2012 TEST
Form 6744 (Rev. 10-2012) Catalog Number 43560V Department of the Treasury Internal Revenue Service www.irs.gov
Volunteer Standards of Conduct
VITA/TCE Programs
The mission of the VITA/TCE return preparation programs is to assist eligible taxpayers in
satisfying their tax responsibilities by providing free tax return preparation. To establish the
greatest degree of public trust, volunteers are required to maintain the highest standards of ethical
conduct and provide quality service.
All VITA/TCE volunteers must complete the Volunteer Standards of Conduct Training and sign
Form 13615, Volunteer Standards of Conduct Agreement prior to working at a VITA/TCE site. In
addition, return preparers, quality reviewers, and VITA/TCE tax law instructors must certify in tax
law prior to signing this form. This form is not valid until the site coordinator, sponsoring partner,
As a volunteer participant in the VITA/TCE Programs, I will:
Failure to comply with these standards could result in, but is not limited to, the following:
• Removal from the VITA/TCE Programs and inclusion on volunteer registry;
• Deactivation of your Partner’s VITA/TCE EFIN (electronic ID number);
• Removal of all IRS products, supplies, loaned equipment, and taxpayer information;
• Termination of the sponsoring organizations partnership with IRS;
• Termination of sponsoring organization grant funds; and
• Subjection to criminal investigations.
1) Follow the Quality Site Requirements
(QSR).
2) Not accept payment or solicit donations for
federal or state tax return preparation.
3) Not solicit business from taxpayers I
assist or use the knowledge I gained (their
information) about them for any direct or
4) Not knowingly prepare false returns.
5) Not engage in criminal, infamous,
dishonest, notoriously disgraceful
conduct, or any other conduct deemed to
have a negative effect on the VITA/TCE
Programs.
6) Treat all taxpayers in a professional,
courteous, and respectful manner.
Tax Wise® is a copyrighted software program owned by CCH Small Firm Services (CCH).All screen shots that appear throughout the official Volunteer Income Tax Assistance (VITA)and Tax Counseling for the Elderly (TCE) training materials are used with the permission ofCCH. The screen shots used in this publication—or any other screen shots from Tax Wise orits affiliated programs—may not be extracted, copied, or distributed without written approvalfrom the IRS SPEC Office of Products, Systems, & Analysis.
How to Get Technical Updates?
Updates to the volunteer training materials will be contained in Publication 4491X, VITA/
TCE Training Supplement. To access this publication, in the upper right hand corner of
During the tax season Volunteer Tax Alerts will be issued periodically. Type “volunteer
All tax information you receive from taxpayers in your VOLUNTEER capacity is strictly
confidential and should not, under any circumstances, be disclosed to unauthorized
individuals.
Introduction & Instructions i
Form 6744 – 201� VITA/TCE Test
Table of ContentsPreface . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .iiTest Instructions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iiiTest Answer Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . vi
Standards of Conduct (Ethics) Training . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .S-1Standards of Conduct (Ethics) Test . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .S-18Volunteer Standards of Conduct Agreement Form 13615 . . . . . . . . . . . . . . . . . . . . .S-21
Basic ScenariosScenario 1 – Nancy Pratt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-1Scenario 2 – Sarah Pope . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-2Scenario 3 – Natasha Jefferson . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-3Scenario 4 – Aiden and Isabel Stillwater . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-4Scenario 5 – Lisa Bolivar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-5Scenario 6 – James and Bridget Thurston . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-6Scenario 7 – Ashley Sawyer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-14Scenario 8 – Serena Livingston . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-22
Intermediate ScenariosScenario 1 – Kathy Greenlee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1Scenario 2 – Alonzo Maricopa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-2Scenario 3 – Evan James Dawson . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-3Scenario 4 – Andrew and Lily Albright . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-13
Advanced ScenariosScenario 1 – Jacob McPherson . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3-1Scenario 2 – Ross and Mary Campbell . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3-3Scenario 3 – Gabriella Lafayette . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3-4Scenario 4 – Nathan and Phoebe Wheeler . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3-5
Military ScenariosScenario 1 – Benjamin and Avery Merrimack . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4-1Scenario 2 – Lucas and Katarina Benton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4-2Scenario 3 – Sebastien and Michelle Decatur . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4-10
International ScenariosScenario 1 – Gary and Susanne Drake . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5-1Scenario 2 – Sam and Karen Floyd . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5-3Scenario 3 – John and Laura Morton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5-4Scenario 4 – David and Miriam Fulton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5-5
Retest Questions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .R-1
Introduction & Instructionsii
Preface
Quality Return ProcessThe IRS has an ongoing initiative to improve and enhance the quality of returns prepared at VITA/TCE sites. The Volunteer Return Preparation Program – Quality Improvement Process continues to focus on improving the return preparation process.
An accurate return is the most important aspect of providing quality service to the taxpayer; it establishes credibility and integrity in the program and the volunteer who prepared the return. Throughout the training material you were introduced to the major components of the VITA/TCE return preparation process including:
�� 8QGHUVWDQGLQJ�DQG�DSSO\LQJ�WD[�ODZ
�� 6FUHHQLQJ�DQG�LQWHUYLHZLQJ�WD[SD\HUV��,QWDNH�,QWHUYLHZ��4XDOLW\�5HYLHZ�6KHHW�
�� 8VLQJ�UHIHUHQFHV��UHVRXUFHV��DQG�WRROV
�� &RQGXFWLQJ�TXDOLW\�UHYLHZV
During your training you were given an opportunity to apply the tax law knowledge you gained. You learned how to properly verify and use the information provided by the taxpayer on the intake and interview sheet in order to prepare a correct tax return.
You also learned how to use your reference materials and conduct a quality review.
Now comes the time to test the knowledge and skills you have acquired and apply WKHP�WR�VSHFL¿F�VFHQDULRV��7KLV�LV�WKH�¿QDO�VWHS�WR�KHOS�\RX�SUHSDUH�DFFXUDWH�WD[�returns within your scope of training.
We welcome your comments for improving these materials and the VITA/TCE SURJUDPV��<RX�PD\�IROORZ�WKH�HYDOXDWLRQ�SURFHGXUHV�ORFDWHG�RQ�/LQN��/HDUQ�7D[HV�DW�www.irs.gov or e-mail your comments to [email protected].
Thank you for being a part of this valuable public service for your neighbors and community.
Form 6744 – 201� VITA/TCE Test
Introduction & Instructions iii
Test Instructions
Special Accommodations,I�\RX�UHTXLUH�VSHFLDO�DFFRPPRGDWLRQV�WR�FRPSOHWH�WKH�WHVW��SOHDVH�DGYLVH�\RXU�LQVWUXF-tor immediately.
Reference Materials8VH�2011�YDOXHV�IRU�GHGXFWLRQV��H[HPSWLRQV��WD[��RU�FUHGLWV�IRU�DOO�DQVZHUV�RQ�WKH�test. Remember to round to dollars. Test answers have been rounded up or down as GLUHFWHG�LQ�WKH�VSHFL¿F�LQVWUXFWLRQV�RQ�WKH�IRUP��
This is an open book test. You may use your course book and any other reference PDWHULDO�\RX�ZLOO�XVH�DV�D�YROXQWHHU��7KH�UHYLVHG�)RUP�������&��,QWDNH�,QWHUYLHZ��4XDOLW\�5HYLHZ�6KHHW��LV�LQFOXGHG�LQ�HDFK�UHWXUQ�SUHSDUDWLRQ�VFHQDULR��8VH�WKLV�IRUP�WR�help you complete the tax returns and answer the test questions.
Please complete this test on your own. Taking the test in groups or with outside assis-tance is a disservice to the customers you have volunteered to help.
Using SoftwareThe Practice Lab is tax year 2011 tax preparation software developed as a tool to KHOS�LQ�WKH�FHUWL¿FDWLRQ�SURFHVV�IRU�9,7$�7&(�YROXQWHHUV��*R�WR�ZZZ�LUV�JRY�DQG�W\SH�³/LQN��/HDUQ�7D[HV´�LQ�WKH�NH\ZRUG�VHDUFK�¿HOG��*R�WR�D�VSHFL¿F�FRXUVH�OHYHO�DQG�FOLFN�WKH�³VWDUW�FRXUVH´�OLQN�WR�GLVSOD\�WKH�FRXUVH�PHQX��&OLFN�RQ�WKH�3UDFWLFH�/DE�LFRQ�to the right of the page. A universal password will be needed to access the Practice Lab. Your instructor or Site Coordinator will be able to provide you with the universal SDVVZRUG��2QFH�\RX�DFFHVV�WKH�3UDFWLFH�/DE�\RX�ZLOO�QHHG�WR�FUHDWH�D�XQLTXH�8VHU,'� IMPoRTAnT: You will need to create a UserID again this year, even if you used the Practice Lab last year.
Only the 2011 version of the software will generate the correct answers for the 2011 test.
$OO�WD[SD\HU�QDPHV��VRFLDO�VHFXULW\�QXPEHUV��HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV��DQG�DFFRXQW�QXPEHUV�SURYLGHG�LQ�WKH�VFHQDULRV�DUH�¿FWLWLRXV�
Volunteers using tax preparation software to complete the test should replace the ;¶V�DV�GLUHFWHG�E\�WKH�VRIWZDUH��,I�\RX�DUH�XVLQJ�WKH�/LQN��/HDUQ�7D[HV�3UDFWLFH�/DE�UHSODFH�WKH�;¶V�LQ�WKH�661V�DQG�(,1V�ZLWK�\RXU�XQLTXH�8VHU�,'��8VH�\RXU�FLW\��VWDWH��DQG�=,3�FRGH�ZKHQ�FRPSOHWLQJ�DQ\�RI�WKH�IRUPV��XQOHVV�RWKHUZLVH�LQGLFDWHG�
Test Answer Sheet,I�\RX�DUH�FRPSOHWLQJ�WKH�SDSHU�WHVW��SOHDVH�WUDQVIHU�DOO�DQVZHUV�WR�WKH�WHDU�RXW�7HVW�Answer Sheet. Make sure your name is at the top of the page.
)RUZDUG�WKH�FRPSOHWHG�7HVW�$QVZHU�6KHHW�DQG�WKH�FRPSOHWHG�)RUP��������9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�$JUHHPHQW��DV�GLUHFWHG�IRU�JUDGLQJ��'R�QRW�VXEPLW�\RXU�HQWLUH�WHVW�ERRNOHW�XQOHVV�RWKHUZLVH�GLUHFWHG��,I�\RX�DUH�UHTXLUHG�WR�WDNH�WKH�UHWHVW��\RXU�7HVW�Answer Sheet will be retained. If you are using Link & Learn Taxes to grade your test, do not use the test answer sheet.
Introduction & Instructionsiv
Test ScoreYou will be advised of your test results. Your Volunteer Standards of Conduct Agreement will be maintained by your Site Coordinator.
&HUWL¿FDWLRQEach course must be passed with a minimum score of 80% IRU�FHUWL¿FDWLRQ��,I�\RX�do not achieve a score of at least 80%��\RX�VKRXOG�GLVFXVV�LW�ZLWK�\RXU�LQVWUXFWRU�RU�7UDLQLQJ�6LWH�&RRUGLQDWRU��$IWHU�WKH�GLVFXVVLRQ��\RX�PD\�FKRRVH�WR�WDNH�D�FHUWL¿FDWLRQ�retest. The retest questions are included in this test booklet after the International test.
VITA/TCE CoursesThere are several training options. Each course is summarized below.
�� Standards of Conduct (Ethics):�7KLV�\HDU��DOO�YROXQWHHUV�DUH�UHTXLUHG�WR�WDNH�WKH�Standards of Conduct (Ethics) training and test. This includes volunteers who do not complete tax returns.
�� Basic: This course covers the completion of wage earner type returns.
�� Intermediate:�7KLV�FRXUVH�UHTXLUHV�WKDW�\RX�KDYH�DOUHDG\�FHUWL¿HG�DW�WKH�%DVLF�OHYHO��,W�FRYHUV�FRPSOHWLRQ�RI�UHWXUQV�IURP�ZDJH�HDUQHUV��WKRVH�ZKR�UHFHLYH�SHQVLRQ�LQFRPH��DQG�PRUH�FRPSOH[�)RUPV�������,WHPL]HG�GHGXFWLRQV�DQG�6FKHGXOH�&�(=�Schedule C (with limits) are included in this course.
�� Advanced:�7KLV�FRXUVH�UHTXLUHV�WKDW�\RX�KDYH�DOUHDG\�FHUWL¿HG�DW�WKH�%DVLF�DQG�Intermediate levels. Capital gains and losses and more complex pension issues are included in this course.
�� Military: This course covers the full scope of returns presented by members of the GRPHVWLF�$UPHG�)RUFHV��5HVHUYH�DQG�1DWLRQDO�*XDUG��LQFOXGLQJ�FRPEDW�]RQH�DQG�UHQWDO�LVVXHV��7KLV�FRXUVH�UHTXLUHV�WKDW�\RX�KDYH�DOUHDG\�FHUWL¿HG�DW�WKH�%DVLF�DQG�Intermediate levels. Military representatives or instructors going overseas to provide DVVLVWDQFH�RU�WHDFK�PXVW�EH�FHUWL¿HG�LQ�both Military and International courses.
�� International: This course covers the completion of returns for taxpayers living RXWVLGH�WKH�8QLWHG�6WDWHV��7KLV�FRXUVH�UHTXLUHV�WKDW�\RX�KDYH�DOUHDG\�FHUWL¿HG�DW�the Basic and Intermediate levels. This course includes topics of Foreign Earned Income Exclusion and Foreign Tax Credit.
�� Health Savings Accounts: This optional course requires that you have already certi-¿HG�DW�WKH�%DVLF�DQG�,QWHUPHGLDWH�OHYHOV��,W�LV�DYDLODEOH�RQOLQH�DW�/LQN��/HDUQ�7D[HV�
�� Cancellation of Debt: 7KLV�RSWLRQDO�FRXUVH�UHTXLUHV�WKDW�\RX�KDYH�DOUHDG\�FHUWL¿HG�DW�WKH�$GYDQFHG��0LOLWDU\��RU�,QWHUQDWLRQDO�OHYHOV��,W�LV�DYDLODEOH�RQOLQH�DW�/LQN��/HDUQ�Taxes.
All volunteers who prepare tax returns must complete the Basic course. 9ROXQWHHUV�FDQ�RQO\�SUHSDUH�UHWXUQV�IRU�WKH�OHYHO�IRU�ZKLFK�WKH\�KDYH�EHHQ�FHUWL¿HG��4XDOLW\�5HYLHZHUV�DQG�LQVWUXFWRUV�PXVW�EH�FHUWL¿HG��DW�D�PLQLPXP��DW�WKH�,QWHUPHGLDWH�level or higher (based on the complexity of the return).
Introduction & Instructions v
&HUWL¿FDWLRQ�LQ�/LQN��/HDUQ�7D[HV<RX�PD\�WDNH�WKLV�YROXQWHHU�FHUWL¿FDWLRQ�WHVW�RQOLQH�XVLQJ�WKH�/LQN��/HDUQ�7D[HV�H�OHDUQLQJ�DSSOLFDWLRQ� at http://www.irs.gov/app/vita/index.jsp
or
DW�ZZZ�LUV�JRY��XVLQJ�NH\ZRUG�VHDUFK��/LQN��/HDUQ��
CAUTIon: The test scenarios on Link & Learn Taxes are the same as this booklet. However, questions in the online test can be from either the test or the retest. You must read each question carefully before entering your answers online. Transferring answers directly from the paper answer sheet to the online test in Link & Learn Taxes will result in missed questions.
Introduction & Instructionsvi
Test Answer SheetName
Record all your answers on this tear-out page. Your instructor will tell you where to send your Test Answer Sheet for grading. Be sure to complete DQG�VLJQ�)RUP��������9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�Agreement.
