Taxes II

Front

Grace has decided to e-file her taxes this year. Why should she file her state and Federal taxes together through the same software?

Back

Grace will have just one submission ID, which makes it less likely that the state will reject her state tax return.

Front

Why should you accurately complete a W-4 form any time you start a new job or change your tax status?

Back

Your W-4 determines how much Federal income tax money your employer should withhold.

Front

Jay filed his taxes and found out he owes money. What is the most reasonable explanation as to why he owes money in taxes? Options: Not enough money was withheld from his paychecks, Too much money was withheld from his paychecks, When filing his taxes, Jay accidentally checked “Married filing jointly” instead of “Single”, The IRS is asking Jay for a future advance on his possible taxes for next year.

Back

Not enough money was withheld from his paychecks.

Front

The Federal government spends the most amount of tax money on...

Back

Health

Front

Which of the following people might want to claim EXEMPT on their W-4 form? John, who is 20 and expects to earn $12,850 from his internship. Stacey, who is 16 and expects to earn $7,500 from her part-time job. David, who is 23 and expects to earn $15,000 from his part-time job. Hannah, who is 25 and expects to earn $55,000 from her full-time job.

Back

Stacey, who is 16 and expects to earn $7,500 from her part-time job.

Front

Which of the following statements is TRUE about the cost of living and state and local taxes? The cost of living and how much you pay in state and local taxes are not directly related, but they can impact how much extra money you have from each paycheck., States with HIGHER costs of living have HIGHER state and local taxes., States with HIGHER costs of living have LOWER state and local taxes., The state and local governments use the cost of living to determine what the tax rates should be.

Back

The cost of living and how much you pay in state and local taxes are not directly related, but they can impact how much extra money you have from each paycheck.

Front

All of the following are factors that impact the amount someone may pay in taxes EXCEPT... Income, State, Marital status

Back

Political party

Front

Tamara found out that she owes $3,200 in taxes. She cannot afford to pay the entire amount right now, so she is going to arrange an installment plan with the IRS. What is the one thing that Tamara should be prepared for?

Back

She will pay more than $3,200 because she will be paying additional money in interest with each payment.

Front

Which of the following is the largest source of income for the Federal government? Payroll tax, Income tax, Corporate tax, Property tax

Back

Income tax

Front

Which person should expect to receive a W-2 form from their employer by January 31st, 2021? Options: Marcy, who has sold handcrafted vases online for the past 5 years; Jose, whose first job started on January 10, 2021; Arnie, who did an unpaid internship in summer 2020 for a local newspaper; Kelly, who has worked for the same department store for the last 15 years.

Back

Kelly, who has worked for the same department store for the last 15 years.