H&R BLOCK EXAMINATION TEST 2026
QUESTIONS WITH ANSWERS GRADED A+
◉ Disclosure. Answer: The release of tax information by an IRS
employee.
◉ Due Diligence. Answer: Requirements that tax professionals must
follow when preparing income tax returns.
◉ Noncompliance. Answer: Failure or refusal to comply with the tax
code.
◉ Privilege. Answer: Protection from being required to disclose
confidential communications between two parties, such as attorney and
client.
◉ Estimated Tax. Answer: The amount of tax a taxpayer expects to owe
for the year after subtracting expected amounts withheld and certain
refundable credits.
◉ Estimated Tax Voucher. Answer: A statement by an individual of (1)
the amount of income tax he estimates he will incur during the current
taxable year on income that is not subject to withholding, (2) the excess
,amount over that withheld on income which is subject to withholding,
and (3) his estimated self-employment tax.
◉ Exemption from Withholding. Answer: Status claimed on Form W-4
directing the employer not to withhold federal income taxes from the
employee.
◉ Underpayment Penalty. Answer: If a taxpayer did not pay enough tax
on a timely basis during the year, he may be required to pay an
underpayment penalty.
◉ Withholding Allowances. Answer: An increase by which income tax
withholding on certain income is reduced.
◉ Two Ways to Pay as You Go. Answer: Withholding and Estimated Tax
Payments
◉ Form W-4. Answer: Employee's Withholding Allowance Certificate
◉ Form 8815. Answer: Exclusion of Interest From Series EE and I U.S.
Savings Bonds Issued After 1989
◉ Form 2210. Answer: Underpayment of Estimated Tax by Individuals,
Estates, and Trusts
,◉ Form 4868. Answer: Application for Automatic Extension of Time To
File U.S. Individual Income Tax Return
◉ Form 8888. Answer: Allocation of Refund
◉ Form 9465. Answer: Installment Agreement Request
◉ Amended Return. Answer: A tax return filed on Form 1040X after the
original return has been filed.
◉ Closed Year. Answer: A tax year for which the statute of limitations
has expired.
◉ Open Year. Answer: A taxable year for which the statute of limitations
has not yet expired.
◉ Failure-to-File Penalty. Answer: Generally 5% for each month or part
of a month the return is late, but not more than 25% of the tax not paid.
◉ Failure to File. Answer: Taxpayer fails to file the return by the due
date, and there is a balance due.
, ◉ Failure to Pay. Answer: Taxpayer fails to pay the tax owed by the due
date.
◉ Failure-to-Pay Penalty. Answer: 0.5% of the unpaid taxes for each
month or part of a month after the due date, but not more than 25%.
◉ Negligence or Intentional Disregard. Answer: Taxpayer shows
negligence or disregard of the rules or regulations causing an
underpayment.
◉ Negligence-or-Intentional-Disregard Penalty. Answer: 20% of the
underpayment.
◉ Substantial Understatment. Answer: Taxpayer understates their tax by
the larger of $5,000 or 10% of the correct tax.
◉ Substantial-Understatement Penalty. Answer: 20% of the
underpayment.
◉ Form 1040X. Answer: Amended U.S. Individual Income Tax Return
◉ When can an amended return be filed?. Answer: Within three years of
the date the original return was filed, or within two years of the date the
tax was paid, whichever is later.
QUESTIONS WITH ANSWERS GRADED A+
◉ Disclosure. Answer: The release of tax information by an IRS
employee.
◉ Due Diligence. Answer: Requirements that tax professionals must
follow when preparing income tax returns.
◉ Noncompliance. Answer: Failure or refusal to comply with the tax
code.
◉ Privilege. Answer: Protection from being required to disclose
confidential communications between two parties, such as attorney and
client.
◉ Estimated Tax. Answer: The amount of tax a taxpayer expects to owe
for the year after subtracting expected amounts withheld and certain
refundable credits.
◉ Estimated Tax Voucher. Answer: A statement by an individual of (1)
the amount of income tax he estimates he will incur during the current
taxable year on income that is not subject to withholding, (2) the excess
,amount over that withheld on income which is subject to withholding,
and (3) his estimated self-employment tax.
◉ Exemption from Withholding. Answer: Status claimed on Form W-4
directing the employer not to withhold federal income taxes from the
employee.
◉ Underpayment Penalty. Answer: If a taxpayer did not pay enough tax
on a timely basis during the year, he may be required to pay an
underpayment penalty.
◉ Withholding Allowances. Answer: An increase by which income tax
withholding on certain income is reduced.
◉ Two Ways to Pay as You Go. Answer: Withholding and Estimated Tax
Payments
◉ Form W-4. Answer: Employee's Withholding Allowance Certificate
◉ Form 8815. Answer: Exclusion of Interest From Series EE and I U.S.
Savings Bonds Issued After 1989
◉ Form 2210. Answer: Underpayment of Estimated Tax by Individuals,
Estates, and Trusts
,◉ Form 4868. Answer: Application for Automatic Extension of Time To
File U.S. Individual Income Tax Return
◉ Form 8888. Answer: Allocation of Refund
◉ Form 9465. Answer: Installment Agreement Request
◉ Amended Return. Answer: A tax return filed on Form 1040X after the
original return has been filed.
◉ Closed Year. Answer: A tax year for which the statute of limitations
has expired.
◉ Open Year. Answer: A taxable year for which the statute of limitations
has not yet expired.
◉ Failure-to-File Penalty. Answer: Generally 5% for each month or part
of a month the return is late, but not more than 25% of the tax not paid.
◉ Failure to File. Answer: Taxpayer fails to file the return by the due
date, and there is a balance due.
, ◉ Failure to Pay. Answer: Taxpayer fails to pay the tax owed by the due
date.
◉ Failure-to-Pay Penalty. Answer: 0.5% of the unpaid taxes for each
month or part of a month after the due date, but not more than 25%.
◉ Negligence or Intentional Disregard. Answer: Taxpayer shows
negligence or disregard of the rules or regulations causing an
underpayment.
◉ Negligence-or-Intentional-Disregard Penalty. Answer: 20% of the
underpayment.
◉ Substantial Understatment. Answer: Taxpayer understates their tax by
the larger of $5,000 or 10% of the correct tax.
◉ Substantial-Understatement Penalty. Answer: 20% of the
underpayment.
◉ Form 1040X. Answer: Amended U.S. Individual Income Tax Return
◉ When can an amended return be filed?. Answer: Within three years of
the date the original return was filed, or within two years of the date the
tax was paid, whichever is later.