Privacy Act Notice
The Privacy Act of 1974 requires that when we ask for information we tell you RXU�OHJDO�ULJKW�WR�DVN�IRU�WKH�LQIRUPDWLRQ��ZK\�ZH�DUH�DVNLQJ�IRU�LW��DQG�KRZ�LW�ZLOO�be used. We must also tell you what FRXOG�KDSSHQ�LI�ZH�GR�QRW�UHFHLYH�LW��DQG�ZKHWKHU�\RXU�UHVSRQVH�LV�YROXQWDU\��UHTXLUHG�WR�REWDLQ�D�EHQH¿W��RU�PDQGDWRU\�
Our legal right to ask for information is ��8�6�&�������
We are asking for this information to assist us in contacting you relative to your inter-est and/or participation in the IRS volun-teer income tax preparation and outreach programs. The information you provide may be furnished to others who coordi-QDWH�DFWLYLWLHV�DQG�VWDI¿QJ�DW�YROXQWHHU�return preparation sites or outreach activi-ties. The information may also be used to HVWDEOLVK�HIIHFWLYH�FRQWUROV��VHQG�FRUUH-spondence and recognize volunteers.
<RXU�UHVSRQVH�LV�YROXQWDU\��+RZHYHU��LI�you do not provide the requested informa-WLRQ��WKH�,56�PD\�QRW�EH�DEOH�WR�XVH�\RXU�assistance in these programs.
Question AnswerStandards of Conduct 1. 2. 3. 4. 5. Total Answers Correct: Total Questions: 5 Passing Score: 4 of 5
Question AnswerBasic Scenario 1 1. 2. Basic Scenario 2 3. 4. Basic Scenario 3 5. 6. Basic Scenario 4 7. 8. Basic Scenario 5 9. 10. Basic Scenario 6 11. 12. 13. 14. 15. 16. 17. Basic Scenario 7 18. 19. 20. 21. 22. 23. 24. Basic Scenario 8 25. 26. 27. 28. 29. 30. Total Answers Correct: Total Questions: 30 Passing Score: 24 of 30
Question AnswerAdvanced Scenario 1 1. 2. 3. Advanced Scenario 2 4. 5. Advanced Scenario 3 6. 7. 8. Advanced Scenario 4 9. 10. 11. 12. 13. 14. 15. Total Answers Correct: Total Questions: 15 Passing Score: 12 of 15
Question AnswerIntermediate Scenario 1 1. 2. Intermediate Scenario 2 3. 4. Intermediate Scenario 3 5. 6. 7. 8. 9. 10. 11. Intermediate Scenario 4 12. 13. 14. 15. 16. 17. 18. 19. 20. Total Answers Correct: Total Questions: 20 Passing Score: 16 of 20
Question AnswerMilitary Scenario 1 1. 2. Military Scenario 2 3. 4. 5. 6. 7. 8. 9. Military Scenario 3 10. 11. 12. 13. 14. 15. Total Answers Correct: Total Questions: 15 Passing Score: 12 of 15
Question AnswerInternational Scenario 1 1. 2. 3. 4. International Scenario 2 5. 6. International Scenario 3 7. 8. International Scenario 4 9. 10. 11. 12. 13. 14. 15. Total Answers Correct: Total Questions: 15 Passing Score: 12 of 15
Standards of Conduct (Ethics) S-1
Introduction
The integrity of the Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) 3URJUDPV�GHSHQGV�RQ�PDLQWDLQLQJ�SXEOLF�WUXVW��$OO�WD[SD\HUV�XVLQJ�9,7$�7&(�VHUYLFHV�VKRXOG�EH�FRQ¿GHQW�they are receiving accurate return preparation and quality service.
All volunteers are responsible for providing the highest quality and best service to taxpayers. Along with this responsibility, all volunteers must sign Form 13615, Volunteer Standards of Conduct Agreement each year, stating they will comply with the program requirements and uphold the highest ethical standards.
Furthermore, all IRS Stakeholder Partnerships, Education and Communication (IRS-SPEC) agency partners must sign Form 13533, Sponsor Agreement, certifying they will adhere to the strictest standards of ethical conduct. Form 13533 is valid for one year after the signature date.
All volunteers must complete Volunteer Standards of Conduct (VSC) Training. This training will contain the following information:
�� 8QGHUVWDQGLQJ�WKH�VL[�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�GH¿QHG�LQ�)RUP������
�� $SSO\LQJ�WD[�ODZ�HWKLFDOO\�DQG�DFFXUDWHO\
�� 5HSRUWLQJ�SRVVLEOH�YLRODWLRQV
�� &RQVHTXHQFHV�RI�IDLOXUH�WR�DGKHUH�WR�WKH�SURJUDP�UHTXLUHPHQWV
�� ([DPSOHV�RI�VLWXDWLRQV�WKDW�UDLVH�TXHVWLRQV�RQ�HWKLFDO�EHKDYLRU
Why are we doing this?'XULQJ�D�UHFHQW�¿OLQJ�VHDVRQ��WKH�7UHDVXU\�,QVSHFWRU�*HQHUDO�IRU�7D[�$GPLQLVWUDWLRQ��7,*7$��DQG�,56�63(&�SDUWQHUV�XQFRYHUHG�XQDFFHSWDEOH�practices at a few VITA/TCE sites. In response to these issues, IRS-SPEC enhanced the Volunteer Standards of Conduct. The intent is to provide guidance and a structure for regulating VITA/TCE volunteers and to protect taxpayers.
When unscrupulous volunteers intentionally ignore the law, it compromises WKH�LQWHJULW\�RI�WKH�9,7$�7&(�3URJUDPV�DQG�WKH�SXEOLF¶V�WUXVW��8QIRUWXQDWHO\��due to the actions of a few, the VITA/TCE Programs’ integrity and trust have been tested. In these cases, IRS-SPEC can and does take appropriate actions against the partners and volunteers involved.
Objectives
At the end of this lesson, using your reference materials, you will be able to:
�� /LVW�WKH�VL[�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�
�� 'HVFULEH�XQHWKLFDO�EHKDYLRU�
�� ,GHQWLI\�FRQVHTXHQFHV�IRU�IDLOLQJ�WR�FRPSO\�ZLWK�WKH�VWDQGDUGV�
�� ([SODLQ�KRZ�YROXQWHHUV�DUH�SURWHFWHG
Volunteer Standards of Conduct (Ethics) Training
What do I need?
Ƒ Intake and Interview SheetƑ Form 13615, Volunteer
Standards of Conduct Agreement
Ƒ Publication 1084, Site Coordinator Handbook
Ƒ Publication 4299, Privacy, &RQ¿GHQWLDOLW\��DQG�Standards of Conduct – A Public Trust
IRS-SPEC is ultimately responsible for oversight of the VITA/TCE Programs. The agency often receives complaints from taxpayers, partners, and congressional members when assessment notices are issued. IRS-SPEC researches and responds to all inquiries, but ultimately it is the partner’s/sponsor’s responsibility to take correc-tive actions.
Standards of Conduct (Ethics)S-2
8QHWKLFDO�'H¿QHG
,56�63(&�GH¿QHV�XQHWKLFDO�DV�QRW�FRQIRUPLQJ�WR�DJUHHG�VWDQGDUGV�RI�PRUDO�FRQGXFW��HVSHFLDOO\�ZLWKLQ�D�particular profession. In most cases, unethical behavior is acted upon with the intent to disregard the estab-lished laws, procedures, or set policies.
Do not confuse an unethical action with a lack of knowledge or a simple mistake.
Volunteer Standards of Conduct (VSC)
All volunteers face ethical issues, which often arise in unexpected situations that require quick decisions and good judgment. In many cases, a preparer will react to unusual situations and realize later that it was, in fact, an ethical dilemma.
7KH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�ZHUH�GHYHORSHG�VSHFL¿FDOO\�IRU�IUHH�WD[�SUHSDUDWLRQ�RSHUDWLRQV��)RUP�13615, Volunteer Standards of Conduct Agreement, applies to all conduct and ethical behavior affecting the VITA/TCE Programs.
Volunteers must agree to the following standards of conduct prior to working in a VITA/TCE free return prepa-ration site. As a participant in the VITA/TCE Programs:
1. I will follow the Quality Site Requirements (QSR).$OO�WD[SD\HUV�XVLQJ�WKH�VHUYLFHV�RIIHUHG�WKURXJK�WKH�9,7$�7&(�3URJUDPV�VKRXOG�EH�FRQ¿GHQW�WKH\�DUH�UHFHLY-ing accurate return preparation and quality service. The purpose of QSR is to ensure VITA/TCE sites are using consistent site operating procedures that will ultimately assist with the accuracy of volunteer prepared returns. The ten QSR are:
� 465����&HUWL¿FDWLRQ
All volunteers must complete the VSC Training course and complete Form 13615, Volunteer Standards of Conduct Agreement – VITA/TCE Programs, prior to working at a VITA/TCE site.
Volunteers who answer tax law questions, instruct (teach) tax law classes, prepare or correct tax returns, and/RU�FRQGXFW�TXDOLW\�UHYLHZV�RI�FRPSOHWHG�WD[�UHWXUQV�PXVW�EH�FHUWL¿HG��$W�D�PLQLPXP��DOO�9,7$�7&(�LQVWUXFWRUV�DQG�VLWH�4XDOLW\�5HYLHZHUV�PXVW�EH�FHUWL¿HG�DW�WKH�LQWHUPHGLDWH�OHYHO�RU�KLJKHU��EDVHG�RQ�WKH�FRPSOH[LW\�RI�WKH�UHWXUQ���$OO�6LWH�&RRUGLQDWRUV�PXVW�EH�FHUWL¿HG�E\�WDNLQJ�6LWH�&RRUGLQDWRUV¶�WUDLQLQJ��6LWH�&RRUGLQDWRUV�PXVW�YHULI\�WKH�LGHQWLW\�RI�HYHU\�YROXQWHHU��VHFXUH�D�FRS\�RU�RULJLQDO�VLJQHG�)RUP��������DQG�YHULI\�FHUWL¿FDWLRQ�ZKHQ�WKH�YROXQWHHU�UHSRUWV�WR�WKHLU�VLWH��,Q�WKH�3DUWQHU�8VH�2QO\�VHFWLRQ��6LWH�&RRUGLQDWRUV�VSRQVRUV�SDUWQHUV�PXVW�VLJQ�³&HUWL¿FDWLRQ�YHUL¿HG�E\�´
� 465����,QWDNH�,QWHUYLHZ�3URFHVV
All sites must use Form 13614-C, Intake/Interview & Quality Review Sheet for every return prepared.
example
If volunteer Mary prepares a return, which includes a credit the taxpayer does not qualify for because Mary did not understand the law, Mary did not act unethically. However, if Mary knowingly allowed a credit for which the taxpayer did not qualify, Mary committed an unethical act and violated the Volunteer Standards of Conduct.
Standards of Conduct (Ethics) S-3
Tax Software Hint: The electronic Form 13614-C, available through the TaxWise software interview module, may be used in lieu of the paper Form 13614-C.
� 465����4XDOLW\�5HYLHZ�3URFHVV
All returns must be quality reviewed and discussed with the taxpayer prior to the taxpayer leaving the site. All sites must complete Form 13614-C, Section C after completing the quality review process.
� 465����5HIHUHQFH�0DWHULDOV
All sites must have one copy of the following reference materials available for use by volunteer return prepar-ers and Quality Reviewers:
3XEOLFDWLRQ�������9ROXQWHHU�5HVRXUFH�*XLGH
Publication 17, Your Federal Income Tax for Individuals
� 465����9ROXQWHHU�$JUHHPHQW
All volunteers (preparers, Quality Reviewers, greeters, etc.) must complete the VSC Training and certify to their adherence by signing Form 13615 prior to working at a site.
� 465����7LPHO\�)LOLQJ
$OO�VLWHV�PXVW�KDYH�D�SURFHVV�LQ�SODFH�WR�HQVXUH�HYHU\�UHWXUQ�LV�HOHFWURQLFDOO\�¿OHG�RU�GHOLYHUHG�WR�WKH�WD[SD\HU�in a timely manner.
Standards of Conduct (Ethics)S-4
� 465����7LWOH�9,
Title VI of the Civil Rights Act of 1964 information must be displayed or provided to taxpayers at designated sites.
� 465����6LWH�,GHQWL¿FDWLRQ�1XPEHU
,W�LV�FULWLFDO�WKDW�WKH�FRUUHFW�6LWH�,GHQWL¿FDWLRQ�1XPEHU��6,'1��PXVW�EH�LQFOXGHG�RQ�DOO returns prepared by VITA/TCE sites.
� 465����(OHFWURQLF�)LOLQJ�,GHQWL¿FDWLRQ�1XPEHU
7KH�FRUUHFW�(OHFWURQLF�)LOLQJ�,GHQWL¿FDWLRQ�1XPEHU��(),1��PXVW�EH�XVHG�RQ�DOO returns prepared.
� 465�����6HFXULW\��3ULYDF\�DQG�&RQ¿GHQWLDOLW\
$OO�JXLGHOLQHV�GLVFXVVHG�LQ�3XEOLFDWLRQ�������3ULYDF\��&RQ¿GHQWLDOLW\��DQG�Standards of Conduct – A Public Trust, must be followed
2. I will not accept payment or solicit donations for federal or state tax return preparation.³)UHH´�PHDQV�ZH�GR�QRW�DFFHSW�FRPSHQVDWLRQ�IRU�RXU�VHUYLFHV��7KHUHIRUH��ZH�GR�QRW�ZDQW�WR�FRQIXVH�WKH�taxpayer by asking for donations. A client may offer payment, but always refuse with a smile and say some-WKLQJ�OLNH��³7KDQN�\RX��EXW�ZH�FDQQRW�DFFHSW�SD\PHQW�IRU�RXU�VHUYLFHV�´�,I�VRPHRQH�LQVLVWV��UHFRPPHQG�FRRN-ies or donuts for the site. Taxpayers can make cash donations but not at the tax site. Refer taxpayers who are interested in making cash donations to the appropriate website or to the Site Coordinator for more information.
3. I will not solicit business from taxpayers I assist or use the knowledge I gained about WKHP��WKHLU�LQIRUPDWLRQ��IRU�DQ\�GLUHFW�RU�LQGLUHFW�SHUVRQDO�EHQH¿W�IRU�PH�RU�DQ\�RWKHU�VSHFL¿F�LQGLYLGXDO�<RX�PXVW�SURSHUO\�XVH�DQG�VDIHJXDUG�WD[SD\HUV¶�SHUVRQDO�LQIRUPDWLRQ��)XUWKHUPRUH��\RX�PD\�QRW�XVH�FRQ¿-GHQWLDO�RU�QRQSXEOLF�LQIRUPDWLRQ�WR�HQJDJH�LQ�¿QDQFLDO�WUDQVDFWLRQV��DQG�\RX�FDQQRW�DOORZ�LWV�LPSURSHU�XVH�WR�further your own or another person’s private interests.
example
<RX�¿QLVK�D�WLPH�FRQVXPLQJ�UHWXUQ�DQG�WKH�FOLHQW�LV�YHU\�JUDWHIXO��2Q�KHU�ZD\�RXW��WKH�FOLHQW�VWRSV�E\�DQG�tries to sneak a $20 bill in your pocket, saying, “I would have paid ten times that at the preparer across WKH�VWUHHW�´�5HWXUQ�WKH�PRQH\�DQG�LQYLWH�WKH�FOLHQW�WR�VHQG�WKH�GRQDWLRQ�WR�WKH�&HQWHU¶V�GRZQWRZQ�RI¿FH�or via a website.
example
You are a volunteer preparer and an accountant. You cannot solicit business from the taxpayer.
example
You are the site’s greeter. Your daughter asks you to take candy orders at the site for her school fund-raiser. You explain to her that as a VITA/TCE volunteer you cannot solicit personal business.
For additional information on Quality Site Requirements, refer to Publication 1084, Site Coordinator Handbook, or search “Strengthening the 9ROXQWHHU�3URJUDPV´�RQ�www.irs.gov.
Standards of Conduct (Ethics) S-5
<RX�PXVW�NHHS�WD[SD\HU�DQG�WD[�UHWXUQ�LQIRUPDWLRQ�FRQ¿GHQWLDO��<RX�PD\�GLVFXVV�LQIRUPDWLRQ�ZLWK�RWKHU�YROXQ-teers at the site, but only for purposes of preparing the return. You must not use taxpayer information for your personal or business use.
6HFXULQJ�FRQVHQW
There will be some instances when taxpayers will allow their personal information to be used other than for UHWXUQ�SUHSDUDWLRQ��8QGHU�,QWHUQDO�5HYHQXH�&RGH���������DOO�YROXQWHHU�VLWHV�XVLQJ�RU�GLVFORVLQJ�WD[SD\HU�GDWD�for purposes other than current, prior, or subsequent year tax return preparation must secure two consents from the taxpayer: consent to use the data and consent to disclose the data.
