Taxpayers and Dependents

Question 1

U.S. citizens

Answer 1

1. An individual born in the U.S.
2. An individual whose parent is a U.S. citizen
3. A former alien who has been naturalized as a U.S. citizen
4. An individual born in certain U.S. possessions (Puerto Rico, Guam, Virgin Islands)

Question 2

U.S. nationals

Answer 2

Individuals born in Samoa or the Northern Mariana Islands who are not U.S. citizens

Question 3

Qualification for claiming a person as a dependent

Answer 3

Meet the 3 tests:
1. Dependent Taxpayer Test
2. Joint Return Test
3. Citizenship or Resident Test

Question 4

Dependent Taxpayer Test

Answer 4

the taxpayer cannot qualify as a dependent of another person

Question 5

Joint Return Test

Answer 5

the taxpayer cannot claim as a dependent a married person who files a joint return unless the married person files the return only as a claim for refund

Question 6

Citizenship or Resident Test

Answer 6

the dependent must be a U.S. citizen, U.S. resident, U.S. national, or a resident of Canada/Mexico for part of the year

Question 7

Qualification for a qualifying child

Answer 7

4 tests:
Relationship
Age
Residency
Support

Question 8

Age Test

Answer 8

1 of 3:
-Under 19
-Under 24 and a full time student
-Permanently and totally disabled

Question 9

Relationship test

Answer 9

Children and step-children

Question 10

Residency Test

Answer 10

More than half the year (exception: school)

Question 11

Support Test

Answer 11

Qualifying child or relative cannot provide more than half

Question 12

Form 8332

Answer 12

For transferring credits to a noncustodial parent

Question 13

Qualifying Relative

Answer 13

1. Not a qualifying child
2. Support test
3. Gross income of less than $4700
4. Either a member of the household or passed the relationship test

Question 14

Dependent filing requirements

Answer 14

1. Unearned income is >$1250
2. Earned income is >$13850
3. Gross income was more than the larger of $1250 or earned income (up to $13450) plus 400

Question 15

Threshold for SE earnings

Answer 15

$400

Question 16

Threshold for church wages

Answer 16

$108.28

Question 17

Other Filing requirements

Answer 17

1. HSA/Medicare Advantage distributions
2. Advance payments of the Premium Tax Credit
3. Special taxes like AMT

Question 18

Schedule 1

Answer 18

Additional Income and Adjustments to Income

Question 19

Schedule C

Answer 19

Profit/Loss from Business

Question 20

Schedule E

Answer 20

Supplemental income and loss

Question 21

Schedule F

Answer 21

Profit/Loss from Farming

Question 22

Schedule 2

Answer 22

Additional Taxes

Question 23

Schedule SE

Answer 23

Self-Employment Tax

Question 24

Schedule H

Answer 24

Household Employment Tax

Question 25

Schedule 3

Answer 25

Additional Credits and Payments

Question 26

Schedule R

Answer 26

Credit for the elderly/disabled

Question 27

Form 1040 SR

Answer 27

For seniors

Question 28

Schedule A

Answer 28

Itemized Deductions

Question 29

Schedule B

Answer 29

Interest and Ordinary Dividends

Question 30

Schedule D

Answer 30

Capital Gains and Losses

Question 31

Schedule J

Answer 31

Income Avg for Farmers/Fishermen

Question 32

Schedule 8812

Answer 32

Additional Child Tax Credit

Question 33

Schedule EIC

Answer 33

Earned Income Credit

Question 34

The type of taxpayer identification you can get when you don't have a SS Number

Answer 34

ITIN - Individual Taxpayer ID Number

Question 35

ATIN

Answer 35

Adoption taxpayer ID number

Question 36

Requirements for MFJ

Answer 36

status as of the last day of the calendar year

Question 37

Some negatives of MFS

Answer 37

1. can't use certain credits 2. no income exclusion 3. no exclusion on interest income for education expenses from bonds

Question 38

HoH Requirements

Answer 38

1. unmarried 2. providing for a dependent

Question 39

Definition of unmarried

Answer 39

Separate returns and the spouse did not live in the home the last 6 months of the tax year

Question 40

How qualifying surviving spouse works

Answer 40

Have a child that is a dependent and spouse passes away. No remarrying. 1. Year of passing - MFJ 2. Year after - QSS 3. Year after that - QSS

Question 41

Cash method

Answer 41

income must be reported in the year of constructive receipt

Question 42

Accrual method

Answer 42

income must be reported when earned (whether or not it was received)