HR BLOCK FINAL TEST EXAM (ITC 2025) |
NEWEST ACTUAL EXAM COMPREHENSIVE
QUESTIONS AND VERIFIED ANSWERS
GRADED A+ | 100% PASS | 2025 UPDATE!
What are the five tests for a qualifying child? - ✔✔✔ Correct Answer
> 1. Relationship test.
2. Age test.
3. Residency test.
4. Support test.
5. Joint return test.
What is the purpose of Form 2120, Multiple Support Declaration? -
✔✔✔ Correct Answer > If two or more persons combined provided
over one-half of a person's support, they may together agree to allow
any one of them who contributed at least 10% of the support to claim
the exemption. A statement waiving the right to claim the dependency
exemption should be signed by each contributor who is not claiming
the exemption and retained by the one who is. Form 2120 is attached
to the return of the taxpayer claiming the exemption.
How can a married individual meet the joint return test to remain a
qualifying child? - ✔✔✔ Correct Answer > They can meet this test by
,not filing a joint return with their spouse, or they can file a joint return
with their spouse if they are filing only to claim a refund of any taxes
withheld.
What four tests must be met for an individual to be considered a
qualifying relative? - ✔✔✔ Correct Answer > 1. Not a qualifying child
of someone else.
2. Relationship OR member of the household for the entire year.
3. Gross income.
4. Support.
How can the gross income test for a qualifying relative be satisfied? -
✔✔✔ Correct Answer > The qualifying relative's gross income must
be less than $4,300. When determining the gross income, tax-exempt
income, such as certain social security benefits, is not included.
How much is the Child Tax Credit worth? - ✔✔✔ Correct Answer >
Up to $3,600 per qualifying child under age 6 and up to $3,000 per
qualifying child ages 6 through 17.
What additional requirements must be met for a taxpayer to be eligible
to claim the Child Tax Credit for their qualifying child? - ✔✔✔ Correct
Answer > The child must:
Be a qualifying child who is the taxpayer's dependent and who has not
reached their 18th birthday by the end of the year.
,Have a social security number valid for employment before the due
date of the return.
Be a citizen, national, or resident of the United States.
Is the Child Tax Credit refundable or nonrefundable? - ✔✔✔ Correct
Answer > For most taxpayers, the Child Tax Credit is fully refundable in
2021.
In other years, the Child Tax Credit is nonrefundable. However, certain
taxpayers may qualify for the Additional Child Tax Credit, which is
refundable.
How much is the penalty if a paid preparer fails to meet the Child Tax
Credit due diligence requirements? - ✔✔✔ Correct Answer > There is
a $545 penalty for failing to meet the CTC/ODC/ACTC due diligence
requirement on one taxpayer's return.
What is the first due diligence requirement for the CTC/ODC, and how
does a paid preparer meet this requirement? - ✔✔✔ Correct Answer
> Complete and submit Form 8867, Paid Preparer's Earned Income
Credit Checklist.
How may a married taxpayer qualify as unmarried for tax purposes? -
✔✔✔ Correct Answer > To qualify as unmarried for the purpose of
claiming the head of household filing status, a taxpayer must meet all
of the following:
, Not file a joint return with their spouse.
Provide more than half the cost of maintaining their home.
The home must be the main home for the taxpayer and their
dependent child (or child who would be a dependent except that the
exemption was given to the noncustodial parent) for more than six
months of the tax year.
The taxpayer's spouse must not have lived in the home during the last
six months of the year.
List at least four costs of maintaining a home: - ✔✔✔ Correct Answer
> Among other things, mortgage interest and real estate taxes (or rent),
fire/casualty (or renter's) insurance, upkeep and repairs, utilities, and
food consumed in the home are all costs of maintaining a home.
What requirements must be met for a taxpayer to use the qualifying
widow(er) status? - ✔✔✔ Correct Answer > The death of the
taxpayer's spouse must have occurred during one of the two preceding
tax years; the taxpayer must not have remarried and must have been
entitled to file a joint return for the year of death. The taxpayer must
have paid over half the cost of maintaining the home, which was the
main home of their dependent son, daughter, stepson, or stepdaughter
for the entire year.