([FHSWLRQV�WR�UHTXLUHG�FRQVHQWV
Volunteer sites using or disclosing the total number of returns (refunds or credits) prepared for their taxpay-ers (aggregate data) to use for fundraising, marketing, and publicity are not required to secure the taxpayers’ FRQVHQW��7KLV�LQIRUPDWLRQ�FDQQRW�LQFOXGH�DQ\�SHUVRQDOO\�LGHQWL¿DEOH�LQIRUPDWLRQ��VXFK�DV�WKH�WD[SD\HU¶V�QDPH��661�,7,1��DGGUHVV�RU�RWKHU�SHUVRQDO�LQIRUPDWLRQ��DQG�GRHV�QRW�GLVFORVH�FHOOV�FRQWDLQLQJ�GDWD�IURP�IHZHU�WKDQ�ten tax returns.
This exception does not apply to the use or disclosure in marketing or advertising of statistical compilations FRQWDLQLQJ�RU�UHÀHFWLQJ�GROODU�DPRXQWV�RI�UHIXQGV��FUHGLWV��RU�UHEDWHV��RU�SHUFHQWDJHV�UHODWLQJ�WKHUHWR�
Taxpayer Data Usage
Are Consents Required?
Number of
Consents Type of Consents8VLQJ�RU�GLVFORVLQJ�WD[SD\HU�GDWD�WR�SUHSDUH�FXUUHQW��prior or subsequent year tax returns.
1R 1RQH 1RQH
8VLQJ�RU�GLVFORVLQJ�WD[SD\HU�GDWD�IRU�SXUSRVHV�RWKHU�than preparing current, prior, or subsequent year tax return.
Yes 2 1. Consent explaining how the data will be used.
2. Consent explaining how the data will be disclosed.
Exception: Reporting the number of returns (or types of returns such as EITC, CTC, etc.) prepared for fundraising, marketing, publicity, or other uses related to the volunteer site’s tax return preparation business.
1R 1RQH 1RQH
Reporting any data containing return dollar amounts for marketing or advertising or any other non-fundraising activities.
Yes 2 1. Consent explaining how the data will be used.
2. Consent explaining how the data will be disclosed.
Reporting any data containing return dollar amounts for fundraising activities.
1R 1RQH 1RQH
example
Your primary business includes selling health insurance policies. While preparing a tax return, you notice the taxpayer is self-employed. You ask if the taxpayer has health insurance to determine eligibility for health insurance deductions. You cannot offer to sell the taxpayer health insurance through your busi-ness.
Standards of Conduct (Ethics)S-6
4. I will not knowingly prepare false returns.Trust in the IRS and the local sponsoring organization is jeopardized when ethical standards are not followed. Fraudulent returns can result in many years of taxpayer interaction with the IRS. The taxpayer may be required to pay additional tax plus interest and penalties, which can result in an extreme burden. In addition, the taxpayer may look to state or local law to seek money from the SPEC partner for the volunteer’s fraudu-lent actions. Even so, the IRS would still seek payment of the additional taxes, interest, and penalties from the taxpayer.
+DUGVKLS�RQ�WKH�WD[SD\HU�
For a low-income taxpayer, it could be impossible to make full payment and recover from return fraud. If full payment is not received, the taxpayer will receive several demand notices. If full payment is still not received, WKH�WD[SD\HU�ZLOO�EH�VHQW�WKURXJK�WKH�,56�FROOHFWLRQ�SURFHVV��7KLV�FRXOG�DOVR�LQYROYH�WKH�¿OLQJ�RI�D�WD[�OLHQ�that will affect the taxpayers’ credit report, or a levy (withholding) on their bank accounts and/or wages. The taxpayer may be eligible for an installment agreement, but it could take several years to pay the IRS debt.
example
A volunteer preparer told the taxpayer that cash income does not need to be reported. The return was completed without the cash income. The Quality Reviewer simply missed this omission and the return ZDV�SULQWHG��VLJQHG��DQG�H�¿OHG��7KH�YROXQWHHU�KDV�YLRODWHG�WKLV�VWDQGDUG�
+RZHYHU��VLQFH�WKH�4XDOLW\�5HYLHZHU�GLG�QRW�NQRZLQJO\�DOORZ�WKLV�UHWXUQ�WR�EH�H�¿OHG�LQFRUUHFWO\��WKH�Quality Reviewer did not violate this standard. Remember not to confuse an unethical action with a lack of knowledge or a simple mistake.
example
A taxpayer’s return fraudulently contains the Earned Income Tax Credit (EITC). The taxpayer has already received the refund when an audit notice is issued. During the audit, the taxpayer cannot provide documentation to support the EITC claim.
The taxpayer is disallowed $3,000 in EITC and now has a balance due of over $4,000, including penal-WLHV�DQG�LQWHUHVW��7KLV�DPRXQW�UHÀHFWV�RQO\�WKH�(,7&�GLVDOORZDQFH��7KH�DPRXQW�FRXOG�EH�PXFK�PRUH�LI�FRXSOHG�ZLWK�WKH�ORVV�RI�GHSHQGHQF\�H[HPSWLRQ��+HDG�RI�+RXVHKROG�¿OLQJ�VWDWXV��DQG�WKH�FKLOG�WD[�FUHGLW��A $3,000 EITC disallowance can quickly generate a bill of over $6,000 when all accompanying disallow-ances are considered.
example
A volunteer prepares a fraudulent return by knowingly claiming an ineligible dependent. The taxpayer received a notice from IRS disallowing the dependent and assessing additional taxes, interest, and penalties. The taxpayer may seek money from the SPEC partner, but must still pay the IRS the addi-tional taxes, interest, and penalties.
Standards of Conduct (Ethics) S-7
5. I will not engage in criminal, infamous, dishonest, notoriously disgraceful conduct, or any other conduct deemed to have a negative effect on the VITA/TCE Programs.You may be prohibited from participating in VITA/TCE Programs if you engage (past and future) in criminal, infamous, dishonest, or notoriously disgraceful conduct, or any other conduct prejudicial to the government. You also must take care to avoid interactions that discredit the program. In addition, a taxpayer may look to state or local law to seek money from the SPEC partner for a volunteer’s fraudulent actions.
Furthermore, allowing an unauthorized alien to volunteer at a VITA/TCE site is prohibited. An “unauthorized DOLHQ´�LV�GH¿QHG�DV�DQ�DOLHQ�QRW�ODZIXOO\�DGPLWWHG�IRU�SHUPDQHQW�UHVLGHQFH�LQ�WKH�8QLWHG�6WDWHV�RU�QRW�DXWKR-UL]HG�WR�ZRUN�LQ�WKH�8QLWHG�6WDWHV�XQGHU�IHGHUDO�LPPLJUDWLRQ�ODZ��$OO�YROXQWHHUV�SDUWLFLSDWLQJ�LQ�WKH�9,7$�7&(�3URJUDPV�PXVW�UHVLGH�LQ�WKH�8QLWHG�6WDWHV�OHJDOO\��6LWH�&RRUGLQDWRUV�DUH�UHTXLUHG�WR�DVN�IRU�SURRI�RI�LGHQWLW\�for each volunteer. However, we are not requiring Site Coordinators or part-ners to validate the legal status of volunteers. Therefore, by signing Form 13615, volunteers are certifying that they are legal.
&RQVHTXHQFHV
Volunteers performing egregious activities are barred from volunteering for VITA/TCE Programs, and may be added to a registry of barred volunteers. 7KH�WD[SD\HU�LV�OLDEOH�IRU�DQ\�WD[�GH¿FLHQF\�UHVXOWLQJ�IURP�IUDXG��DORQJ�ZLWK�interest and penalties, and may seek money from the preparer and the SPEC partner.
6. I will treat all taxpayers in a professional, courteous, and respectful manner.7R�SURWHFW�WKH�SXEOLF�LQWHUHVW��WKH�,56�DQG�LWV�HPSOR\HHV��SDUWQHUV��DQG�YROXQWHHUV�PXVW�PDLQWDLQ�WKH�FRQ¿-dence and esteem of the people we serve. You are expected to conduct yourself professionally in a courte-ous, businesslike, and diplomatic manner.
Volunteers take pride in assisting hard-working men and women who come to VITA/TCE sites for return preparation. Taxpayers are often under a lot of stress and may wait extended periods for assistance. You may also experience stress due to the volume of taxpayers needing service. This situation can make patience run short. It is important for you to remain calm and create a peaceful and friendly atmosphere.
example
A partner’s program director was convicted of embezzling funds from an unrelated organization. The program director’s criminal conduct created negative publicity for the partner. The partner was removed from the VITA/TCE Programs.
example
A taxpayer’s refund was stolen by a volunteer return preparer at a VITA site. The taxpayer sought mone-tary damages from the SPEC partner for the volunteer’s fraudulent actions.
example
<RX�¿QLVK�D�GLI¿FXOW�UHWXUQ�IRU�0LOOLH��ZKR�KDV�VHOI�HPSOR\PHQW�LQFRPH��VHYHUDO�H[SHQVHV��DQG�YHU\�IHZ�records. In addition, her son turned 25 and moved out early in the year. She owes the IRS about $50. After you carefully explain the return, Millie sputters, “You don’t know what you’re doing. I always get a UHIXQG��0\�QHLJKERU�LV�VHOI�HPSOR\HG�DQG�VKH�JRW��������EDFN�´�,Q�WKLV�VLWXDWLRQ��\RX�VKRXOG�WDNH�D�GHHS�breath and courteously explain that every return is different. If necessary, involve the Site Coordinator.
If you have information indicat-ing that another volunteer has engaged in criminal conduct or violated any of the Volunteer Standards of Conduct, imme-diately report such information to your Site Coordinator, email IRS at [email protected], or call 1-877-330-1205.
Standards of Conduct (Ethics)S-8
Taxpayer Civil Rights8QGHU�QR�FLUFXPVWDQFHV�ZLOO�WKH�,QWHUQDO�5HYHQXH�6HUYLFH�WROHUDWH�GLVFULPLQDWRU\�WUHDWPHQW�RI�WD[SD\HUV�E\�HPSOR\HHV�RU�LQGLYLGXDOV�ZKR�YROXQWHHU�DW�IHGHUDOO\�FRQGXFWHG�RU�IHGHUDOO\�DVVLVWHG�VLWHV��1R�WD[SD\HU�VKDOO�EH�H[FOXGHG�IURP�SDUWLFLSDWLQJ�LQ��EH�GHQLHG�WKH�EHQH¿WV�RI��RU�EH�VXEMHFW�WR�GLVFULPLQDWLRQ�EDVHG�on race, color, sex, national origin, reprisal, disability, or age in programs or activities supported by the Department of the Treasury – Internal Revenue Service.*
Taxpayers with a disability may require a reasonable accommodation in order to participate or receive WKH�EHQH¿WV�RI�D�SURJUDP�RU�DFWLYLW\�VXSSRUWHG�E\�WKH�'HSDUWPHQW�RI�WKH�7UHDVXU\�±�,QWHUQDO�5HYHQXH�Service. Volunteers participating in the Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) sites are responsible for ensuring that all requests for reasonable accommodation are JUDQWHG�ZKHQ�WKH�UHTXHVW�LV�PDGH�E\�D�TXDOL¿HG�LQGLYLGXDO�ZLWK�D�GLVDELOLW\��7D[SD\HUV�KDYH�WKH�ULJKW�WR�¿OH�D�ZULWWHQ�FRPSODLQW�ZLWK�WKH�'HSDUWPHQW�RI�WKH�7UHDVXU\�±�,QWHUQDO�5HYHQXH�6HUYLFH�ZKHQ�D�UHTXHVW�for a reasonable accommodation is not granted.
Taxpayers may also submit a written complaint if they believe they have been discriminated against RQ�WKH�EDVLV�RI�UDFH��FRORU��VH[��QDWLRQDO�RULJLQ��GLVDELOLW\��UHSULVDO�RU�DJH��7D[SD\HUV�PD\�¿OH�D�ZULWWHQ�complaint with an employee at an IRS Taxpayer Assistance Center (TAC), VITA/TCE Site Coordinator, Department of the Treasury – Internal Revenue Service, or the address listed below. All written complaints must be sent to:
Director, Civil Rights Division Internal Revenue Service
�����&RQVWLWXWLRQ�$YHQXH��1: Room 2413
Washington, DC 20224
For all inquiries concerning taxpayer civil rights, contact the Internal Revenue Service, AWSS – EDI 2SHUDWLRQV��&LYLO�5LJKWV�'LYLVLRQ�DW�WKH�DGGUHVV�UHIHUHQFHG�DERYH��RU�H�PDLO�XV�DW�HHR�H[WHUQDO�FLYLO�[email protected].
*1RW�DOO�SURWHFWHG�EDVHV�DSSO\�WR�DOO�SURJUDPV�VXSSRUWHG�E\�WKH�'HSDUWPHQW�RI�WKH�7UHDVXU\�±�,QWHUQDO�5HYHQXH�6HUYLFH�
Failure to Comply with the Standards of Conduct
Who enforces the standards?By law, tax return preparers are required to exercise due diligence in preparing or assisting in the preparation RI�WD[�UHWXUQV��,56�63(&�GH¿QHV�GXH�GLOLJHQFH�DV�WKH�GHJUHH�RI�FDUH�DQG�FDXWLRQ�UHDVRQDEO\�H[SHFWHG�IURP��and ordinarily exercised by, a volunteer in the VITA/TCE Programs.
%HFDXVH�WKH�8�6��WD[�V\VWHP�LV�EDVHG�RQ�YROXQWDU\�FRPSOLDQFH��WD[SD\HUV�DUH�DEOH�WR�FRPSXWH�WKHLU�RZQ�tax liability. Most taxpayers compute their tax accurately, but at times unscrupulous taxpayers and preparers HYDGH�WKH�V\VWHP�E\�¿OLQJ�IUDXGXOHQW�UHWXUQV��)RU�WKLV�UHDVRQ��VRPH�VSRQVRULQJ�RUJDQL]DWLRQV�PD\�FKRRVH�WR�perform background checks on their volunteers.
The VITA/TCE Programs are operated by sponsoring partners and/or coalitions outside the IRS. However, ,56�LV�UHVSRQVLEOH�IRU�WKH�RYHUVLJKW�RI�WKHVH�SURJUDPV��*HQHUDOO\��YROXQWHHUV�DUH�VHOHFWHG�E\�SDUWQHUV�DQG�QRW�by the IRS. As a volunteer tax preparer, you serve an important role. In fact, SPEC’s partners and its volun-teers are the most valuable resources in the volunteer tax preparation program.
Standards of Conduct (Ethics) S-9
IRS has the responsibility for providing oversight to protect the VITA/TCE Programs’ integrity and maintain WD[SD\HU�FRQ¿GHQFH��,56�63(&�UHFRJQL]HV�\RXU�KDUG�ZRUN�DQG�GRHV�QRW�ZDQW�LW�RYHUVKDGRZHG�E\�D�YROXQ-teer’s lapse in judgment.
How are the standards enforced?7R�PDLQWDLQ�FRQ¿GHQFH�LQ�9,7$�7&(�3URJUDPV��,56�63(&�HQKDQFHG�)RUP��������9ROXQWHHU�6WDQGDUGV�RI�Conduct Agreement. The intent is to provide guidance to volunteers and a structure for regulating ethical stan-dards.
If conduct violating the standards occurs at a VITA/TCE site, SPEC will recommend corrective action. If the site cannot remedy the conduct, then IRS-SPEC will discontinue its relationship and remove any government property from the site.
In cases of malfeasance, illegal conduct, and/or management practices that violate the VSC, IRS-SPEC may terminate a grant. A volunteer’s conduct could put a site or partner in jeopardy of losing its government funding.
