Tax Preparation Quiz

Why is it beneficial to start organizing your tax documents early?

• To avoid penalties from the IRS

• To ensure you file before the deadline

• To get your refund faster and avoid errors

• To reduce the amount of tax you owe

Which of the following documents should freelancers look out for when organizing their tax documents?

• Unemployment compensation forms

• 1099 forms

• W2 forms

• Interest statements

What should you do if you had a significant life change, like getting married, in terms of tax withholding?

• Ignore it until the next tax season

• Consult a tax advisor immediately

• File a new tax return immediately

• Check and adjust your tax withholding

What is a simple habit to build for those with freelance or side income?

• Set aside 5% of each payment

• Set aside 50% of each payment

• Set aside 25-30% of each payment

• Set aside 10% of each payment

What is the advantage of using direct deposit for your tax refund?

• It increases the refund amount

• It speeds up the refund process

• It reduces the tax owed

• It eliminates the need for a bank account

When can you expect a delay in your tax refund if claiming certain credits?

• If you use direct deposit

• If you file before January

• If you claim the earned income tax credit

• If you file electronically

What is the purpose of the IRS online account?

• To apply for tax credits

• To receive tax advice

• To file taxes for free

• To view past returns and track payments

Which of the following life changes could impact your tax credits?

• Changing your job

• Moving to a new city

• Purchasing a new car

• Welcoming a new child

What should you do if you receive a suspicious call claiming to be from the IRS?

• Call back the number immediately

• Provide your personal information

• Ignore the call

• Verify directly through irs.gov

What is a resource available for military personnel to file taxes?

• IRS Free File

• MilTax

• TurboTax

• H&R Block