Podcast
Questions and Answers
Which of the following is a requirement for a qualifying child for the ODC?
Which of the following is a requirement for a qualifying child for the ODC?
- Must be under the age of 19 at the end of the year (correct)
- Must be a full-time student
- Must be permanently and totally disabled
- Must be younger than your client
Which of the following relationships would qualify a person as a qualifying relative for the ODC?
Which of the following relationships would qualify a person as a qualifying relative for the ODC?
- Grandparent
- Cousin
- Niece
- Stepchild (correct)
Which of the following is a test that a qualifying relative for the ODC must meet?
Which of the following is a test that a qualifying relative for the ODC must meet?
- Marital status test
- Gross income test (correct)
- Age test
- Citizenship test
According to the text, who completes more than half of the Form 1040 returns claiming earned income tax credit (EITC), child tax credit/additional child tax credit/credit for other dependents (CTC/ACTC/ODC), American opportunity tax credit (AOTC) and head of household (HOH) filing status?
According to the text, who completes more than half of the Form 1040 returns claiming earned income tax credit (EITC), child tax credit/additional child tax credit/credit for other dependents (CTC/ACTC/ODC), American opportunity tax credit (AOTC) and head of household (HOH) filing status?
What penalty did Congress enact for paid preparers who do not meet the due diligence requirements for EITC, CTC/ACTC/ODC, AOTC, and HOH?
What penalty did Congress enact for paid preparers who do not meet the due diligence requirements for EITC, CTC/ACTC/ODC, AOTC, and HOH?
Which tax credits were included in the due diligence penalty by the Protecting Americans from Tax Hikes (PATH) Act?
Which tax credits were included in the due diligence penalty by the Protecting Americans from Tax Hikes (PATH) Act?
Which form should be completed and submitted to the IRS with every electronic or paper return or claim for refund, when claiming the EITC, CTC/ACTC/ODC, AOTC or HOH filing status?
Which form should be completed and submitted to the IRS with every electronic or paper return or claim for refund, when claiming the EITC, CTC/ACTC/ODC, AOTC or HOH filing status?
Which section of the Internal Revenue Code (IRC) provides the penalty that can be assessed against a paid tax return preparer who fails to comply with due diligence requirements?
Which section of the Internal Revenue Code (IRC) provides the penalty that can be assessed against a paid tax return preparer who fails to comply with due diligence requirements?
What is the penalty amount for each failure to comply with due diligence requirements for the EITC, CTC/ACTC/ODC, or AOTC?
What is the penalty amount for each failure to comply with due diligence requirements for the EITC, CTC/ACTC/ODC, or AOTC?
Which part of Form 8867 helps ensure the consideration of due diligence requirements for each return or claim for refund?
Which part of Form 8867 helps ensure the consideration of due diligence requirements for each return or claim for refund?
Which of the following is NOT a requirement for a child to qualify for the CTC/ACTC?
Which of the following is NOT a requirement for a child to qualify for the CTC/ACTC?
Which of the following is NOT a requirement for a child to qualify as a dependent for the ODC?
Which of the following is NOT a requirement for a child to qualify as a dependent for the ODC?
If a child does not have a valid SSN for employment, but meets all other requirements for the CTC/ACTC, they may be eligible for the:
If a child does not have a valid SSN for employment, but meets all other requirements for the CTC/ACTC, they may be eligible for the:
If a client can be claimed as a dependent by another taxpayer, can they claim the CTC/ACTC?
If a client can be claimed as a dependent by another taxpayer, can they claim the CTC/ACTC?
Which of the following is NOT a common error to avoid when preparing tax returns?
Which of the following is NOT a common error to avoid when preparing tax returns?
Which of the following is a requirement for a child to be considered a qualifying child for the EITC?
Which of the following is a requirement for a child to be considered a qualifying child for the EITC?
What is the age requirement for a child to be considered permanently and totally disabled for the EITC?
What is the age requirement for a child to be considered permanently and totally disabled for the EITC?
When can a child file a joint return and still be considered a qualifying child for the EITC?
When can a child file a joint return and still be considered a qualifying child for the EITC?
Which of the following is NOT a requirement for paid preparers to exercise due diligence?
Which of the following is NOT a requirement for paid preparers to exercise due diligence?
Under what circumstances can a firm employing a paid preparer be penalized for failure to exercise due diligence?
Under what circumstances can a firm employing a paid preparer be penalized for failure to exercise due diligence?
What is one step that employers can take to establish reasonable and appropriate procedures for due diligence?
What is one step that employers can take to establish reasonable and appropriate procedures for due diligence?
Why is understanding the eligibility requirements for each credit and HOH filing status important for paid preparers?
Why is understanding the eligibility requirements for each credit and HOH filing status important for paid preparers?
