Question 1

In determining the amount spent for support of a potential dependent, amounts spent on entertainment and vacations are included.

Accepted Answer

In determining the amount spent for support of a potential dependent, the IRS includes all amounts spent to provide for the individual's well-being, which encompasses expenses for food, lodging, clothing, education, medical and dental care, recreation, transportation, and similar necessities. Entertainment and vacations are considered part of recreation and thus are included in the support calculation.

Question 2

A person who receives more than one-half of his or her support in welfare payments from the state cannot qualify as a dependent of another individual.

Accepted Answer

This is true according to the IRS rules for claiming a dependent. If someone receives more than half of their support from government welfare programs, they are considered to be providing more than half of their own support and cannot be claimed as a dependent by another taxpayer.

Question 3

A person whose spouse died in 20X1 may qualify as a surviving spouse only in 20X1 and 20X2, if all other requirements are met.

Accepted Answer

This statement is incorrect. A person whose spouse died may qualify as a surviving spouse for multiple years, as long as they meet the eligibility requirements. For example, they may qualify for Social Security survivor benefits until they remarry or reach a certain age.

Question 4

A multiple support agreement allows a group of individuals to divide the exemption amount so that each member of the group has a proportional share of the total exemption deduction for the common dependent.

Accepted Answer

A multiple support agreement allows two or more taxpayers who collectively provide more than half of a person's support to agree among themselves who will claim the person as a dependent, but it does not allow for the division of the exemption amount among the supporters. Only one taxpayer can claim the exemption in any given year.

Question 5

A 16-year-old child with earned income of $8,000 cannot be claimed as a dependent on his or her parents' tax return.

Accepted Answer

A child under the age of 19 (or under 24 if a full-time student) can still be claimed as a dependent on their parents' tax return, regardless of whether they have earned income, as long as the parents provide more than half of the child's support and the child meets other IRS criteria for a qualifying child.

Question 6

Under a multiple support agreement, A, who provided 55 percent of the support of his mother, may assign the exemption to his sister, L, who provided 25 percent of the support.

Accepted Answer

The answer of Under a multiple support agreement, A, who...

Question 7

A single woman whose only income is taxable interest of $2,900 and Social Security benefits of $7,300 for 2012 cannot qualify as a dependent of her son because she fails to meet the gross income test.

Accepted Answer

The gross income test for determining if someone can be claimed as a dependent generally does not include Social Security benefits unless they are taxable. In this case, with only $2,900 of taxable interest, the woman's gross income would be below the threshold for the gross income test for 2012, potentially allowing her to qualify as a dependent if all other tests are met.

Question 8

A single taxpayer with one dependent receives a total exemption deduction that is less than that of a head of household with one dependent.

Accepted Answer

The answer of A single taxpayer with one dependent receives...

Question 9

To qualify as an abandoned spouse, a taxpayer must claim at least one dependency exemption.

Accepted Answer

To qualify as an abandoned spouse for tax purposes, the taxpayer does not need to claim a dependency exemption. The criteria primarily involve filing status considerations and the support of a child, not the claiming of a dependency exemption.

Question 10

The general rule for children of divorced or separated parents who together provide over one-half the support and together have custody more than one-half the year is that the exemption goes to the custodial parent.

Accepted Answer

This is because the custodial parent is considered to have the primary responsibility for the child's expenses and care. However, there are some exceptions and special circumstances that may affect this general rule.

Question 11

A taxpayer may not claim an exemption for any child who filed a joint return with her spouse.

Accepted Answer

A taxpayer can claim an exemption for a child who filed a joint return with their spouse if the joint return was only filed to claim a refund of withheld income tax or estimated tax paid, and no tax liability would exist for either spouse on separate returns.

Question 12

When support is provided in a form other than a current cash expenditure (e.g., a home in which the dependent is living), it is the cost of the support item that is considered in determining whether the support test is met.

Accepted Answer

The answer of When support is provided in a form...

Question 13

A taxpayer with adjusted gross income in excess of a certain amount can lose the entire exemption deduction.

Accepted Answer

The answer of A taxpayer with adjusted gross income in...

Question 14

A U.S.citizen's family member who is a French citizen and Mexican resident could meet the citizenship test for purposes of the dependency exemption.

Accepted Answer

The citizenship of a dependent does not have to be the same as the taxpayer claiming the exemption. As long as the dependent meets certain residency and support requirements, they can be claimed for the exemption. In this case, the family member being a French citizen and Mexican resident does not disqualify them from meeting the citizenship test for purposes of the dependency exemption.

Question 15

A person who is claimed as a dependent on another person's return claims a personal exemption of zero on his or her own return.

Accepted Answer

This is true because if someone is claimed as a dependent on another person's tax return, they cannot claim a personal exemption for themselves.

Question 16

The general rule for children of divorced or separated parents who together provide over one-half the support and together have custody more than one-half the year is that the exemption goes to the parent providing the greater amount of support.

Accepted Answer

The general rule is that the exemption for the child goes to the parent who had custody for the greater part of the year (the custodial parent), not necessarily the parent who provided the greater amount of support.

Question 17

Individual F lives with his daughter W and her husband H, and is their dependent.If W dies, H may continue to support F and claim him as a dependent.

Accepted Answer

As per IRS rules, if H continues to provide more than 50% of F's support after W's death, he may claim F as a dependent on his tax return.

Question 18

Social Security benefits spent on food and lodging are not included in support for an individual.

Accepted Answer

Social Security benefits spent on food and lodging are included as support for an individual.

Question 19

A person who qualifies as an abandoned spouse can file as a head of household.

Accepted Answer

According to the IRS, a person can file as head of household if they meet certain criteria, one of which includes being considered an abandoned spouse. To qualify as an abandoned spouse, the individual must have lived apart from their spouse for the last six months of the tax year, and must have paid more than half the cost of maintaining a home for a dependent child or parent living with them for more than half the year.

Question 20

Once a married couple files a joint return for a year, they may not file amended separate returns for that year after the due date.

Accepted Answer

According to the IRS, once a married couple files a joint return for a year, they may not file amended separate returns for that year after the due date.

Quiz 4: Personal and Dependency Exemptions; Filing Status; Determination of Tax for an Individual; Filing Requirements