Tax Wrong Answers

Question 1

Any distribution from an S corp is not self-employed income. T/F?

Answer 1

TRUE

Question 2

NO itemized deductions for 2018 through

Answer 2

2025

Question 2

Medical expense deduction for a client under 65 is subject to an AGI floor of

Answer 2

7.5%

Question 3

Alimony received before 2019 is included in Gross Income?

Answer 3

True

Question 4

Personal exemptions are suspended for 2018 through

Answer 4

2025. NO PERSONAL EXEMPTIONS.

Question 5

Workers comp and compensatory damages are Tax Free. T / F?

Answer 5

True.

Question 6

Paying child support is not deductible. T/F?

Answer 6

True.

Question 7

Child standard deduction is te greater of: 1300 UN-Earned income, or

Answer 7

Earned income + $450. up to a normal single standard deduction.

Question 8

S corps CANT utilize NOL’s because they already operate as pass through losses

Answer 8

TRUE

Question 9

More then 25m and has inventory. Must use what style of accounting?

Answer 9

Accrual

Question 10

There is NO 1231 gain, if the gain is less than the CRD.

Question 11

1245 Gain recapture =

Answer 11

lesser of the CRD or gain realized.

Question 12

Section 1244 is qualified small business stock. Losses?

Answer 12

100k joint loss as ordinary loss, noit capitol. Over 100k is capitol. ANy gain is capitol gain.