9ROXQWHHU�5HJLVWU\
Volunteers and partners released from the VITA/TCE Programs for egregious actions can be added to the IRS-SPEC Volunteer Registry. The IRS-SPEC director will determine if a volunteer or partner should be added to the registry. The purpose of the registry is to notify IRS-SPEC employees of volunteers and partners that were removed from the VITA/TCE Programs due to egregious actions. The registry will include partner RU�LQGLYLGXDO�QDPHV��ORFDWLRQV��DQG�DI¿OLDWHG�DJHQF\�RU�VSRQVRUV��9ROXQWHHUV�DQG�RU�SDUWQHUV�RQ�WKLV�OLVW�DUH�XQDEOH�WR�SDUWLFLSDWH�LQ�WKH�9,7$�7&(�3URJUDPV�LQGH¿QLWHO\��(JUHJLRXV�DFWLRQV�LQFOXGH��EXW�DUH�QRW�OLPLWHG�WR��one or more of the following willful actions:
�� &UHDWLQJ�KDUP�WR�WD[SD\HUV��YROXQWHHUV�RU�,56�HPSOR\HHV�
�� 5HIXVLQJ�WR�DGKHUH�WR�WKH�4XDOLW\�6LWH�5HTXLUHPHQWV
�� $FFHSWLQJ�SD\PHQWV�IRU�UHWXUQ�SUHSDUDWLRQ�DW�9,7$�7&(�VLWHV
�� 8VLQJ�WD[SD\HU�SHUVRQDO�LQIRUPDWLRQ�IRU�SHUVRQDO�JDLQ
�� .QRZLQJO\�SUHSDULQJ�IDOVH�UHWXUQV
�� (QJDJLQJ�LQ�FULPLQDO��LQIDPRXV��GLVKRQHVW��QRWRULRXV��GLVJUDFHIXO�FRQGXFW�
�� $Q\�RWKHU�FRQGXFW�GHHPHG�WR�KDYH�D�QHJDWLYH�LPSDFW�RQ�WKH�9,7$�7&(�3URJUDPV
What is the impact on VITA/TCE Programs?$V�D�YROXQWHHU��\RX�SRVLWLYHO\�DIIHFW�WKH�OLYHV�RI�WD[SD\HUV��8QIRUWXQDWHO\��RQH�YROXQWHHU¶V�XQHWKLFDO�EHKDYLRU�can cast a cloud of suspicion on the entire volunteer tax preparation program. IRS-SPEC has closed down tax sites due to unethical behavior, which left taxpayers without access to free tax preparation in their community. The consequences to the tax site or sponsoring organization may include:
�� 7HUPLQDWLQJ�WKH�SDUWQHUVKLS�EHWZHHQ�WKH�,56�DQG�WKH�VSRQVRULQJ�RUJDQL]DWLRQ
�� 'LVFRQWLQXLQJ�,56�VXSSRUW
�� 5HYRNLQJ�RU�UHWULHYLQJ�WKH�VSRQVRULQJ�RUJDQL]DWLRQ¶V�JUDQW�IXQGV
�� 'HDFWLYDWLQJ�,56�(),1
�� 5HPRYLQJ�DOO�,56�SURGXFWV��VXSSOLHV��DQG�ORDQHG�HTXLSPHQW�IURP�WKH�VLWH
�� 5HPRYLQJ�DOO�WD[SD\HU�LQIRUPDWLRQ�
�� 'LVDOORZLQJ�XVH�RI�,56�63(&�ORJRV
Standards of Conduct (Ethics)S-10
What is the impact on taxpayers?A taxpayer is responsible for paying only the correct amount of tax due under the law. However, an incorrect UHWXUQ�FDQ�FDXVH�D�ORZ�WR�PRGHUDWH�LQFRPH�WD[SD\HU�¿QDQFLDO�VWUHVV��$OWKRXJK�D�UHWXUQ�LV�DFFHSWHG��LW�PD\�QRW�EH�DFFXUDWH��$FFHSWDQFH�PHUHO\�PHDQV�WKH�UHTXLUHG�¿HOGV�DUH�FRPSOHWH�DQG�WKDW�QR�GXSOLFDWH�UHWXUQV�exist.
It is imperative that you correctly apply the tax laws to the taxpayer’s situation. While you may be tempted to bend the law to help taxpayers, this will cause problems down the road. For example:
�� 'HSHQGLQJ�RQ�WKH�WD[�LVVXH��D�WD[SD\HU�PD\�UHFHLYH�D�UHIXQG�DQG�ODWHU�UHFHLYH�D�OHWWHU�IURP�WKH�,56�TXHV-tioning the return. While a letter does not conclusively mean the return is wrong, it begins a tax controversy process, and can create anguish for the taxpayer.
�� 7KH�WD[SD\HU�PD\�EH�VXEMHFW�WR�WKH�H[DPLQDWLRQ�SURFHVV�LQFOXGLQJ�FROOHFWLRQ��OLWLJDWLRQ��DQG�DSSHDOV��,I�additional tax is assessed, interest and penalties accrue from the date the return was originally due until payment is made.
�� $�WD[SD\HU�ZKR�FDQQRW�SD\�WKH�IXOO�EDODQFH�GXH�PD\�EH�DEOH�WR�PDNH�LQVWDOOPHQW�SD\PHQWV��EXW�LQWHUHVW�DQG�SHQDOWLHV�ZLOO�FRQWLQXH�WR�DFFUXH�XQWLO�IXOO�SD\PHQW�LV�UHPLWWHG��0RUHRYHU��WKH�,56�PD\�¿OH�D�QRWLFH�RI�federal tax lien upon all property or rights belonging to the taxpayer. This can have a chilling effect on the taxpayer as it becomes public knowledge and appears on his/her credit reports. In addition, if a taxpayer refuses or neglects to pay the tax, the IRS can use levies and seizures to satisfy balance due accounts. The law provides some protections for taxpayers, but in general, a taxpayer who fails to pay their tax is subject to enforcement action.
+RZ�PLJKW�WKH�WD[SD\HU�¿QG�UHOLHI"
,I�WD[�FROOHFWLRQ�ZRXOG�FDXVH�VLJQL¿FDQW�KDUGVKLS��WKH�WD[SD\HU�PD\�EH�DEOH�WR�¿QG�UHOLHI��6LJQL¿FDQW�KDUGVKLS�means serious deprivation, not simply economic or personal inconvenience to the taxpayer. In this case, collec-tion action may stop, but interest and penalties will continue to accrue until the taxpayer can afford to pay.
:KDW�LI�WKH�WD[SD\HU�LV�QRW�WHOOLQJ�WKH�WUXWK"
As described above, the tax controversy process can be long and drawn-out. If you ever sense that a taxpayer is not telling the truth, don’t ignore it. Conduct a thorough interview, paying special attention to the information you are uncomfortable with, to ensure there is no misunderstanding. If that does not resolve the matter, refer the taxpayer to your Site Coordinator. Remember, if you are not comfortable with the information provided from the taxpayer, you are not obligated to prepare the return.
Taxpayer review and acknowledgement$IWHU�WKH�UHWXUQ�LV�¿QLVKHG��D�FHUWL¿HG�YROXQWHHU�PXVW�EULHÀ\�GLVFXVV�WKH�¿OLQJ�VWDWXV��H[HPSWLRQV��LQFRPH��adjusted gross income, credits, taxes, payments, and the refund or balance due with the taxpayer. If the WD[SD\HU�KDV�DQ\�TXHVWLRQV��FRQFHUQV��RU�UHTXLUHV�DGGLWLRQDO�FODUL¿FDWLRQ�DERXW�WKH�UHWXUQ��WKH�YROXQWHHU�PXVW�assist the taxpayer.
Before asking the taxpayer to sign the return (either by signing Form 1040, U.S. Individual Income Tax 5HWXUQ��VLJQLQJ�)RUP�������,56�H�¿OH�6LJQDWXUH�$XWKRUL]DWLRQ��RU�HQWHULQJ�D�VHOI�VHOHFW�3,1���DGYLVH�WKH�taxpayer that:
�� 7KH�WD[SD\HU�LV�XOWLPDWHO\�UHVSRQVLEOH�IRU�WKH�LQIRUPDWLRQ�RQ�WKH�UHWXUQ
�� 6LJQLQJ�WKH�UHWXUQ�JXDUDQWHHV�XQGHU�SHQDOW\�RI�SHUMXU\�WKDW�WKH�WD[SD\HU�KDV�H[DPLQHG�WKH�UHWXUQ�and its accompanying forms and schedules for accuracy
By following the Volunteer Standards of Conduct and correctly applying the laws to the facts, you can save the taxpayer the trouble of tax controversy in the future.
Standards of Conduct (Ethics) S-11
Volunteer’s role in criminal investigation+RQHVW�WD[SD\HUV�DQG�WD[�SUHSDUHUV�SUHVHUYH�WKH�WD[�V\VWHP¶V�LQWHJULW\��7R�VXVWDLQ�FRQ¿GHQFH�LQ�WKH�9,7$�TCE Programs, you should report violations that raise substantial questions about another volunteer’s KRQHVW\��WUXVWZRUWKLQHVV��RU�¿WQHVV�DV�D�WD[�SUHSDUHU��
Taxpayers and return preparers who violate tax law are subject to civil and criminal penalties. Any person who willfully aids or assists in, or procures, counsels, or advises the preparation or presentation of a materially false or fraudulent return is subject to criminal punishment.
,56�63(&�ZLOO�UHIHU�YLRODWLRQV�WR�WKH�,56�&ULPLQDO�,QYHVWLJDWLRQ�'LYLVLRQ�RU�WKH�7UHDVXU\�,QVSHFWRU�*HQHUDO�IRU�Tax Administration. You can anonymously report a violation by calling 1-877-330-1205 or emailing [email protected].
Volunteer Protection Act
3XEOLF�/DZ���������9ROXQWHHU�3URWHFWLRQ�$FW�RI�������93$��JHQHUDOO\�SURWHFWV�YROXQWHHUV�IURP�OLDELOLW\�IRU�negligent acts they perform within the scope of their responsibilities in the organization for whom they volun-teer. The VPA is not owned or written exclusively for Internal Revenue Service. This is a public law and relates to organizations that use volunteers to provide services.
What is a volunteer? 8QGHU�WKH�93$��D�³YROXQWHHU´�LV�DQ�LQGLYLGXDO�SHUIRUPLQJ�VHUYLFHV�IRU�D�QRQSUR¿W�RUJDQL]DWLRQ�RU�D�JRYHUQPHQ-WDO�HQWLW\��LQFOXGLQJ�DV�D�GLUHFWRU��RI¿FHU��WUXVWHH��RU�GLUHFW�VHUYLFH�YROXQWHHU��ZKR�GRHV�QRW�UHFHLYH�IRU�WKHVH�services more than $500 total in a year from the organization or entity as:
�� &RPSHQVDWLRQ��RWKHU�WKDQ�UHDVRQDEOH�UHLPEXUVHPHQW�RU�DOORZDQFH�IRU�H[SHQVHV�DFWXDOO\�LQFXUUHG���RU�
�� $Q\�RWKHU�WKLQJ�RI�YDOXH�LQ�OLHX�RI�FRPSHQVDWLRQ
$OWKRXJK�DQ�LQGLYLGXDO�PD\�QRW�IDOO�XQGHU�WKH�93$�GH¿QLWLRQ�RI�D�³YROXQWHHU�´�ZKLFK�PHDQV�WKH\�PD\�QRW�EH�protected under the VPA, they are still considered volunteers by the VITA/TCE Programs. To ensure protec-WLRQ��WKRVH�ZKR�GR�QRW�¿W�WKLV�93$�YROXQWHHU�GH¿QLWLRQ�VKRXOG�VHHN�DGYLFH�IURP�WKHLU�VSRQVRULQJ�RUJDQL]DWLRQ¶V�attorneys to determine liability protection rights.
What does the VPA do? 7KH�SXUSRVH�RI�WKH�93$�LV�WR�SURPRWH�WKH�LQWHUHVWV�RI�VRFLDO�VHUYLFH�SURJUDP�EHQH¿FLDULHV�DQG�WD[SD\HUV�DQG�WR�VXVWDLQ�WKH�DYDLODELOLW\�RI�SURJUDPV��QRQSUR¿W�RUJDQL]DWLRQV��DQG�JRYHUQPHQWDO�HQWLWLHV�WKDW�GHSHQG�RQ�volunteer contributions. It does this by providing certain protections from liability concerns for volunteers serv-LQJ�QRQSUR¿W�RUJDQL]DWLRQV�DQG�JRYHUQPHQWDO�HQWLWLHV��
The VPA protects volunteers from liabilities if they were acting within the scope of the program and harm was QRW�FDXVHG�E\�ZLOOIXO�RU�FULPLQDO�PLVFRQGXFW��JURVV�QHJOLJHQFH��UHFNOHVV�PLVFRQGXFW��FRQVFLRXV��ÀDJUDQW�LQGLI-ference to the rights or safety of the individual harmed by the volunteer. The VPA does not protect conduct WKDW�LV�ZLOOIXO�RU�FULPLQDO��JURVVO\�QHJOLJHQW��UHFNOHVV��RU�FRQGXFW�WKDW�FRQVWLWXWHV�D�FRQVFLRXV��ÀDJUDQW�LQGLIIHU-ence to the rights or safety of the individual harmed by the volunteer.
In general, if volunteers are performing their responsibilities using the Volunteer Standards of Conduct, they are protected. However, local and state laws still must be considered. Sponsoring organizations should seek advice from their attorneys to determine how this law protects their volunteers.
Standards of Conduct (Ethics)S-12
Instructions for Completing the VSC Agreement
You must complete the Volunteer Standards of Conduct Training and sign Form 13615, Volunteer Standards of Conduct Agreement prior to working at a VITA/TCE site.
As a return preparer, Quality Reviewer, or VITA/TCE tax law instructor, you must certify in tax law prior to FKHFNLQJ�WKH�DFNQRZOHGJPHQW�ER[�LQ�/LQN��/HDUQ�7D[HV��,I�XVLQJ�WKH�SDSHU�WHVW��\RX�PXVW�FHUWLI\�E\�VLJQLQJ�and dating the form.
&HUWL¿FDWLRQ��WUDLQLQJ�DQG�WHVWLQJ��FDQ�EH�DFNQRZOHGJHG�E\�
�� 8VLQJ�/LQN��/HDUQ�7D[HV��RU
�� 8VLQJ�WKH�SDSHU�)RUP�������9,7$�7&(�9ROXQWHHU�$VVLVWRU¶V�7HVW�5HWHVW
If you are using Link & Learn Taxes, you must:�� 3DVV�WKH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�WUDLQLQJ�DQG�WHVW
�� 3DVV�WKH�DSSURSULDWH�FHUWL¿FDWLRQ�WHVW�OHYHOV��%DVLF��,QWHUPHGLDWH��$GYDQFHG��HWF���LI�\RX�DUH�SUHSDULQJ�returns, performing quality review, or other position requiring tax law testing
±� $IWHU�HDFK�WHVW��WKH�/LQN�DQG�/HDUQ�V\VWHP�ZLOO�PDUN�³3´�IRU�WKH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�7UDLQLQJ�DQG��LI�DSSOLFDEOH��WD[�ODZ�FHUWL¿FDWLRQ�OHYHOV�LQGLFDWLQJ�D�SDVVLQJ�VFRUH
�� &KHFN�WKH�ER[�LQ�/LQN��/HDUQ�7D[HV�DFNQRZOHGJLQJ�\RX�KDYH�UHDG�DQG�FRPSOHWHG�)RUP��������9ROXQWHHU�Standards of Conduct Agreement (after training and/or testing)
�� )LQLVK�WKH�IRUP�E\�FRPSOHWLQJ�WKH�DSSOLFDEOH�¿HOGV��LI�PLVVLQJ���\RXU�QDPH��KRPH�DGGUHVV��VLWH�QDPH��SDUW-ner name, daytime phone number, e-mail address, volunteer position, and number of volunteer years
�� 3ULQW�DQG�UHYLHZ�WKH�IRUP�DQG�JLYH�WKH�FRPSOHWHG�IRUP�WR�WKH�GHVLJQDWHG�SDUWQHU�RU�6LWH�&RRUGLQDWRU
– The designated partner or Site Coordinator will certify by signing and dating the form
If you are using the paper test (Form 6744):�� ,QVWUXFWRUV�ZLOO�XVH�)RUP������WR�DGPLQLVWHU�WKH�WHVW
�� <RX�PXVW�WDNH�DQG�SDVV�WKH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�7UDLQLQJ�DQG�test
�� <RX�PXVW�SDVV�WKH�DSSURSULDWH�FHUWL¿FDWLRQ�WHVW�OHYHOV��%DVLF��Intermediate, Advanced, etc.) if you are preparing returns, performing quality review, or other position requiring tax law testing
�� <RX�PXVW�FRPSOHWH�WKH�HQWLUH�)RUP��������9ROXQWHHU�6WDQGDUGV�RI�Conduct Agreement by adding your full name, home address, site name, partner name, daytime phone number, e-mail address, volunteer position, and number of volunteer years
�� ,QVWUXFWRUV�VKRXOG�SURYLGH�DQ\�LQIRUPDWLRQ�WKDW�YROXQWHHUV�GR�QRW�NQRZ��VXFK�DV�WKH�SDUWQHU�QDPH�
�� ,QVWUXFWRUV�ZLOO�PDUN�³3´�IRU�WKH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�7UDLQLQJ�LQGLFDWLQJ�D�SDVVLQJ�VFRUH
�� ,I�DSSOLFDEOH��LQVWUXFWRUV�ZLOO�PDUN�³3´�IRU�HDFK�DSSURSULDWH�WD[�ODZ�FHUWL¿FDWLRQ�OHYHO�LQGLFDWLQJ�D�SDVVLQJ�score
�� ,QVWUXFWRUV�UHWXUQ�WKH�IRUP�WR�HDFK�YROXQWHHU�IRU�WKHLU�VLJQDWXUH�DQG�GDWH
�� ,QVWUXFWRUV�ZLOO�FHUWLI\�E\�VLJQLQJ�DQG�GDWLQJ�WKH�IRUP
�� ,QVWUXFWRUV�ZLOO�SURYLGH�DGGLWLRQDO�SURFHVVLQJ�LQVWUXFWLRQV�IRU�WKH�IRUP�
96&�DQG�WD[�ODZ�FHUWL¿FD-tion can be completed by using Form 6744, VITA/TCE Volunteers Assistor’s Test/5HWHVW��RU�E\�XVLQJ�/LQN��/HDUQ�7D[HV�RQOLQH��,I�/LQN��/HDUQ�7D[HV�LV�XVHG��YROXQ-teers can certify by signing Form 13615 electronically after all required tests are completed with a passing score. Therefore, no signature is required on the paper form.