In the case of divorced or separated parents, which parent generally
gets to claim the qualifying child? - ✔✔✔ Correct Answer > The
NEWEST ACTUAL EXAM COMPREHENSIVE
QUESTIONS AND VERIFIED ANSWERS
GRADED A+ | 100% PASS | 2025 UPDATE!
What are the five tests for a qualifying child? - ✔✔✔ Correct Answer
> 1. Relationship test.
2. Age test.
3. Residency test.
4. Support test.
5. Joint return test.
What is the purpose of Form 2120, Multiple Support Declaration? -
✔✔✔ Correct Answer > If two or more persons combined provided
over one-half of a person's support, they may together agree to allow
any one of them who contributed at least 10% of the support to claim
the exemption. A statement waiving the right to claim the dependency
exemption should be signed by each contributor who is not claiming
the exemption and retained by the one who is. Form 2120 is attached
to the return of the taxpayer claiming the exemption.
How can a married individual meet the joint return test to remain a
qualifying child? - ✔✔✔ Correct Answer > They can meet this test by
,not filing a joint return with their spouse, or they can file a joint return
with their spouse if they are filing only to claim a refund of any taxes
withheld.
What four tests must be met for an individual to be considered a
qualifying relative? - ✔✔✔ Correct Answer > 1. Not a qualifying child
of someone else.
2. Relationship OR member of the household for the entire year.
3. Gross income.
4. Support.
How can the gross income test for a qualifying relative be satisfied? -
✔✔✔ Correct Answer > The qualifying relative's gross income must
be less than $4,300. When determining the gross income, tax-exempt
income, such as certain social security benefits, is not included.
How much is the Child Tax Credit worth? - ✔✔✔ Correct Answer >
Up to $3,600 per qualifying child under age 6 and up to $3,000 per
qualifying child ages 6 through 17.
What additional requirements must be met for a taxpayer to be eligible
to claim the Child Tax Credit for their qualifying child? - ✔✔✔ Correct
Answer > The child must:
Be a qualifying child who is the taxpayer's dependent and who has not
reached their 18th birthday by the end of the year.
,Have a social security number valid for employment before the due
date of the return.
Be a citizen, national, or resident of the United States.
Is the Child Tax Credit refundable or nonrefundable? - ✔✔✔ Correct
Answer > For most taxpayers, the Child Tax Credit is fully refundable in
2021.
In other years, the Child Tax Credit is nonrefundable. However, certain
taxpayers may qualify for the Additional Child Tax Credit, which is
refundable.
How much is the penalty if a paid preparer fails to meet the Child Tax
Credit due diligence requirements? - ✔✔✔ Correct Answer > There is
a $545 penalty for failing to meet the CTC/ODC/ACTC due diligence
requirement on one taxpayer's return.
What is the first due diligence requirement for the CTC/ODC, and how
does a paid preparer meet this requirement? - ✔✔✔ Correct Answer
> Complete and submit Form 8867, Paid Preparer's Earned Income
Credit Checklist.
How may a married taxpayer qualify as unmarried for tax purposes? -
✔✔✔ Correct Answer > To qualify as unmarried for the purpose of
claiming the head of household filing status, a taxpayer must meet all
of the following:
, Not file a joint return with their spouse.
Provide more than half the cost of maintaining their home.
The home must be the main home for the taxpayer and their
dependent child (or child who would be a dependent except that the
exemption was given to the noncustodial parent) for more than six
months of the tax year.
The taxpayer's spouse must not have lived in the home during the last
six months of the year.
List at least four costs of maintaining a home: - ✔✔✔ Correct Answer
> Among other things, mortgage interest and real estate taxes (or rent),
fire/casualty (or renter's) insurance, upkeep and repairs, utilities, and
food consumed in the home are all costs of maintaining a home.
What requirements must be met for a taxpayer to use the qualifying
widow(er) status? - ✔✔✔ Correct Answer > The death of the
taxpayer's spouse must have occurred during one of the two preceding
tax years; the taxpayer must not have remarried and must have been
entitled to file a joint return for the year of death. The taxpayer must
have paid over half the cost of maintaining the home, which was the
main home of their dependent son, daughter, stepson, or stepdaughter
for the entire year.
In the case of divorced or separated parents, which parent generally
gets to claim the qualifying child? - ✔✔✔ Correct Answer > The
