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5.Due to a computation error, Myra, a single taxpayer, had to repay social security benefits that she received and included in her gross income in a prior year. In 2019, she repaid $2,800 more than she received in benefits. Assuming general rules and circumstances, choose the statement that best describes how Myra should report this repayment on her 2019 return.

A. She should deduct the repayment amount as an other itemized deduction on Schedule A, line 16.

B. She will not be able to deduct the repayment on her tax return. 

C. She may use the repayment amount to figure a refundable tax credit.

D. She may deduct the repayment amount as an other itemized deduction on Schedule A, line 16, OR she may use the amount to figure a refundable credit.

 

6.The requirement to complete indirect rollover in 60 days may be waived by the IRS, depending on the taxpayer's circumstances. All of the following are facts and circumstances the IRS considers when determining whether to grant a waiver EXCEPT:

A. The financial institution made errors completing the rollover.

B. Whether the taxpayer used the distributed funds.

C. The taxpayer's age when the funds were distributed to the taxpayer.

D. The amount of time since the funds were distributed.

 

7.Which type of account can be used as a retirement savings account?

A. Health Savings Account 

B. Education Savings Account 

 

8.Each of the following reduces qualified educational expenses for the education credits EXCEPT:

A. Distributions from Section 529 plans.

B. Taxable scholarships or grants.

C. Employer tuition reimbursements.

D. Veteran's educational assistance