Standards of Conduct (Ethics) S-13
Resolving Problems
,Q�JHQHUDO��WKH�6LWH�&RRUGLQDWRU�LV�WKH�¿UVW�SRLQW�RI�FRQWDFW�IRU�UHVROYLQJ�DQ\�SUREOHPV�\RX�HQFRXQWHU��,I�\RX�feel you cannot take an issue to your Site Coordinator, email IRS at [email protected], call toll free 1-877-330-1205, and/or contact your local IRS-SPEC relationship manager.
For this type of issue: The appropriate action is:Individual or company is violating the tax laws
8VH�)RUP������$��,QIRUPDWLRQ�5HIHUUDO��<RX�PD\�FRPSOHWH�WKLV�IRUP�RQOLQH�at www.irs.gov/pub/irs-pdf/f3949a.pdf. Print the form and mail to: Internal Revenue Service, Fresno, CA, 93888.
Victims of identity theft suffer impact on their current federal income tax return
5HIHU�WD[SD\HUV�WR�,GHQWLW\�3URWHFWLRQ�6SHFLDOL]HG�8QLW�DW�����������������7KH�3URWHFWLRQ�6SHFLDOL]HG�8QLW�PD\�LVVXH�WKHVH�WD[SD\HUV�D�QRWLFH��<RX�PD\�SUHSDUH�UHWXUQV�IRU�WD[SD\HUV�ZKR�EULQJ�LQ�WKHLU�&3��$�1RWLFH�RU�VSHFLDO�3,1����GLJLW�,33,1���,QFOXGH�WKH�,33,1�RQ�WKH�VRIWZDUH�PDLQ�information page. Instructions are located at: http://www.irs.gov/privacy/article/0,,id=186436,00.html
Taxpayers believe they are victims of discrimination
Refer taxpayers to:
�:ULWWHQ�FRPSODLQWV��1DWLRQDO�+HDGTXDUWHUV��2I¿FH�RI�(TXLW\��'LYHUVLW\��,QFOXVLRQ��,QWHUQDO�5HYHQXH�6HUYLFH��$WWQ��'LUHFWRU��&LYLO�5LJKWV�'LYLVLRQ��([WHUQDO�&LYLO�5LJKWV�7HDP��������&RQVWLWXWLRQ�$YH���1:�5RRP�������Washington, DC 20224.
(Email complaints) [email protected].
(Telephone complaints) 1-202-927-0180.Taxpayers have account questions such as balance due notices and transcript or installment agreement requests
Refer taxpayers to local Taxpayer Assistance Center or call IRS toll free at 1-800-829-1040.
Federal refund inquiries Tell taxpayers to:
*R�WR�ZZZ�LUV�JRY�DQG�FOLFN�³:KHUH¶V�0\�5HIXQG´�RU�FDOO����������������or 1-800-829-4477.
State/local refund inquiries 5HIHU�WR�WKH�DSSURSULDWH�UHYHQXH�RI¿FH�Taxpayers have been unsuc-cessful in resolving their issue with the IRS
Tell taxpayers that the Taxpayer Advocate Service can offer special help to D�WD[SD\HU�H[SHULHQFLQJ�D�VLJQL¿FDQW�KDUGVKLS�DV�WKH�UHVXOW�RI�D�WD[�SURE-lem. For more information, the taxpayer can call toll free 1-877-777-4778 (1-800-829-4059 for TTY/TDD).
Standards of Conduct (Ethics)S-14
Exercises
8VLQJ�\RXU�UHIHUHQFH�PDWHULDOV��DQVZHU�WKH�IROORZLQJ�TXHVWLRQV�
Question 1: Taxpayer Edna brings her tax documents to the site. She completes Form 13614-C, Intake/Interview & Quality Review Sheet. She indicates in Part III of Form 13614-C that she has self-employment income along with other income and expenses.
Joe, a tax preparer, reviews Form 13614-C with Edna. He asks if she brought all of her documents today, and asks to see them. Included in the documents is Form 1099-MISC, Miscellaneous Income, showing $7,500 of non-employee compensation in Box 7. She tells Joe that she has a cleaning business that provides services to local businesses.
Edna says she also received $4,000 in cash payments for additional cleaning work. When Joe asks if she received any documentation supporting these payments, she says no, the payments were simply paid to her for each cleaning job she performed.
At this point, Joe suggests that because the IRS has no record of the cash payments, Edna does not need to UHSRUW�WKHVH�SD\PHQWV�RQ�KHU�UHWXUQ��(GQD�LV�FRQFHUQHG�DQG�IHHOV�OLNH�VKH�FRXOG�³JHW�LQ�WURXEOH´�ZLWK�WKH�,56�if she does not report all of her income. Joe assures her that the chance of the IRS discovering that she did not report cash income is very small.
-RH�SUHSDUHV�)RUP�������,QGLYLGXDO�,QFRPH�7D[�5HWXUQ��2Q�6FKHGXOH�&��/LQH���KH�UHSRUWV�RQO\�WKH��������reported in Box 7 of Form 1099-MISC. When Joe completes the return, he hands it to Edna to sign Form ������,56�H�¿OH�6LJQDWXUH�$XWKRUL]DWLRQ�
A. Is there a Volunteer Standards of Conduct violation? If yes, describe.
B. What should happen to the volunteer?
C. What should the volunteer have done?
Question 2: 7D[SD\HU�*HRUJH�FRPSOHWHV�)RUP�������&�LQGLFDWLQJ�LQ�3DUW�,,�WKDW�KLV�PDULWDO�VWDWXV�LV�VLQJOH�with one dependent, Amelia. Volunteer preparer Marge reviews the intake form and the taxpayer’s information documents.
:KHQ�0DUJH�DVNV�LI�$PHOLD�LV�UHODWHG�WR�*HRUJH��KH�VD\V�QR��WKDW�$PHOLD�LV�WKH�FKLOG�RI�D�SHUVRQDO�IULHQG�ZKR�LV�QRW�¿OLQJ�D�WD[�UHWXUQ��$PHOLD¶V�PRWKHU�WROG�*HRUJH�WR�FODLP�WKH�FKLOG�DQG�HYHQ�JDYH�KLP�$PHOLD¶V�VRFLDO�VHFXULW\�FDUG��0DUJH�WKHQ�DVNV�ZKHWKHU�*HRUJH�SURYLGHG�PRUH�WKDQ�RQH�KDOI�RI�$PHOLD¶V�VXSSRUW��EXW�*HRUJH�says no. He goes on to say that he should be able to claim Amelia as a dependent because no one else is claiming her.
0DUJH�DJUHHV�WKDW�DOWKRXJK�$PHOLD�LV�QRW�*HRUJH¶V�TXDOLI\LQJ�FKLOG�RU�UHODWLYH��KH�FDQ�VWLOO�FODLP�KHU�DV�D�GHSHQGHQW�EHFDXVH�QR�RQH�HOVH�ZLOO��0DUJH�JRHV�RQ�WR�VXJJHVW�WKDW�WKH�FKLOG�FRXOG�EH�OLVWHG�DV�*HRUJH¶V�QLHFH�ZKR�OLYHV�ZLWK�KLP��VR�WKDW�KH�FDQ�¿OH�DV�D�+HDG�RI�+RXVHKROG�DQG�FODLP�WKH�(DUQHG�,QFRPH�7D[�&UHGLW�(EITC). Marge completes Form 13614-C, Section B, accordingly.
0DUJH�DVVXUHV�*HRUJH�WKDW�FKDQFHV�RI�WKH�,56�GLVFRYHULQJ�WKDW�KH�DQG�$PHOLD�DUH�QRW�UHODWHG�ZRXOG�EH�YHU\�small. Marge prepares the return with the Head of Household status and claiming the EITC and Child Tax &UHGLWV�IRU�³TXDOLI\LQJ�FKLOG´�$PHOLD��*HRUJH�VLJQV�)RUP������
A. Is there a Volunteer Standards of Conduct violation? If yes, describe.
B. What should happen to the volunteer?
C. What should the volunteer have done?
Standards of Conduct (Ethics) S-15
Question 3: Taxpayer Isabel’s completed Form 13614-C indicates that she does not have an account to directly deposit a refund. When volunteer James prepares Isabel’s return, it shows that Isabel is entitled to a $1,200 refund.
James tells Isabel that a paper check may take up to 6 weeks to arrive, but if she has the funds directly deposited to a checking account, the amount would be available in 7-10 business days. He offers to have the money deposited to his own checking account, stating that on receipt of the money he would turn it over to her. Isabel agrees and allows James to enter his routing number and account information on her return. James gives the money to Isabel when he receives it.
A. Is there a Volunteer Standards of Conduct violation? If yes, describe.
B. What should happen to the volunteer?
Question 4: While volunteer James is completing Isabel’s return, he notes that she is single and asks her if she would like to meet some evening at a local bar so they could get to know each other better. Although Isabel says that she would prefer that he not call her, James says he does not give up that easily and that he will call her later in the week.
Isabel reports the conversation to the Site Coordinator before she leaves the site.
A. Is there a Volunteer Standards of Conduct violation? If yes, describe.
B. What should happen to the volunteer?
Question 5: Volunteer John is preparing a return for taxpayer Max, who sold stock during the tax year. Max says he does not want to report capital gains and tells John that the cost basis on the stock sold was equal to or higher than the sales price. Based on his own stock portfolio, John believes Max is lying. John explains to Max that if the IRS examines the return, the cost basis will have to be supported by written statements or other documents of the purchases. Max says he understands, but he still wants the return completed with the amounts he has given to John. After John completes the return and Max signs Form 8879, the return is H�¿OHG�
A. Is there a Volunteer Standards of Conduct violation? If yes, describe.
B. What should happen to the volunteer?
C. What could the volunteer have done?
Question 6: When Joelle, Site Coordinator, returns from a lunch break, she notices the waiting area is nearly HPSW\��:KHQ�VKH�DVNV�JUHHWHU�-DGH�ZKDW�KDSSHQHG��-DGH�VD\V�WKDW�YROXQWHHU�1DWKDQ�DQG�D�WD[SD\HU�KDG�D�loud, bitter argument, and many taxpayers got concerned and left.
-RHOOH�WDNHV�1DWKDQ�WR�D�SULYDWH�DUHD�DQG�DVNV�KLP�WR�H[SODLQ�ZKDW�KDSSHQHG��1DWKDQ�VD\V�WKH�WD[SD\HU�EHFDPH�XSVHW�ZKHQ�1DWKDQ�WROG�KLP�WKDW�DV�D�QRQFXVWRGLDO�SDUHQW�KH�KDG�WR�KDYH�D�VLJQHG�)RUP�������Release/Revocation of Release of Claim to Exemption for Child By Custodial Parent, or he could not claim KLV�FKLOGUHQ�DV�GHSHQGHQWV��1DWKDQ�DGPLWV�WKDW�KH�JRW�DQJU\�ZKHQ�WKH�WD[SD\HU�VWDUWHG�QDPH�FDOOLQJ��1DWKDQ�VD\V�KH�WROG�WKH�WD[SD\HU��³,I�\RX�GRQ¶W�OLNH�RXU�IUHH�VHUYLFH��WKHQ�\RX�FDQ�JR�VRPHZKHUH�HOVH�´�1DWKDQ�DOVR�says there was a lot of yelling and cussing on both sides and then the taxpayer left the site.
A. Is there a Volunteer Standards of Conduct violation? If yes, describe.
B. What should happen to the volunteer?
C. What should the volunteer have done?
Standards of Conduct (Ethics)S-16
Summary
�� $OO�YROXQWHHUV�PXVW�DJUHH�WR�WKH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�RXWOLQHG�LQ�)RUP��������7KH�LQVWUXFWRU�6LWH�&RRUGLQDWRU�SDUWQHU�PXVW�YHULI\�WKH�LGHQWLW\�DQG�FHUWL¿FDWLRQ�RI�WKH�YROXQWHHU�EHIRUH�WKH�YROXQWHHU�LV�allowed to work at the site.
�� )DLOXUH�WR�FRPSO\�ZLWK�WKH�VWDQGDUGV�PD\�DGYHUVHO\�DIIHFW�WKH�WD[SD\HU��WKH�VLWH��WKH�SDUWQHU�DQG�WKH�9,7$�TCE Programs.
�� 9LRODWLRQ�RI�WKH�VWDQGDUGV�ZLOO�QRW�EH�WROHUDWHG��,I�D�YLRODWLRQ�LV�GLVFRYHUHG��DSSURSULDWH�FRUUHFWLYH�DFWLRQV�will be taken, up to removal of the volunteer and closing of the site.
�� 7KH�9ROXQWHHU�3URWHFWLRQ�$FW�JHQHUDOO\�SURWHFWV�YROXQWHHUV�IURP�OLDELOLW\�DV�ORQJ�DV�WKH\�DUH�DFWLQJ�LQ�DFFRU-dance with the standards.
�� 9ROXQWHHUV�DQG�SDUWQHUV�ZLWK�TXHVWLRQV�DERXW�WKH�VWDQGDUGV�VKRXOG�FRQWDFW�WKHLU�,56�63(&�UHODWLRQVKLS�manager
Exercise Answers
Answer 1
A. Yes, Standard 4, knowingly preparing a fraudulent return.
B. Volunteer should be removed and barred from working at a VITA/TCE site and added to the volunteer registry.
C. Cash income should be reported as income on Schedule C.
Answer 2
A. Yes, Standard 4, knowingly preparing a fraudulent return. Although the taxpayer insisted on including the dependent, Marge knew this was wrong.
B. Volunteer should be removed and barred from working at a VITA/TCE site and added to the volunteer registry.
&��9ROXQWHHU�VKRXOG�HGXFDWH�*HRUJH�RQ�GHSHQGHQW�HOLJLELOLW\�XVLQJ�3XEOLFDWLRQ�������9ROXQWHHU�5HVRXUFH�*XLGH��UHIXVH�WR�SUHSDUH�WKH�WD[�UHWXUQ��RU�UHSRUW�WKH�LQFLGHQW�WR�WKH�6LWH�&RRUGLQDWRU��
Answer 3
$��<HV��6WDQGDUG�����4XDOLW\�6LWH�5HTXLUHPHQW�����6HFXULW\��3ULYDF\�DQG�&RQ¿GHQWLDOLW\���$OWKRXJK�WKH�YROXQ-teer’s intention was to help Isabel get her refund sooner by having it direct deposited instead of mailed, putting it into his own account is problematic and could raise the question of misappropriation of a tax refund.
B. Volunteer must be counseled that he cannot put any other taxpayer’s refund into his own account. If this continues he will be removed and barred from the site.
