HR BLOCK Final Test Review (ITC
2025/2026 Exam Questions with 100%
Correct Answers | Latest Update
Which of the following is a requirement for all taxpayers who want to claim
the EIC?
Live in the U.S. for more than half a year.
Have a valid social security number.
Have a qualifying child dependent.
,Have AGI less than $21,430 ($27,380 MFJ). - 🧠 ANSWER ✔✔Have a valid
social security number.
A combined due diligence penalty of $2,180 would indicate a penalty for
which of the following?
EIC, CTC/ODC/ACTC, and head of household.
EIC, AOTC, and CTC/ODC/ACTC.
EIC, AOTC, CTC/ODC/ACTC, and head of household.
EIC, PTC, CTC/ODC/ACTC, and head of household. - 🧠 ANSWER ✔✔EIC,
AOTC, CTC/ODC/ACTC, and head of household.
When dependent care benefits are withheld from a taxpayer's income,
where are they reported by the employer?
Form 2441.
Form 1040.
Box 10 of Form W-2.
,The employer is not required to report them. - 🧠 ANSWER ✔✔Box 10 of
Form W-2.
All of the following are due diligence requirements a tax preparer must
meet for EIC, AOTC, CTC/ODC/ACTC, and HOH, EXCEPT:
Investigate and verify the accuracy of information the taxpayer provides to
show eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
Complete all worksheets used to compute the credits. If the worksheet is
completed by hand, keep a copy in the taxpayer's client file.
Maintain a copy of documents provided by the taxpayer that the tax
preparer relied on when determining credit eligibility. Then record the date
the information was obtained and the name of who provided the
information.
When information provided by the taxpayer appears to be incorrect,
inconsistent, or incomplete, the tax preparer must make additional inquiries
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
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, to determine if the taxpayer is eligible for the benefit. Then document both
the questions asked and responses provided. - 🧠 ANSWER ✔✔Investigate
and verify the accuracy of information the taxpayer provides to show
eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
When a taxpayer receives Form 1099-R with no amount entered in box 2a
and code 7 entered in box 7, the entire distribution:
Could be partly or entirely taxable.
Is never taxable.
Is an early distribution and taxable.
Has been rolled into a traditional IRA or into another qualified plan. - 🧠
ANSWER ✔✔Is never taxable.
What is the maximum amount of the American Opportunity Tax Credit a
taxpayer could receive per student?
$1,650
$1,800
$2,000
2025/2026 Exam Questions with 100%
Correct Answers | Latest Update
Which of the following is a requirement for all taxpayers who want to claim
the EIC?
Live in the U.S. for more than half a year.
Have a valid social security number.
Have a qualifying child dependent.
,Have AGI less than $21,430 ($27,380 MFJ). - 🧠 ANSWER ✔✔Have a valid
social security number.
A combined due diligence penalty of $2,180 would indicate a penalty for
which of the following?
EIC, CTC/ODC/ACTC, and head of household.
EIC, AOTC, and CTC/ODC/ACTC.
EIC, AOTC, CTC/ODC/ACTC, and head of household.
EIC, PTC, CTC/ODC/ACTC, and head of household. - 🧠 ANSWER ✔✔EIC,
AOTC, CTC/ODC/ACTC, and head of household.
When dependent care benefits are withheld from a taxpayer's income,
where are they reported by the employer?
Form 2441.
Form 1040.
Box 10 of Form W-2.
,The employer is not required to report them. - 🧠 ANSWER ✔✔Box 10 of
Form W-2.
All of the following are due diligence requirements a tax preparer must
meet for EIC, AOTC, CTC/ODC/ACTC, and HOH, EXCEPT:
Investigate and verify the accuracy of information the taxpayer provides to
show eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
Complete all worksheets used to compute the credits. If the worksheet is
completed by hand, keep a copy in the taxpayer's client file.
Maintain a copy of documents provided by the taxpayer that the tax
preparer relied on when determining credit eligibility. Then record the date
the information was obtained and the name of who provided the
information.
When information provided by the taxpayer appears to be incorrect,
inconsistent, or incomplete, the tax preparer must make additional inquiries
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
3
, to determine if the taxpayer is eligible for the benefit. Then document both
the questions asked and responses provided. - 🧠 ANSWER ✔✔Investigate
and verify the accuracy of information the taxpayer provides to show
eligibility for EIC, AOTC, CTC/ODC/ACTC, and HOH.
When a taxpayer receives Form 1099-R with no amount entered in box 2a
and code 7 entered in box 7, the entire distribution:
Could be partly or entirely taxable.
Is never taxable.
Is an early distribution and taxable.
Has been rolled into a traditional IRA or into another qualified plan. - 🧠
ANSWER ✔✔Is never taxable.
What is the maximum amount of the American Opportunity Tax Credit a
taxpayer could receive per student?
$1,650
$1,800
$2,000
