nstructions : Choose the best multiple choice answer and explain why you chose the answer. MUST provide 2-3 sentence brief explanation and show all work. All sources must be noted.
____ 19. Which of the following statements is true regarding the education tax credits?
a.
The lifetime learning credit is available for qualifying tuition and related expenses incurred by students pursuing only graduate degrees.
b.
The American Opportunity credit permits a maximum credit of 20% of qualified expenses up to $10,000 per year.
c.
The American Opportunity credit is calculated per taxpayer, while the lifetime learning credit is available per eligible student.
d.
Continuing education expenses do not qualify for either education credit.
e.
None of the above statements is true.
nstructions : Choose the best multiple choice answer and explain why you chose the answer. MUST provide 2-3 sentence brief explanation and show all work. All sources must be noted.
____ 19. Which of the following statements is true regarding the education tax credits?
| a. | The lifetime learning credit is available for qualifying tuition and related expenses incurred by students pursuing only graduate degrees. |
| b. | The American Opportunity credit permits a maximum credit of 20% of qualified expenses up to $10,000 per year. |
| c. | The American Opportunity credit is calculated per taxpayer, while the lifetime learning credit is available per eligible student. |
| d. | Continuing education expenses do not qualify for either education credit. |
| e. | None of the above statements is true. |
Related questions
1. If a taxpayer works for two separateemployers, how much in FUTA taxes is each employer responsible toremit in the name of the taxpayer? (Points : 1) Only the first employer isrequired to remit FUTA taxes on the wages earned from the firstjob.
Both employers must remit FUTAtaxes on the first $7,000 in wages they pay to the taxpayer.
The first employer remits 5.4%on the first $7,000 in wages while the second employer remits only.8% on the first $7,000 in wages to equal the 6.2% rate.
The first employer remits FUTAtax on the first $7,000 in wages and the second employer remitsFUTA tax on the next $7,000 in wages.
$500. $800. $1,000. |
Rollovers are permitted only inunusual circumstances. A tax-free rollover can be madefrom a traditional IRA to another traditional IRA. A tax-free rollover can be madefrom a traditional IRA to a Roth IRA. |
Qualified education expensesinclude required tuition, fees, books, supplies, and equipment atan eligible educational institution. Qualified expenses must bereduced by scholarships or other tax-free income. All of the above. |
$1,200. $1,260. $6,300. |
Employees who received over$85,000 compensation in the previous year. Employees who were in the top25% of employees based on compensation. None of the above. |
$1,400. $1,600. $1,650. |
Directly to the authorizeddepository on the same day the Form 941 is mailed. Directly to the InternalRevenue Service when they file Form 941. Directly only if they use theEFTPS form of payment before Form 941 is filed. |
$350 $825. $1,375 |
Federal withholdingtaxes. Unemployment taxes. All of the above. |