Answer 4
$��<HV��6WDQGDUG����XVLQJ�NQRZOHGJH�JDLQHG�IURP�WKH�WD[SD\HU�IRU�YROXQWHHUV¶�SHUVRQDO�EHQH¿W��
B. He should be reminded that he cannot use taxpayer’s personal information (marital status and phone QXPEHU��IRU�KLV�EHQH¿W��
Standards of Conduct (Ethics) S-17
Answer 5
A. Maybe. Even though Max insists on using the cost basis he provides to John, as long as John has conducted a thorough interview, especially about the stock sales, he can prepare the return. John should remind Max that taxpayers sign their returns under penalty of perjury, and that Max is ultimately respon-sible for the return.
If Max tells John that the basis amounts are wrong and John prepares the return anyway, then John is violating Standard 4, knowingly preparing a false return.
B. As long as John did not knowingly prepare a false return, nothing should happen. However, if John does know the information is false, then he should be removed, barred from the site, and he could be added to the volunteer registry.
C. John could have refused to prepare Max’s return.
Answer 6
A. Yes, Standard 6. Volunteers must deal with people at the site with courtesy and in a respectful and profes-sional manner.
%��1DWKDQ�VKRXOG�EH�ZDUQHG�WKDW�IXWXUH�RXWEXUVWV�ZLOO�UHVXOW�LQ�KLV�LPPHGLDWH�UHPRYDO�DV�D�YROXQWHHU��
&��1DWKDQ�VKRXOG�KDYH�WDNHQ�D�GHHS�EUHDWK�DQG�FRXUWHRXVO\�H[SODLQHG�WKH�)RUP������UHTXLUHPHQWV�XVLQJ�3XEOLFDWLRQ�������,I�WKH�VLWXDWLRQ�VWLOO�FRXOG�QRW�EH�UHVROYHG��1DWKDQ�VKRXOG�KDYH�UHTXHVWHG�WKH�WD[SD\HU�speak to the Site Coordinator upon her return.
Standards of Conduct (Ethics)S-18
It is important that all individuals who volunteer their time and services in the VITA/TCE Programs understand their roles and responsibilities under the program. All volunteers are expected to:
�� 5HFHLYH�6WDQGDUGV�RI�&RQGXFW��HWKLFV��WUDLQLQJ
�� 7DNH�DQG�FRPSOHWH�D�WHVW�RQ�HWKLFV�XQGHU�WKH�9,7$�7&(�3URJUDPV
�� 6LJQ�DQG�XQGHUVWDQG�WKH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW�$JUHHPHQW��)RUP��������LQGLFDWLQJ�WKH\�KDYH�taken the ethics training and have successfully completed a test on those ethics requirements
7KHVH�6WDQGDUGV�RI�&RQGXFW�UHTXLUHPHQWV�DUH�LQ�DGGLWLRQ�WR�WKH�WD[�ODZ�FHUWL¿FDWLRQ�SURFHVV��L�H���%DVLF��,QWHUPHGLDWH��$GYDQFHG��0LOLWDU\��RU�,QWHUQDWLRQDO��IRU�EHFRPLQJ�D�TXDOL¿HG�YROXQWHHU�WR�WHDFK�WD[�ODZ��FRUUHFW�tax returns, conduct quality reviews, prepare tax returns, or address tax law related questions as a volunteer in the VITA/TCE Programs.
8VH�\RXU�WUDLQLQJ�DQG�UHIHUHQFH�WRROV�WR�DQVZHU�WKH�TXHVWLRQV��<RX�PXVW�DQVZHU�IRXU�RI�WKH�IROORZLQJ�¿YH�questions correctly to pass the Standards of Conduct test.
Test Questions
Directions
8VLQJ�\RXU�UHVRXUFH�PDWHULDOV��DQVZHU�WKH�IROORZLQJ�TXHVWLRQV�
1. I am currently a volunteer greeter. I will not be preparing tax returns. I do not need to take the Volunteer Standards of Conduct test.
a. True
b. False
2. Maggie asks Josh, the tax preparer, to deposit her refund into Josh’s checking account and turn the funds over to her when received. If Josh says yes, he is in violation of the standards.
a. True
b. False
3. A volunteer preparer told the taxpayer that cash income does not need to be UHSRUWHG�EHFDXVH�WKH�,56�ZLOO�QHYHU�¿QG�RXW��7KH�UHWXUQ�ZDV�FRPSOHWHG�ZLWKRXW�WKH�cash income. The Quality Reviewer simply missed this omission and the return was SULQWHG��VLJQHG��DQG�H�¿OHG��:KR�KDV�YLRODWHG�WKH�9ROXQWHHU�6WDQGDUGV�RI�&RQGXFW"
a. Quality Reviewer
b. Volunteer Preparer
c. Site Coordinator
G�� 1HLWKHU�D�QRU�E
Volunteer Standards of Conduct (Ethics) Test
Standards of Conduct (Ethics) S-19
4. Which of the following is a violation of the Volunteer Standards of Conduct?
D�� 8VLQJ�WD[SD\HU¶V�SHUVRQDO�LQIRUPDWLRQ�WR�DVN�IRU�D�GDWH�
b. Having a tip jar at the site
F�� .QRZLQJO\�SUHSDULQJ�D�IDOVH�WD[�UHWXUQ
d. All of the above
5. Can a volunteer be removed and barred from the VITA/TCE Programs for violating the Volunteer Standards of Conduct?
a. Yes
E�� 1R
Retest Questions
Directions
8VLQJ�\RXU�UHVRXUFH�PDWHULDOV��DQVZHU�WKH�IROORZLQJ�TXHVWLRQV�
1. Which volunteers must take Volunteer Standards of Conduct training and test?
D�� 6LWH�&RRUGLQDWRUV�/RFDO�&RRUGLQDWRUV�
b. Quality Reviewers and Tax Return Preparers
c. All VITA/TCE volunteers
G�� *UHHWHUV
2. Jake is a volunteer preparer in the VITA/TCE Programs. When preparing a return for Jill, Jake learns that Jill does not have an account to receive a direct deposit of her refund. Jake offers to use his account to receive the direct deposit, and says he will turn the money over to Jill once the refund is deposited. Is this an acceptable action under the program?
a. Yes
E�� 1R
3. A volunteer tax preparer told the taxpayer that cash income does not need to be reported. The return was completed without the cash income. The Quality Reviewer VLPSO\�PLVVHG�WKLV�RPLVVLRQ�DQG�WKH�UHWXUQ�ZDV�SULQWHG��VLJQHG��DQG�H�¿OHG��'LG�WKH�Quality Reviewer violate the Volunteer Standards of Conduct?
a. Yes
E�� 1R
4. Is having a tip jar at the site a violation of the Volunteer Standards of Conduct?
a. Yes
E�� 1R
Standards of Conduct (Ethics)S-20
5. If a tax preparer violates the Volunteer Standards of Conduct, what are the possible consequences?
a. Criminal investigation
b. Removal from the VITA/TCE Programs
c. Elimination of VITA/TCE grant funds
G�� 'HDFWLYDWLRQ�RI�(),1
e. All of the above
Basic Scenarios 1-1
Directions
7KH�¿UVW�¿YH�VKRUW�VFHQDULRV�DUH�GHVLJQHG�WR�PHDVXUH�NH\�FRPSHWHQFLHV�UHODWHG�WR�¿OLQJ�VWDWXV��GHSHQGHQF\�H[HPSWLRQV��DQG�UHODWHG�WD[�EHQH¿WV��7KHVH�¿UVW�¿YH�VFHQDU-LRV�GR�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for each scenario carefully and use your training and resource materials to answer the questions after the scenarios.
Basic Scenario 1: Nancy Pratt
Interview Notes
�� 6XVDQ��ZKR�LV�VLQJOH��ORVW�KHU�MRE�LQ�������6KH�DQG�KHU�HLJKW�\HDU�ROG�VRQ�-DVRQ�PRYHG�LQ�ZLWK�D�IULHQG�RI�WKH�IDPLO\��1DQF\��6XVDQ�DQG�-DVRQ�OLYHG�WKHUH�WKH�HQWLUH�\HDU�RI���������
�� -DVRQ¶V�IDWKHU�GLHG�LQ�������
�� 1DQF\�SDLG�DOO�WKH�FRVW�RI�NHHSLQJ�XS�KHU�KRPH��
�� 1DQF\��ZKR�LV�VLQJOH��SURYLGHG�DOO�RI�6XVDQ¶V�DQG�-DVRQ¶V�VXSSRUW�GXULQJ��������
�� 1DQF\¶V�WRWDO�HDUQHG�LQFRPH�LQ������ZDV���������
�� 1HLWKHU�6XVDQ�QRU�-DVRQ�UHFHLYHG�DQ\�LQFRPH�LQ������
�� 6XVDQ�ZLOO�QRW�¿OH�D�WD[�UHWXUQ�IRU������
�� 1DQF\��6XVDQ��DQG�-DVRQ�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Basic Scenario 1: Test Questions
1.� :KRP�FDQ�1DQF\�FODLP�DV�GHSHQGHQWV"
D�� 1DQF\�FDQQRW�FODLP�DQ\�GHSHQGHQWV�
E�� 6KH�FDQ�FODLP�ERWK�-DVRQ�DQG�6XVDQ�DV�GHSHQGHQWV�VLQFH�WKH\�ERWK�PHHW�WKH�WHVWV�IRU�TXDOLI\LQJ�UHODWLYH�
F�� 6KH�FDQ�RQO\�FODLP�-DVRQ�EHFDXVH�RI�WKH�DJH�UHTXLUHPHQWV�IRU�GHSHQGHQF\�
G�� 6KH�FDQ�RQO\�FODLP�6XVDQ�EHFDXVH�-DVRQ�LV�6XVDQ¶V�TXDOLI\LQJ�FKLOG�
2. 'RHV�1DQF\�TXDOLI\�IRU�+HDG�RI�+RXVHKROG�¿OLQJ�VWDWXV"
D�� <HV��EHFDXVH�VKH�SURYLGHG�RYHU�KDOI�WKH�FRVW�RI�NHHSLQJ�XS�KHU�KRPH�
E�� 1R��EHFDXVH�VKH�GRHV�QRW�KDYH�D�TXDOLI\LQJ�SHUVRQ�
201� 6744 Test – Basic Course
Basic Scenarios���
Basic Scenario 2: Sarah Pope
Interview Notes
�� 6DUDK�LV����\HDUV�ROG�DQG�VLQJOH�
�� 6DUDK�OLYHG�ZLWK�KHU�GDXJKWHU�3K\OOLV�IRU�DOO�RI������LQ�3K\OOLV¶�KRPH�
�� 6DUDK�SURYLGHV�RYHU�KDOI�RI�KHU�RZQ�VXSSRUW�
�� ,Q�������6DUDK�ZRUNHG�DV�D�FDVKLHU�DQG�HDUQHG����������ZKLFK�ZDV�KHU�WRWDO�LQFRPH��6KH�KDG������LQ�IHGHUDO�WD[�ZLWKKROGLQJ��
�� 3K\OOLV��ZKR�LV�����ZLOO�EH�¿OLQJ�KHU�RZQ�UHWXUQ��6KH�LV�QRW�GLVDEOHG�
�� 6DUDK�DQG�3K\OOLV�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Basic Scenario 2: Test Questions
3.� 6DUDK�LV�HQWLWOHG�WR�FODLP�RQH�SHUVRQDO�H[HPSWLRQ�
D�� 7UXH
E�� )DOVH
4.� &DQ�6DUDK�FODLP�WKH�(DUQHG�,QFRPH�&UHGLW��(,&�"
D��� <HV��EHFDXVH�VKH�KDV�HDUQHG�LQFRPH�
E�� <HV��EHFDXVH�VKH�LV�QRW�KHU�GDXJKWHU¶V�GHSHQGHQW��
F�� 1R��EHFDXVH�VKH�LV�RYHU����DQG�KDV�QR�TXDOLI\LQJ�FKLOG�
G�� 1R��EHFDXVH�VKH�KDV�QR�WD[DEOH�LQFRPH�
Basic Scenarios ���
Basic Scenario 3: Natasha Jefferson
Interview Notes
�� 1DWDVKD�-HIIHUVRQ�DQG�'DQLHO�1HZSRUW�DUH�ERWK�VLQJOH�DQG�ZHUH�QHYHU�PDUULHG��7KH\�KDYH�QRW�OLYHG�WRJHWKHU�IRU�WKUHH�\HDUV�
�� 7KH\�KDYH�RQH�FKLOG��+DQQDK��DJH���
�� ,Q�������+DQQDK�OLYHG�ZLWK�1DWDVKD�WKH�HQWLUH�\HDU��'DQLHO�OLYHG�DORQH�
�� 1DWDVKD�DQG�'DQLHO�SURYLGHG�DOO�RI�+DQQDK¶V�VXSSRUW�
�� ,Q�������1DWDVKD�ZRUNHG�DQG�HDUQHG����������'DQLHO�ZRUNHG�DQG�HDUQHG���������
�� 'DQLHO�SD\V�WKH�UHQW�DQG�XWLOLWLHV�IRU�1DWDVKD¶V�DSDUWPHQW��+H�LV�SURYLGLQJ�RYHU�KDOI�WKH�FRVW�RI�PDLQWDLQLQJ�WKH�KRPH�IRU�1DWDVKD�DQG�+DQQDK��
�� 'DQLHO�GRHV�QRW�SD\�KRXVHKROG�H[SHQVHV�IRU�DQ\�RWKHU�IDPLO\�PHPEHU�
�� 1DWDVKD��'DQLHO��DQG�+DQQDK�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Basic Scenario 3: Test Questions
5.� +DQQDK�LV�'DQLHO¶V�TXDOLI\LQJ�SHUVRQ�IRU�+HDG�RI�+RXVHKROG�¿OLQJ�VWDWXV�
D�� 7UXH
E�� )DOVH
6.� :KR�LV�HQWLWOHG�WR�FODLP�+DQQDK�DV�D�TXDOLI\LQJ�FKLOG�IRU�(,&"
D�� (LWKHU�'DQLHO�RU�1DWDVKD�FDQ�FODLP�+DQQDK�IRU�(,&�
E�� 'DQLHO�LV�WKH�RQO\�RQH�ZKR�FDQ�FODLP�+DQQDK�IRU�(,&�
F�� 1DWDVKD�LV�WKH�RQO\�RQH�ZKR�FDQ�FODLP�+DQQDK�IRU�(,&�
G�� 1R�RQH�FDQ�FODLP�+DQQDK�IRU�(,&�
