2024 Advanced Course Scenarios Test/Retest Questions – Answers with Solutions;
Advanced Scenario 1 Sharon Smith – Interview Notes:
• Sharon's husband, Daniel, moved out of their home in February of 2022. Sharon has had no contact with Daniel since he moved out. Sharon and Daniel are not legally separated.• Sharon has one child, Lea, age 10. She will claim Lea as a dependent on her 2024 tax return. .
• Sharon is 31 years old.
• Sharon earned $44,500 in wages and received $50 of interest. Sharon had lottery winnings of $2,000 reported on Form W-2G.
• Sharon paid all the costs of keeping up her home. She provided over half of the support for Lea.
• They all are U.S. citizens and have valid Social Security numbers. They lived in the U.S. all year.
Advanced Scenario 1 Sharon Smith – Test Questions:
1. Sharon qualifies for Head of Household filing status.a. True
2. Who qualifies to claim the Earned Income Credit (EIC) also known as Earned Income Tax Credit (EITC) for Lea?
a. Sharon
3. Sharon is required to report her lottery winnings as income on her federal tax return.
a. True