Download federal income tax jeopardy games

ACCOUNTING
JEOPARDY
ACCOUNTING REVIEW
DOCSEDA
1040
Itemized
Deductions
Credits
Gains and
Losses
Depreciation
100
100
100
100
100
200
200
200
200
200
300
300
300
300
300
400
400
400
400
400
500
500
500
500
500
1040
100
In 2002, this amount represents standard
deduction for persons using single filing
status.
A: What is $4,700?
Docseda
1040
200
In 2002, unmarried persons who are 65
years of age or older or blind are entitled to
an additional standard deduction of this
amount.
A: What is $1,150 ?
Docseda
1040
300
An unmarried taxpayer who lives with her unmarried
child who does not qualify as her dependent should
use this filing status to maximize her tax refund.
A: What is Head of Household filing status?
Docseda
1040
400
Mary receives from her ex-spouse $1700 per
month of which $700 is designated as child
support. This amount represents annual taxable
income from these payments.
A: What is $12,000 [(1700-700)*12]?
Docseda
1040
500
Dan is a self-employed doctor whose earnings
from his practice amount to $125,000. This
amount represents the maximum allowable
contribution to his Keogh Plan.
A: What is $25,000 [lesser of (125,000*.20) or
40,000]?
Docseda
Deductions
100
In 2002, Linda and Jack had AGI of $50,000. During
year, they paid $2,400 for their son’s tuition at a private
school, $2,000 as contribution to their church, and $200
for local needy family. This amount represents maximum
deduction for charitable contributions.
A: What is $2,000?
Docseda
Deductions
200
In 2002, Joan had AGI of 30,000. She paid expenses
of $5000 for drugs and medicines prescribed by
doctors and $200 for transportation to and from
doctors. This amount represents allowable deduction
for medical expenses.
A: What is $2,750 [5,200-(30000×.075)] ?
Docseda
Deductions
300
Sharon has AGI of $40,000.Tax withheld for federal and
state income tax is $6,000 and $3,500, respectfully. During
2002, she paid $850 in real estate taxes, $1,000 in sales
taxes and $550 for state income tax due on 2001 tax return.
This amount represents allowable deduction for taxes.
A: What is $3,800 [3500+850-550]?
Docseda
Deductions
400
Dorothy has AGI of $45,000. She paid expenses of
$9,500 for interest on her home mortgage and $265
for interest to Mastercard. This amount represents
allowable deduction for interest expenses.
A: What is $9,500?
Docseda
Deductions
500
Tim loaned a friend $5,000 to buy a used car. During
2002, Tim’s friend declares bankruptcy and the debt
is considered worthless.This amount represents
allowable deduction for bad debt.
A: What is $3,000 (short-term capital loss)?
Docseda
Credits
100
In 2002, this amount represents maximum
child tax credit allowed per child.
A: What is $600?
Docseda
Credits
200
Keith, a freshman in college, has a 2002 tax
liability of $1000 before taking into account his
educational tax credit. He paid $3,000 in qualifying
expenses as a full-time student. This amount
represents allowable Hope Education Credit.
A: What is $ 1,000 [Hope Credit is nonrefundable
or limited to tax liability]?
Docseda
Credits
300
Clark, a widower, has AGI of $36,000 and maintains a
household with 2 dependent preschool chjldren. He paid
$5,000 in housekeeping and nursery school expenses for
child care. This amount represents allowable Child
Care Credit.
A: What is $960 [4,800*.20]?
Docseda
Credits
400
Ann and Mike are married, file a joint return, and
have two dependent children, ages 11 and 13. Their
combined income is $120,000. This amount
represents reduction of their child tax credit for
2002.
A: What is $500 [{120,000-110,000/1000}*50] ?
Docseda
Credits
500
Taxpayer has income of $10,000 from Country A
that imposes a 20% income tax. Taxpayer has
taxable income fom US of $50,000, and US tax
liability before credits of $9,000. This amount
represents allowable foreign tax credit.
A: What is $1,500 [lesser of (10000/60000)*9000 or
$2000 foreign tax paid ?
Docseda
Gains/Losses
100
Taxpayer acquired land for $60,000 in
2000 and sold it for $110,000 in 2002.
Taxpayer’s AGI is $100,000. Taxpayer
has a $50,000 Long-term capital gain
taxed at this tax rate.
A: What is 20% capital gains tax rate?
Docseda
Gains/Losses
200
Bill sells stock to his sister for a $3,000
loss. This amount represents allowable
tax deduction.
A: What is Zero due to related party
rules?
Docseda
Gains/Losses
300
Taxpayer purchased land for $80,000 in 1985. In
2002, land was sold for $120,000 with $10,000
down payment. Under installment method,
taxpayer should recognize this gain in 2002.
A: What is $3,333 [((120,000-80,000)/120,000)
*10,000]?
Docseda
Gains/Losses
400
Jerry bought his home for $75,000 in 1985 and
sold it for $375,000 in 2002. This amount
represents taxable long–term capital gain.
A: What is $50,000 [after $250,000 gain exclusion]?
Docseda
Gains/Losses
500
On 12/31/02, Henry, a sole proprietor, sold for
$75,000 a machine (Section 1245) that was used in
his business. Machine has been purchased in 1998
for $60,000, and had an adjusted basis of $40,000.
This amount represents Section 1231 gain.
A: What is $15,000 Section 1231 Gain [(75,00040,000)-20,000 depreciation recapture-ordinary
income]?
Docseda
Depreciation
100
MACRS
A: What is Modified Accelerated Cost
Recovery System?
Docseda
Depreciation
200
In 2002, additional or bonus depreciation expense
equal to this percent is allowed on property with
MACRS recovery periods of 20 years or less.
A: What is 30% ?
Docseda
Depreciation
300
This amount represents maximum Section 179
election to expense acquisition of personal
property used in business.
A: What is $24,000?
Docseda
Depreciation
400
Passenger automobiles, computer equipment
and cellular telephones are known as this
type of property subject to certain
depreciation limits.
A: What is Listed Property?
Docseda
Depreciation
500
Ben purchased an apartment building on 1/1/90 for $200,000.
The building has been depreciated over appropriate recovery
period using straight-line method. On 12/31/02, building was
sold for $220,000, when accumulated depreciation was
$62,500. Ben should report this amount of ordinary income
as Section 1250 recaptured depreciation.
A: What is Zero [Sec.1250 Gain of 82,500 (220,000(200,000–62,500)) should be reported as Sec.1231
Gain of 20,000 and unrecaptured depreciation of
62,500 taxed at 25%]?
Docseda