Basic Scenarios���
Basic Scenario 4: Aiden and Isabel Stillwater
Interview Notes
�� $LGHQ�DQG�,VDEHO�DUH�PDUULHG�DQG�OLYHG�WRJHWKHU�LQ�WKH�8�6��IRU�DOO�RI������ZLWK�WKHLU�WZR�VRQV��5DIDHO��DJH����DQG�(GZDUG��DJH���
�� $LGHQ�DQG�,VDEHO�KDYH�,QGLYLGXDO�7D[SD\HU�,GHQWL¿FDWLRQ�1XPEHUV��,7,1V��
�� $LGHQ�DQG�,VDEHO�KDYH�OLYHG�LQ�WKH�8�6��IRU���\HDUV��
�� $LGHQ�DQG�,VDEHO�ERWK�ZRUNHG�DQG�WKHLU�FRPELQHG�ZDJHV�ZHUH����������ZKLFK�ZDV�WKHLU�RQO\�LQFRPH��
�� $LGHQ�DQG�,VDEHO�SURYLGHG�DOO�WKH�VXSSRUW�IRU�5DIDHO�DQG�(GZDUG��
�� 7KH\�SDLG�6XIIRON�'D\�&DUH��������D�\HDU�WR�WDNH�FDUH�RI�5DIDHO�DQG�(GZDUG�ZKLOH�WKH\�ZRUNHG�
�� 5DIDHO�DQG�(GZDUG�DUH�ERWK�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV��661V��
Basic Scenario 4: Test Questions
7. $LGHQ�DQG�,VDEHO�DUH�¿OLQJ�D�MRLQW�UHWXUQ��7KH\�cannot�FODLP�5DIDHO�DQG�(GZDUG�DV�GHSHQGHQWV�
D�� 7UXH
E�� )DOVH
8.� $LGHQ�DQG�,VDEHO�DUH�HOLJLEOH�WR�FODLP�ZKLFK�WD[�FUHGLW�V��RQ�WKHLU�MRLQW�UHWXUQ"
D�� (,&�RQO\
E�� &KLOG�WD[�FUHGLW�DQG�GHSHQGHQW�FDUH�FUHGLW
F�� (,&��GHSHQGHQW�FDUH�FUHGLW��DQG�FKLOG�WD[�FUHGLW
G�� 7KH\�DUH�QRW�HQWLWOHG�WR�FODLP�DQ\�WD[�FUHGLWV�EHFDXVH�$LGHQ�DQG�,VDEHO�KDYH�,7,1V�
Basic Scenarios ���
Basic Scenario 5: Lisa Bolivar
Interview Notes
�� /LVD�%ROLYDU�LV����\HDUV�ROG��
�� 2OLYHU��ZKR�LV�VLQJOH��LV�/LVD¶V����\HDU�ROG�EURWKHU��+H�LV�SHUPDQHQWO\�DQG�WRWDOO\�GLVDEOHG��
�� 7KHLU�SDUHQWV�DUH�GHFHDVHG����
�� 2OLYHU�OLYHG�ZLWK�/LVD�LQ�KHU�KRPH�DOO�RI������
�� ,Q�������2OLYHU�UHFHLYHG�)RUP�66$������VKRZLQJ�VRFLDO�VHFXULW\�GLVDELOLW\�EHQH¿WV�RI����������KLV�RQO\�LQFRPH��
�� 2OLYHU�SURYLGHG�RYHU�KDOI�RI�KLV�RZQ�VXSSRUW�
�� /LVD�ZRUNHG�DV�D�FOHUN�DQG�HDUQHG����������
�� /LVD�DQG�2OLYHU�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Basic Scenario 5: Test Questions
9.� /LVD�FDQQRW�FODLP�2OLYHU�DV�KHU�GHSHQGHQW�EHFDXVH�
D�� 2OLYHU�SURYLGHV�RYHU�KDOI�RI�KLV�RZQ�VXSSRUW�
E�� 2OLYHU�LV�RYHU����\HDUV�ROG�
F�� 2OLYHU�LV�KHU�EURWKHU�
G�� 2OLYHU�LV�ROGHU�WKDQ�/LVD�
10.� ,V�2OLYHU�D�TXDOLI\LQJ�FKLOG�IRU�(,&�HYHQ�WKRXJK�KH�LV�QRW�D�TXDOLI\LQJ�FKLOG�IRU�WKH�GHSHQGHQF\�H[HPSWLRQ"
D�� <HV
E�� 1R
Basic Scenarios���
Basic Scenario 6: James and Bridget Thurston
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUGV�IRU�-DPHV�DQG�%ULGJHW�7KXUVWRQ
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� )RUP�:���IRU�-DPHV�7KXUVWRQ
�� )RUP�:���IRU�%ULGJHW�7KXUVWRQ
�� )RUP������,17�IURP�8�6��(TXLW\�%DQN�
�� )RUP�66$�����
Interview Notes
�� -DPHV�DQG�%ULGJHW�DUH�PDUULHG�DQG�ZDQW�WR�¿OH�D�MRLQW�UHWXUQ�
�� -DPHV�DQG�%ULGJHW�ZLOO�QRW�LWHPL]H�GHGXFWLRQV�IRU������
�� -DPHV�DQG�%ULGJHW�KDYH�QHYHU�WDNHQ�D�GLVWULEXWLRQ�IURP�DQ\�UHWLUHPHQW�DFFRXQW�
�� $�SULRU�\HDU�OXPS�VXP�SD\PHQW�ZDV�LQFOXGHG�RQ�-DPHV¶�)RUP�66$�������+H�KDV�HOHFWHG�WR�UHSRUW�WKH�ZKROH�SD\PHQW�DV������LQFRPH�
Basic Scenarios ���
Basic Scenarios���
Basic Scenarios ���
Basic Scenarios����
Basic Scenarios 1-11
Basic Scenarios����
Basic Scenarios ����
Basic Scenario 6: Test Questions
Directions
3OHDVH�FRPSOHWH�)RUP������DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��RU�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV��
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
11.� 7KH�7KXUVWRQV�GLG�not�FRUUHFWO\�FRPSOHWH�3DUW�,,,�RI�WKH�LQWDNH�DQG�LQWHUYLHZ�VKHHW�EDVHG�RQ�WKH�WD[SD\HU�GRFXPHQWV�
D�� 7UXH
E�� )DOVH
12.�:KDW�LV�WKH�7KXUVWRQV¶�VWDQGDUG�GHGXFWLRQ"
D�� �������
E�� �������
F�� �������
G�� �������
13.�'R�WKH�7KXUVWRQV�TXDOLI\�IRU�WKH�UHWLUHPHQW�VDYLQJV�FRQWULEXWLRQ�FUHGLW"
D�� <HV
E�� 1R
14.� -DPHV�VKRXOG�UHSRUW���������RQ�)RUP�������OLQH���D��
D�� 7UXH
E�� )DOVH
15.�'R�WKH�7KXUVWRQV�KDYH�WD[DEOH�VRFLDO�VHFXULW\�EHQH¿WV�WR�UHSRUW�RQ�WKHLU�MRLQW�UHWXUQ�IRU�����"
D�� <HV
E�� 1R
16.�7KH�7KXUVWRQV¶�WRWDO�IHGHUDO�LQFRPH�WD[�ZLWKKROGLQJ�LV��BBBBBBB�
17.� -DPHV�DQG�%ULGJHW�WROG�\RX�WKDW�WKH\�ZRXOG�QRW�EH�DEOH�WR�SD\�WKH�DPRXQW�WKH\�RZH�E\�$SULO�����������<RX�DGYLVH�WKHP�WR�¿OH�RQ�WLPH�DQG�WR�SD\�DV�PXFK�DV�WKH\�FDQ�ZLWK�WKH�UHWXUQ��,I�WKH\�IROORZ�\RXU�DGYLFH��ZLOO�WKLV�UHGXFH�WKH�DPRXQW�RI�LQWHUHVW�DQG�SHQDOWLHV"
D�� <HV
E�� 1R
Basic Scenarios����
Basic Scenario 7: Ashley Sawyer
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUGV�IRU�$VKOH\��*UH\VRQ��+D\GHQ��DQG�(PLO\�6DZ\HU
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� )RUP�:���IRU�$VKOH\�6DZ\HU
�� )RUP������*��8QHPSOR\PHQW�&RPSHQVDWLRQ��IRU�$VKOH\�6DZ\HU
�� )RUP������,17�IURP�$GHOSKL�%DQN�DQG�7UXVW
�� 6WDWHPHQW�IURP�([WHQGHG�/HDUQLQJ�&HQWHU
�� 9RLGHG�SHUVRQDO�FKHFN
Interview Notes
�� $VKOH\�LV�PDUULHG��+HU�KXVEDQG��1LFRODV��PRYHG�RXW�RI�WKH�KRXVH�DQG�OHIW�WKH�IDPLO\�LQ�$SULO�������$VKOH\�KDV�QRW�VHHQ�1LFRODV�VLQFH�
�� $VKOH\�SURYLGHG�WKH�HQWLUH�FRVW�RI�PDLQWDLQLQJ�WKH�KRXVHKROG�DQG�DOO�WKH�VXSSRUW�IRU�KHU�WKUHH�FKLOGUHQ�LQ������
�� $VKOH\�WHOOV�\RX�WKDW�VKH�GRHV�QRW�ZDQW�WR�¿OH�ZLWK�KHU�KXVEDQG�
�� $VKOH\�KDV�QHYHU�LWHPL]HG�KHU�GHGXFWLRQV�DQG�ZLOO�QRW�LWHPL]H�IRU������
�� $VKOH\�ZDV�ODLG�RII�LQ�-XO\�DQG�UHFHLYHG�XQHPSOR\PHQW�FRPSHQVDWLRQ�IRU�IRXU�PRQWKV�
�� ,I�VKH�LV�GXH�D�UHIXQG��$VKOH\�ZDQWV�WR�SXUFKDVH�D������VDYLQJV�ERQG�IRU�KHU�GDXJK-WHU�DQG�KDYH�WKH�UHPDLQLQJ�DPRXQW�GHSRVLWHG�LQWR�KHU�FKHFNLQJ�DFFRXQW��
�� 7KH�\RXQJHVW�FKLOGUHQ��(PLO\�DQG�*UH\VRQ��DWWHQGHG�DQ�DIWHU�VFKRRO�GD\�FDUH�SURJUDP�ZKLOH�$VKOH\�ZRUNHG�
Basic Scenarios ����
Basic Scenarios����
Basic Scenarios ����
Basic Scenarios����
Basic Scenarios ����
Basic Scenarios����
Basic Scenarios ����
Basic Scenario 7: Test Questions
Directions
3OHDVH�FRPSOHWH�)RUP������DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��RU�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV��
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'��,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
18.� ,V�0DUULHG�)LOLQJ�6HSDUDWHO\�WKH�PRVW�DGYDQWDJHRXV�¿OLQJ�VWDWXV�$VKOH\�FDQ�XVH"
D�� <HV
E�� 1R
19.�:KDW�LV�WKH�WRWDO�DPRXQW�RI�DGMXVWPHQWV�XVHG�LQ�GHWHUPLQLQJ�DGMXVWHG�JURVV�LQFRPH�RQ�)RUP�������SDJH��"
D�� ����
E�� �����
F�� ���
G�� ��
20.�:KDW�LV�WKH�DPRXQW�RI�HDUQHG�LQFRPH�XVHG�WR�FDOFXODWH�$VKOH\¶V�(,&"��BBBBBBB��
21.�:KDW�LV�WKH�FUHGLW�IRU�FKLOG�DQG�GHSHQGHQW�FDUH�H[SHQVHV�RQ�)RUP�����"��BBBBB
22.�:KDW�LV�WKH�DPRXQW�RI�$VKOH\¶V�DGGLWLRQDO�FKLOG�WD[�FUHGLW�LQ�WKH�3D\PHQWV�VHFWLRQ�RI�)RUP�����"�
D�� ��
E�� ����
F�� ������
G�� ������
23.�:KDW�LV�$VKOH\¶V�WRWDO�IHGHUDO�LQFRPH�WD[�ZLWKKROGLQJ"
D�� ������
E�� ������
F�� ������
G�� ��
24.�$VKOH\�ZDQWV�WR�EX\�(PLO\�D�VDYLQJV�ERQG�ZLWK�SDUW�RI�KHU�UHIXQG��:KLFK�IRUP�QHHGV�WR�EH�FRPSOHWHG"�)RUP�BBBBB
Basic Scenarios����
Basic Scenario 8: Serena Livingston
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUGV�IRU�6HUHQD��&KDUOLH��DQG�(ULND�/LYLQJVWRQ
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� 7ZR�)RUPV�:���IRU�6HUHQD�
�� )RUP������,17�IURP�5HJLRQDO�%DQN�DQG�7UXVW
�� 9RLGHG�SHUVRQDO�FKHFN
Interview Notes
�� $QRWKHU�YROXQWHHU�FRPSOHWHG�WKH�WD[�UHWXUQ�IRU�6HUHQD�/LYLQJVWRQ��<RX�KDYH�EHHQ�DVNHG�WR�SHUIRUP�WKH�TXDOLW\�UHYLHZ�
�� 8VH�)RUP�������&��6HFWLRQ�&��DV�D�WRRO�LQ�WKLV�UHYLHZ�
�� 6HUHQD�/LYLQJVWRQ�LV�QRW�PDUULHG�DQG�OLYHV�ZLWK�KHU�WZR�FKLOGUHQ��&KDUOLH�DQG�(ULND��7KH�FKLOGUHQ�OLYHG�ZLWK�KHU�WKH�HQWLUH�\HDU�RI�������6HUHQD�DQG�KHU�FKLOGUHQ�KDYH�QRW�KDG�DQ\�FRQWDFW�ZLWK�WKH�FKLOGUHQ¶V�IDWKHU�VLQFH������
�� 6HUHQD�SURYLGHV�WKH�HQWLUH�FRVW�RI�PDLQWDLQLQJ�WKH�KRXVHKROG�DQG�DOO�WKH�VXSSRUW�IRU�WKH�IDPLO\�
�� (ULND�DQG�&KDUOLH�DUH�ERWK�KLJK�VFKRRO�VWXGHQWV�DQG�KDYH�QR�LQFRPH�
�� 6HUHQD�FDVKHG�LQ�D�VDYLQJV�ERQG�DQG�KDG�QRW�UHSRUWHG�DQ\�LQWHUHVW�LQ�SULRU�\HDUV�
�� 6HUHQD�KDV�QHYHU�LWHPL]HG�KHU�GHGXFWLRQV�DQG�ZLOO�QRW�LWHPL]H�IRU������
Basic Scenarios ����
Basic Scenarios����
Basic Scenarios ����
Basic Scenarios����
Basic Scenarios ����
Basic Scenarios����
Basic Scenarios ����
Basic Scenarios����
Basic Scenarios ����
Basic Scenario 8: Test Questions
Directions
<RX�DUH�FRQGXFWLQJ�D�TXDOLW\�UHYLHZ�RI�6HUHQD¶V�WD[�UHWXUQ��8VLQJ�)RUP�������&��\RXU�UHVRXUFH�PDWHULDOV��DQG�DOO�RI�WKH�WD[SD\HU¶V�GRFXPHQWV��DQVZHU�HDFK�RI�WKH�TXHVWLRQV�EHORZ��)RUP�������&��6HFWLRQ�&��VKRXOG�EH�FRPSOHWHG�IRU�WKLV�UHYLHZ�
25. $UH�DOO�WKH�VRFLDO�VHFXULW\�QXPEHUV�HQWHUHG�FRUUHFWO\�RQ�)RUP�����"
D�� <HV
E�� 1R
26.�6HOHFW�WKH�QDPH�V��WKDW�LV��DUH��LQFRUUHFW�RQ�)RUP�������
D�� 6HUHQD¶V�QDPH
E�� (ULND¶V�QDPH�
F�� &KDUOLH¶V�QDPH
G�� %RWK�&KDUOLH¶V�DQG�(ULND¶V�QDPHV
27.�:KLFK�LWHP�IURP�D�)RUP�:���ZDV�QRW�LQFOXGHG�RQ�)RUP�����"
D�� :DJHV
E�� 6RFLDO�VHFXULW\�WLSV
F�� 'HSHQGHQW�FDUH�EHQH¿WV
G�� )HGHUDO�LQFRPH�WD[�ZLWKKROGLQJ
28.�:KLFK�RI�WKH�IROORZLQJ�LV�6HUHQD¶V�FRUUHFW�LQWHUHVW�LQFRPH"
D�� ����
E�� ����
F�� ���
G�� ��
29.�:KLFK�FUHGLW�GRHV�6HUHQD�TXDOLI\�IRU��EXW�ZDV�QRW�LQFOXGHG�RQ�KHU�UHWXUQ"
D�� &KLOG�WD[�FUHGLW
E�� $GGLWLRQDO�FKLOG�WD[�FUHGLW
F�� (,&
G�� 1RQH�RI�WKH�DERYH
30.�7KH�EDQN�DFFRXQW�QXPEHU�LV�FRUUHFW�RQ�WKH�)RUP������
D�� 7UXH
E�� )DOVH
Basic Scenarios����
Intermediate Scenarios 2-1
201� 6744 Test – Intermediate Course
Directions
7KH�¿UVW�WZR�VFHQDULRV�GR�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for both scenarios carefully and use your training and resource materials to answer the questions after each scenario.
