HR BLOCK TEST EXAM QUESTIONS AND ANSWERS 2025/2026

HR BLOCK TEST EXAM QUESTIONS AND ANSWERS 2025/2026 A tax returner or claim for refund requiring a paid tax return preparer to determine eligibility for EITC, CTC/ODC/ ACTC, AOTC, and the head of household filling status may be subject to a maximum penalty, totaling what amount for failure to meet due diligence requirements if all four are claimed on a single tax return? - answer-a, $2,120 the deduction for state and local income taxes is limited to what amount? - answer-a. $10,000 ($5,000 if MFS). A married couple who materially participate in the operation of a jointly owned business may elect for each spouse to file their own Schedule C, with each reporting their respective amounts of income, loss, and deductions. This known as what? - answer-C. A qualified joint venture Stock owned by an individual would be classified as what type of property? - answer-a. Intangible personal, investment -use property Which of the following is not deductible on Schedule A? - answer-C. Federal taxes withheld. Which of the following types of property may be depreciated? - answer-d. a copier purchased by a tax preparation office. a taxpayer who actively participates in a rental real estate activity may, in many cases, deduct up to what amount of rental losses against any other kind of income? - answer-a. 25,000 A sole proprietor who computes self-employment tax should be filling what form? - answer-b. Schedule SE. An employee tells their employer how much income tax to withold from their taxable wages by completing what form? - answer-C. Form W-4.The IRS may assess penalties on taxpayers for which of the following? - answer-d. All of the Above