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24-25 Taxes and You

Total questions: 30

Worksheet time: 16mins

Name
Class
Date
1.
What is Income Tax?
a)
Tax on Earned Income
b)
Tax on Unearned Income
c)
Tax on Earned and Unearned Income
d)
Taxes on the Wages you earn from your Employer
2.
What is Payroll Tax?
a)
Tax on Earned Income
b)
Tax on Unearned Income
c)
Tax on Earned and Unearned Income
d)
Taxes on the Wages you earn from your Employer
3.
Can you have more than one W-2 sent to you? 
a)
Yes
b)
No
4.

Which form/document do you not need when filing your taxes?

a)

W-2

b)

1099 (Interest Statement)

c)

W-4

5.

What document do you use to determine the amount of tax owed?

a)

Tax Table

b)

W-2

c)

Allowance Table

d)

1040

6.
A _____ is someone who relies on another person to provide for them.
a)
Child
b)
Widow
c)
Independent
d)
Dependent
7.
Which tax form is used  to provide information about your previous year's pay and deductions from that year?
a)
W2
b)
W4
c)
1040A
d)
1099-INT
8.

Who is responsible for providing the W2 form to the tax filer?

a)

You, the tax filer

b)

The Employer

c)

The bank (financial institution)

d)

The IRS

9.

Which tax form is used to tell your employer your filing status, number of dependents and the amount you would like deducted from your paycheck for income taxes?

a)
W2
b)
W4
c)
1040EZ
d)
1099-INT
10.

Which tax form provides information on how much you have earned in interest on your savings tools, such as a savings account?

a)
W2
b)
W4
c)
1040
d)
1099-INT
11.

Who provides an employee with the 1099-INT?

a)

You fill it out, the employee

b)

Your employer

c)

Your bank or financial institution

12.

What day is typically known as tax day? (or the last day to file taxes without a penalty)

a)

January 1st

b)

April 1st

c)

April 15th

d)

December 31st

13.

The amount of money you are actually paid after deductions have been taken out. (take-home pay)

a)

dependent

b)

gross pay

c)

net pay

d)

income tax

14.
Wages and tax statement showing how much one was paid and how much was deducted from the pay during one year.
a)
FICA
b)
Form W-2
c)
Form W-4
d)
Internal Revenue Service
15.
The most common dependents are ...
a)
parents
b)
children
c)
grandparents
d)
pets
16.

Tax filers should receive a W-2 statement in the month of ....

a)
November
b)
June
c)
March
d)
January
17.
You can ask the government for extra time to file your taxes.
a)
True
b)
False
18.

Money that you receive if you don't pay enough in taxes is a "refund."

a)
True
b)
False
19.

You will need your Form W-4 when filing your taxes.

a)
True
b)
False
20.

You can always claim yourself as a dependent if you still live with your mom and dad.

a)

True

b)

False

21.

Marital status does NOT have a determination upon the amount of federal withholding.

a)

true

b)

false

22.

Dependents can be claimed by multiple persons.

a)

true

b)

false

23.

A person must provide more than 1/2 a person's support for an entire year to be a dependent.

a)

true

b)

false

24.

Individuals in every state pay BOTH federal and state income taxes.

a)

True

b)

False

25.

If an individual has an overpayment on the 1040, he/she will….

a)

receive a refund.

b)

be required to pay taxes.

c)

be required to pay a failure-to-pay penalty.

d)

be required to pay a failure-to-file penalty

26.

If an individual is exempt from paying taxes he/she is excused from paying taxes altogether.

a)

True

b)

False

27.

What tax is owed if the taxable income is $15,906 and the filing status is Single. (use the tax table shown here)

a)

$1711

b)

$1588

c)

$1717

d)

$1723

28.

One of the disadvantages of completing taxes yourself rather than having a professional complete them is...

a)

the cost.

b)

you risk exposing personal information and identity theft.

c)

you might miss a deduction because you lack the knowledge of tax laws.

d)

you will gain a better understanding of your own finances.

29.

Interest income is considered unearned income.

a)

True

b)

False

30.

Preparing taxes yourself creates opportunities for an individual to: (choose two answers that are best)

a)

save time and money.

b)

possibly make mistakes if the filer isn't knowledgeable about taxes.

c)

an extended wait time for document preparation and completion.

d)

always get a refund.