax preparer has to complete form 8867?
a.Part 1 All Taxpayers
b.Part 2 Taxpayers With a Child
c.Part 3, Taxpayers Without a Qualifying Child
d.Part 4 Due Diligence Requirements
e.All of the above
Question 22
Could this tax return have been completed on Form 1040, Year 2012?
a.Yes
b.No
Question 23
If Norman had died in 2012 what would the filing status be for this tax return?
a.Head of Household^l
b.Qualifying Widow
c.Married Filing Separately
d.Married Filing Jointly
Question 24
If the Painters had been able to declare three (3) children, instead of 2, would they have qualified for the Earned Income Credit, if so, at what amount?
a.No
b.Yes, $0
c.Yes, $535
d.Yes, $986
None of the above – The correct answer would be Yes, $262
Question 25
What document is normally used to report earned wages from an Employer to an Employee?
a.1099G
b.W2
c.1099R
d.W4

Name:   Norman Q. Painter and Dorothy T. Painter are married (Nov. 5, 2000) and will file ajoint return for 2012. Neither Norman nor Dorothy is blind, and both are under age 65.

They rent their home at 1721 W. 240th St,Lomita, CA90721. Their home telephone number is -310/541-

111l.

Their nine year old daughter (DOB: 7/1/2003), Emily Painter, whose social security number is 644-36- 3871, has Jived at home aH year.

Their son Hunter was born 9-12-2006 and his social security number is 612-45-9145 and also lived with his parents for the full year.

Mr.Painter works as a computer analyst, and received wages of $31,000, from which $1,950 in federal income taxes and $475 in state income taxes was withheld. His social security number is 567-45-3888. Mr. Painter was born 04/28/1978.

Mr. Painter is also paying off a student loan and the interest for the year is $300

Mr. Painter is not required to pay any estimated taxes and chooses to not do so this year.

Mrs. Painter works as an administrative assistant and received wages of $18,000, from which $600 in federal income taxes and $200 in state income taxes was withheld. Her social security number is 412-45- 6798. Mrs. Painter was born on 06-12-1980.

The Painters received $245 of interest income from a U.S.financial institution, State Bank. The Painters elect to have $3 go to the Presidential Election Campaign Fund.

The Painters elect to have any refund directly deposited to their checking account. Their bank's routing number is 011000013 and their account number is 004002006

The Painters may be able to claim the child tax credit. They must fill out a worksheet accompanying Form 1040A to determine their eligibility and any credit amount.

The Painters may also be eligible for the earned income credit (EiC). They must complete a questionnaire, worksheet and Schedule EIC to determine their eligibility and any credit amount.

The Painters have elected to have Valerie Bush prepare their taxes.  Valerie Bush (PTIN # POl 765432) prepares Form 8867, Paid Preparer 's Earned Income Credit Checklist if they qualify for EIC.

Required forms are:

1040A US Income Tax Return (2012) 2012 Child Tax Credit Worksheet Schedule 8812 - Child Tax Credit

Schedule B-Interest and Ordinary Income Schedule EIC Earned Income Credit

Form 8867 Paid Preparers Earned Income Credit Checklist

Additional Document:

EIC Instructions and EiC tax tables.  Please refer to if needed for the Earned Income Credit calculation.