Question

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.

2. Sandra is single and her son Julius is 12years old. If her AGI is $79,000, what amount of child tax creditcan Sandra claim? (Points : 1)

$0.
$500.
$800.
$1,000.

3. Regarding a full or partial rollover ofassets from one retirement plan to another retirement plan: (Points: 1)

Rollovers are normally taxableto the beneficiary.
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.

4. Regarding a Coverdell Education SavingsAccount: (Points : 1)

Distributions are tax-free tothe beneficiary if they are used for his or her qualified educationexpenses.
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.

5. Kobe is a single dad with two dependentchildren, Lizzie, age 7 and Leslie, age 3. He has AGI of $51,000and paid $6,300 to a qualified day care center. What amount ofcredit can Kobe receive for the child and dependent care credit?(Points : 1)

$600.
$1,200.
$1,260.
$6,300.

6. In order to obtain and retain qualifiedstatus, a pension or profit-sharing plan must not discriminate infavor of highly compensated employees which include: (Points :1)

Employees who own more than 5%of the corporation's stock.
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.

7. DJ and Nicolette paid $1,600 in qualifyingexpenses for their daughter Nicole to attend the University ofNevada. Nicole is a sophomore. DJ and Nicolette's AGI is $95,000.What is their maximum allowable Hope credit after the creditphase-out based on AGI is taken into account? (Points : 1)

$0.
$1,400.
$1,600.
$1,650.

8. Employers with a payroll tax liability ofless than $2,500 at the end of any quarter pay their tax liability:(Points : 1)

Directly to the authorizeddepository after the end of the quarter when Form 941 isfiled.
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.

9. Joseph paid $1,750 in qualifying expensesfor his daughter who attended a community college. How much isJoseph's lifetime learning credit without regard to AGI limitationsor other credits? (Points : 1)

$250.
$350
$825.
$1,375

10. Supplemental wages are subject to thefollowing taxes: (Points : 1)

FICA taxes.
Federal withholdingtaxes.
Unemployment taxes.
All of the above.