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Taxes Review

Total questions: 20

Worksheet time: 11mins

Name
Class
Date
1.

What does the term "withholding" mean in reference to your paycheck?

a)

It is the amount of your paycheck that you are NOT being taxed on.

b)

It is how much is being taken out of your paycheck in taxes.

c)

It is how much you are going to owe the government when you file your annual tax return.

d)

It is how much you earn and includes salary, bonus and commissions.

2.

When do you start paying taxes?

a)

When you turn 18

b)

When you make more than the minimum income requirement

c)

When you get a full-time job (part-time dose not count)

d)

When you are notified by the IRS that you are required to pay federal income taxes

3.

Why is it important to be extremely careful when completing your 1040 form?

a)

Making even mone mistake on your federal taxes can result in your being convicted of a crime

b)

The 1040 form determines whether you owe additional taxes or are entitled to receive a refund from the government.

c)

Completing the 1040 incorrectly will mean the wrong amount of taxes will be withheld from your paychecks going forward

d)

Mistakes on your 1040 from make you ineligible for employment during the next year

4.

Which of the following describe what a "dependent" is for tax purposes?

a)

Someone under the age of 19 who you financially support

b)

Someone who is temporarily disabled

c)

Someone who financially supports you

d)

Someone who is a full-time student under the age of 30.

5.

When you complete your 1040 form, if you overpaid your taxes and the government owes you money, that is called a _____.

a)

withholding

b)

direct deposit

c)

deduction

d)

refund

6.

What tax form am I? I am received in January. There is one of me for every employer that you worked for in the previous year. I have information on how much you earned and how much you paid in taxes for the previous calendar year.

a)

1040

b)

I-9

c)

W-2

d)

W-4

7.

The W-4 form lets...

a)

the government know how much you paid in taxes last year

b)

your employer know how much to withhold from your paycheck

c)

the 3 major credit bureaus know how many dependents you have

d)

you know how much you paid in taxes last year

8.

Gross pay and Net pay are the same thing.

a)

True

b)

False

9.

You file taxes to show you paid the right amount in...

a)

Sales tax

b)

Income tax

c)

Property tax

10.

What is the name of the agency that collects taxes in the United States?

a)

Secret Service

b)

Federal Bureau of Investigation

c)

Internal Revenue Service

11.

Which form is used to file your tax return with the IRS?

a)

W-2

b)

W-4

c)

1099

d)

1040

12.

Which form do you need to file your taxes?

a)

W-1

b)

W-2

c)

W-3

d)

W-4

13.

When is the deadline to file your taxes each year? AKA: Tax day

a)

March 15

b)

April 15

c)

May 15

d)

June 15

14.

If you paid less than what the IRS thinks you owe in taxes, you have a

a)

Refund

b)

Tax bill

15.

You should keep your tax records for how long in case of an audit?

a)

10 years

b)

20 years

c)

3-5 years

16.

What form is used by independent contractors and the self-employed to report income?

a)

I-9

b)

1099

c)

W-2

d)

W-4

17.

Which is NOT a tax filing status that you can chose when filing your taxes?

a)

Single

b)

In a relationship

c)

Married

18.
When is a W4 form filled out?
a)
Right before you file your taxes
b)
When you quit a job
c)
When you start a job
19.

When do you get your W-2? Why do you need it? (Select the two correct answers)

a)

No later than January 31st

b)

To file the 1040 form/tax return.

c)

When you start a new or second job

d)

to identify how much my employer should withhold

20.

Who can file your taxes? (Pick 2)

a)

Tax Professional

b)

Manager at work

c)

Your teacher

d)

You