Question

- On September 1, 2018, Raja turned 65. Raja has been a widower for five years and has no dependents. His standard deduction is

A) $12,000.

B) $13,600.

C) $24,000.

D) $25,300.

- Which of the following is not considered support for the dependent support test?

A) food

B) clothing

C) rental value of lodging

D) value of services rendered by the taxpayer for the dependent

- The child credit is for taxpayers with dependent children under the age of

A) 24.

B) 19.

C) 17.

D) 14.

- Lawrence and Kristin Walsh have three children ages 13, 15, and 19. The 19-year-old is in the military and not a dependent. Their modified AGI is $108,000. What is the amount of the child credit to which they are entitled?

A) $0

B) $2,000

C) $4,000

D) $6,000

- When a spouse dies, the surviving spouse for the year of death

A) must file a tax return using the single filing status.

B) must file a tax return using the head of household filing status.

C) may file a married filing jointly return.

D) may file a married filing jointly return only if the death occurred in the last half of the year.

Answer 1

1 B) $13,600

Standard deduction $12,000 (single)

Additional std. ded. $ 1,600

TOtal $13,600

If you are age 65 or older, you may increase your standard deduction by $1,600 if you file Single or Head of Household.

2 D) value of services rendered by the taxpayer for the dependent

3 C) 17.

The Tax Cuts and Jobs Act (the “Act”) made changes to the child tax credit, i.e., the credit available for taxpayers with children under the age of 17 (“qualifying children”),

4 C) $4,000

Starting in 2018, the TCJA doubles the child tax credit to $2,000 per qualifying child under 17. It also allows a new $500 credit (per dependent) for any of your dependents who are not qualifying children under 17, So Total $4,000 child credit they are entitled to claim.

5 C) may file a married filing jointly return.

In the year of a spouse's death, the surviving spouse usually is considered married for the entire year, for tax purposes. Therefore, the surviving spouse can file a joint return for that year. This rule also applies if both spouses die during the same tax year.