Intermediate Scenario 1: Kathy Greenlee
Interview Notes
�� .DWK\�LV�D����\HDU�ROG�HOHPHQWDU\�VFKRRO�WHDFKHU�
�� .DWK\�VSHQW������RQ�VFKRRO�VXSSOLHV�IRU�WKH�\HDU�
�� .DWK\�LV�GLYRUFHG�DQG�KHU�XQPDUULHG����\HDU�ROG�VRQ�$OH[�OLYHG�ZLWK�KHU�DOO�RI�������$OH[�LV�QRW�GLVDEOHG�
�� $OH[¶V�RQO\�LQFRPH�LV��������
�� .DWK\�SDLG�DOO�WKH�KRXVHKROG�H[SHQVHV�DQG�SURYLGHG�RYHU�KDOI�RI�$OH[¶V�VXSSRUW�
�� .DWK\�DQG�$OH[�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Intermediate Scenario 1: Test Questions
1.� .DWK\¶V�FRUUHFW�¿OLQJ�VWDWXV�LV�+HDG�RI�+RXVHKROG�
D�� 7UXH
E�� )DOVH
2.� :KDW�DUH�WKH�UHTXLUHPHQWV�IRU�.DWK\�WR�FODLP�DQ�HGXFDWRU�H[SHQVH�DGMXVWPHQW"
D�� 6KH�PXVW�WHDFK�JUDGHV�.���
E�� 6KH�PXVW�KDYH�ZRUNHG�DW�OHDVW�����KRXUV�GXULQJ�WKH�VFKRRO�\HDU
F�� 6KH�PXVW�KDYH�RXW�RI�SRFNHW�H[SHQVHV�IRU�VFKRRO�VXSSOLHV
G�� $OO�RI�WKH�DERYH
Intermediate Scenarios2-2
Intermediate Scenario 2: Alonzo Maricopa
Interview Notes
�� $ORQ]R�LV�D�VLQJOH�GDG��DJH�����ZLWK�WZR�VRQV�
�� +LV�VRQV��DJHV����DQG�����OLYHG�ZLWK�KLP�DOO�RI������
�� $ORQ]R�ORVW�KLV�MRE�LQ������DQG�LQ�-DQXDU\������KH�FDVKHG�LQ�KLV�HQWLUH�����N��
�� +H�UHFHLYHG�)RUP������5��ZLWK�D�GLVWULEXWLRQ�FRGH�RI���LQ�%R[����IRU��������
�� $ORQ]R¶V�RQO\�RWKHU�LQFRPH�IRU������ZDV��������LQ�XQHPSOR\PHQW�FRPSHQVDWLRQ��
�� $ORQ]R�DQG�KLV�VRQV�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Intermediate Scenario 2: Test Questions
3.� $ORQ]R�LV�QRW�HOLJLEOH�IRU�(,&��:K\"
D�� +H�KDV�QR�TXDOLI\LQJ�FKLOGUHQ
E�� $ORQ]R�LV�QRW�PDUULHG
F�� +H�KDG�QR�HDUQHG�LQFRPH
G�� +LV�LQFRPH�LV�WRR�KLJK�
4.� 7KHUH�LV�DQ�H[FHSWLRQ�RQ�)RUP������WR�WKH�����DGGLWLRQDO�WD[�RQ�WKH�HDUO\�GLVWULEX-WLRQ�LI�$ORQ]R�XVHG�WKH�IXQGV�WR�SD\�PHGLFDO�H[SHQVHV�LQ�H[FHVV�RI��������RI�KLV�DGMXVWHG�JURVV�LQFRPH�
D�� 7UXH
E�� )DOVH
Intermediate Scenarios ���
Intermediate Scenario 3: Evan James Dawson
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUG�IRU�(YDQ�-DPHV�'DZVRQ
�� 6RFLDO�VHFXULW\�FDUG�IRU�1RDK�5\DQ�'DZVRQ
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� )RUP�:���IRU�(YDQ�'DZVRQ�
�� )RUP������
�� )RUP������7
Interview Notes
�� (YDQ�-DPHV�'DZVRQ�GLYRUFHG�LQ������DQG�KDV�D�VRQ��1RDK��ZKR�OLYHG�ZLWK�KLP�DOO�\HDU��
�� (YDQ�SURYLGHG�DOO�RI�WKH�FRVW�RI�NHHSLQJ�XS�WKH�KRPH�
�� 1RDK�SURYLGHG�OHVV�WKDQ�����RI�KLV�RZQ�VXSSRUW�
�� (YDQ�GLG�QRW�LWHPL]H�GHGXFWLRQV�ODVW�\HDU�
�� ,Q�������1RDK�ZDV�D�WKLUG�\HDU�VWXGHQW�DW�%URZQ�&ROOHJH�OLYLQJ�LQ�WKH�GRUPLWRU\��1RDK�LV�SXUVXLQJ�D�GHJUHH�LQ�&RPSXWHU�6FLHQFH��1RDK�XVHG�WKH�SURFHHGV�RI�D�VWXGHQW�ORDQ�WR�SXUFKDVH�FRXUVH�UHODWHG�ERRNV�RQOLQH�IRU������DQG�WR�SD\��������IRU�URRP�DQG�ERDUG��1RDK�GRHV�QRW�KDYH�D�IHORQ\�GUXJ�FRQYLFWLRQ�
�� (YDQ�SXUFKDVHG�KLV�FXUUHQW�KRPH�LQ������DQG�UHFHLYHG�D��������¿UVW�WLPH�KRPH-EX\HU�FUHGLW�RQ�KLV������WD[�UHWXUQ��+H�UHSDLG������ZKHQ�KH�¿OHG�KLV������WD[�UHWXUQ�
�� (YDQ�ZDQWV�WR�NQRZ�LI�KH�KDV�HQRXJK�GHGXFWLRQV�WR�LWHPL]H��$VVXPH�WKDW�(YDQ�ZLOO�GHGXFW�VWDWH�LQFRPH�WD[�LQVWHDG�RI�JHQHUDO�VDOHV�WD[��+H�JLYHV�\RX�UHFHLSWV��VWDWHPHQWV��DQG�FDQFHOHG�FKHFNV�IRU�WKH�IROORZLQJ�LWHPV�KH�ZRXOG�OLNH�WR�GHGXFW�
� ±� 8QUHLPEXUVHG�GRFWRU�ELOOV�IRU�(YDQ�IRU�����
� ±� 8QUHLPEXUVHG�GRFWRU�ELOOV�IRU�1RDK�IRU�����
� ±� 8QUHLPEXUVHG�SUHVFULSWLRQ�GUXJV�IRU�������
� ±� 8QUHLPEXUVHG�QRQSUHVFULSWLRQ�KHUEDO�VXSSOHPHQWV�IRU�����
� ±� &DQFHOHG�FKHFN�IRU�D�GRQDWLRQ�WR�WKH�8QLWHG�:D\�IRU�����
� ±� (YDQ�WHOOV�\RX�WKDW�KH�DOVR�JDYH�����WR�D�KRPHOHVV�PDQ
� ±� $�VWDWHPHQW�UHFHLYHG�IURP�KLV�FKXUFK�VKRZLQJ�GRQDWLRQV�PDGH�WKURXJKRXW��� WKH�\HDU�RI�����
� ±� $�UHFHLSW�IURP�D�*RRGZLOO�GURS�RII�FHQWHU�IRU�WKH�GRQDWLRQ�RI�D�WDEOH�� � UHIULJHUDWRU��DQG�VWRYH��WKH\�ZHUH�LQ�JRRG��XVHG�FRQGLWLRQ�DQG�KDG�D�WKULIW �� VKRS�YDOXH�RI�����
� ±� )RUP������VKRZLQJ�TXDOL¿HG�PRUWJDJH�LQVXUDQFH�SUHPLXPV��LQWHUHVW��DQG��� UHDO�HVWDWH�WD[HV�SDLG�
Intermediate Scenarios���
�� (YDQ�ERXJKW�D����ORWWHU\�WLFNHW�HYHU\�ZHHN��IRU�D�WRWDO�RI�������(YDQ�KDG�QR�ZLQQLQJV��
�� (YDQ�QHYHU�UHFHLYHG�DQ\�GLVWULEXWLRQV�IURP�KLV�����N��RU�DQ\�RWKHU�UHWLUHPHQW�SODQ�
Intermediate Scenarios ���
Intermediate Scenarios���
Intermediate Scenarios ���
Intermediate Scenarios���
Intermediate Scenarios ���
Intermediate Scenarios����
Intermediate Scenarios 2-11
Intermediate Scenario 3: Test Questions
Directions
&RPSOHWH�)RUP������DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��DQG�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV��
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
5.� :KDW�LV�(YDQ¶V�PLQLPXP�UHTXLUHG�UHSD\PHQW�RI�KLV������¿UVW�WLPH�KRPHEX\HU�FUHGLW�RQ�KLV������WD[�UHWXUQ"
D�� ��
E�� ����
F�� ������
G�� ������
6.� 7KH�WRWDO�GHGXFWLRQ�LQ�WKH�*LIWV�WR�&KDULW\�VHFWLRQ�RI�(YDQ¶V�6FKHGXOH�$�LV�
D�� ����
E�� ����
F�� ������
G�� ������
7.� :KDW�LV�(YDQ¶V�WRWDO�GHGXFWLRQ�IRU�WD[HV�SDLG�RQ�6FKHGXOH�$��OLQH��"��BBBBB�
8.� :KDW�LV�(YDQ¶V�WRWDO�LQWHUHVW�GHGXFWLRQ�RQ�6FKHGXOH�$��OLQH���"
D�� ��
E�� ����
F�� ������
G�� ������
9.� (YDQ�cannot�XVH�WKH��������SDLG�IRU�1RDK¶V�URRP�DQG�ERDUG�WR�FRPSXWH�WKH�$PHULFDQ�RSSRUWXQLW\�FUHGLW��:K\"
D�� ,W�ZDV�SDLG�IRU�ZLWK�WKH�SURFHHGV�RI�D�VWXGHQW�ORDQ�
E�� 1RDK�FRXOG�KDYH�OLYHG�DW�KRPH�RU�UHQWHG�DQ�DSDUWPHQW�
F�� 1RDK�LV�LQ�KLV�WKLUG�\HDU�RI�FROOHJH�
G�� 5RRP�DQG�ERDUG�LV�QRW�DQ�HOLJLEOH�H[SHQVH�
10.�:KDW�LV�WKH�refundable�DPRXQW�RI�$PHULFDQ�RSSRUWXQLW\�FUHGLW�RQ�6HFWLRQ�,,,�RI�(YDQ¶V�)RUP�����"��BBBBB
Intermediate Scenarios2-12
11.� :KLFK�RI�1RDK¶V�HGXFDWLRQ�H[SHQVHV�ZRXOG�TXDOLI\�IRU�WKH�tuition and fees deduction"�
D�� +H�KDV�QR�H[SHQVHV�WKDW�TXDOLI\�IRU�WKH�WXLWLRQ�DQG�IHHV�GHGXFWLRQ
E�� 5RRP�DQG�ERDUG��������
F�� %RRNV������
G�� 7XLWLRQ��������
Intermediate Scenarios ����
Intermediate Scenario 4: Andrew and Lily Albright
Taxpayer Documents
�� 6RFLDO�6HFXULW\�FDUGV�IRU�$QGUHZ�0��DQG�/LO\�*��$OEULJKW
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� )RUP�:���IRU�$QGUHZ�$OEULJKW
�� )RUP������',9
�� )RUP������0,6&�IRU�/LO\�$OEULJKW
�� )RUP������5�IRU�$QGUHZ�$OEULJKW�
�� )RUP������(
Interview Notes
�� $QGUHZ�DQG�/LO\�$OEULJKW�DUH�PDUULHG�DQG�ZDQW�WR�¿OH�MRLQWO\�
�� $QGUHZ�DQG�/LO\�GLG�QRW�LWHPL]H�RQ�WKHLU������WD[�UHWXUQ��
�� $QGUHZ�UHWLUHG�DV�D�KLJK�VFKRRO�WHDFKHU�LQ������DQG�WHDFKHV�FUHDWLYH�ZULWLQJ�FODVVHV�SDUW�WLPH�DW�D�FRPPXQLW\�FROOHJH��
�� /LO\�LV�VHOI�HPSOR\HG�DV�D�KDLU�VW\OLVW��6KH�ZRUNV�DW�3LQN\¶V��ZKHUH�VKH�UHQWV�D�VWDWLRQ��2QH�GD\�D�ZHHN��VKH�ZRUNV�DW�3LQN\¶V�LQ�WKH�PRUQLQJ�DQG�WKHQ�GULYHV�WR�WKH�VHQLRU�FHQWHU�WR�GR�KDLU�IRU�WKH�UHVLGHQWV�
�� /LO\�LV�D�FDVK�EDVLV�WD[SD\HU�ZKR�PDWHULDOO\�SDUWLFLSDWHV�LQ�WKH�RSHUDWLRQ�RI�KHU�EXVL-QHVV��/LO\�GLG�QRW�PDNH�DQ\�SD\PHQWV�WKDW�ZRXOG�UHTXLUH�KHU�WR�¿OH�)RUP������
�� 6KH�UHFHLYHG�D������0,6&�IRU���������IURP�3LQN\¶V��DQG�KDG�DQ�DGGLWLRQDO��������FDVK�LQFRPH�LQ�WLSV�DQG�SD\PHQWV�IURP�WKH�VHQLRU�FHQWHU��6KH�KDG�QR�RWKHU�EXVL-QHVV�LQFRPH�
�� 6KH�KDV�D�PLOHDJH�ORJ�VKRZLQJ�������PLOHV�IRU������
±� ������PLOHV�IURP�KRPH�WR�ZRUN�DQG�UHWXUQ�HDFK�GD\��������PLOHV�EHIRUH�-XO\����������DQG�������PLOHV�DIWHU�-XQH����������
±� ����PLOHV�IURP�3LQN\¶V�WR�WKH�VHQLRU�FHQWHU������PLOHV�EHIRUH�-XO\���������DQG�����PLOHV�DIWHU�-XQH���������
�� 7KH�WRWDO�PLOHDJH�RQ�KHU�FDU�IRU������ZDV��������PLOHV��6KH�SODFHG�KHU�FDU�LQ�VHUYLFH�RQ�-DQXDU\����������6KH�DOZD\V�WDNHV�WKH�VWDQGDUG�PLOHDJH�UDWH��/LO\¶V�FDU�DQG�$QGUHZ¶V�FDU�ZHUH�ERWK�DYDLODEOH�IRU�SHUVRQDO�XVH�
�� /LO\�KDV�UHFRUGV�IRU�RWKHU�H[SHQVHV�UHODWLQJ�WR�KHU�EXVLQHVV�
±� +DLU�VW\OLVW¶V�VWDWLRQ�UHQWDO��������
±� 6XSSOLHV��������
±� &DU�UHSDLU������
±� %XVLQHVV�OLDELOLW\�LQVXUDQFH������
±� 7ROOV�SDLG�RQ�WKH�ZD\�WR�WKH�VHQLRU�FHQWHU�����
±� %XVLQHVV�OLFHQVH�����
±� 2Q�ZRUNGD\V��/LO\�VSHQW�DERXW�����D�GD\�RQ�KHU�OXQFK��WRWDOLQJ��������IRU�WKH�\HDU�
Intermediate Scenarios����
�� /LO\�XVHV�EXVLQHVV�FRGH��������
�� /LO\�LV�UHSD\LQJ�D�VWXGHQW�ORDQ�VKH�WRRN�RXW�VHYHUDO�\HDUV�DJR�WR�¿QDQFH�KHU� YRFDWLRQDO�HGXFDWLRQ��7KH�VFKRRO�LV�DQ�HOLJLEOH�HGXFDWLRQDO�LQVWLWXWLRQ�
�� 7KH\�SDLG�UHDO�HVWDWH�WD[HV�RQ�WKHLU�SHUVRQDO�UHVLGHQFH�RI��������
�� $VVXPH�WKH�$OEULJKWV�ZLOO�GHGXFW�VWDWH�LQFRPH�WD[�LQVWHDG�RI�JHQHUDO�VDOHV�WD[�
�� 7KH�$OEULJKWV�LPSURYHG�WKHLU�KRPH�E\�UHSODFLQJ�WKHLU�IXUQDFH�ZLWK�D�QDWXUDO�JDV�PRGHO�WKDW�PHHWV�WKH�QHZ�HQHUJ\�HI¿FLHQF\�VWDQGDUGV��7KH�IXUQDFH�FRVW�������� SOXV��������IRU�LQVWDOODWLRQ��7KH\�KDYH�QHYHU�FODLPHG�D�UHVLGHQWLDO�HQHUJ\�FUHGLW�LQ�DQ\�SULRU�\HDU�
Intermediate Scenarios ����
Intermediate Scenarios����
Intermediate Scenarios ����
Intermediate Scenarios����
Intermediate Scenarios ����
Intermediate Scenarios����
Intermediate Scenarios 2-21
Intermediate Scenarios2-22
Intermediate Scenario 4: Test Questions
Directions
3OHDVH�FRPSOHWH�)RUP������DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��RU�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV��
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'��,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
12.� /LO\�PXVW�XVH�6FKHGXOH�&�WR�UHSRUW�KHU�FDVK�LQFRPH��>6HOHFW�DQVZHU��D��IRU�WKLV�TXHVWLRQ�@
D�� 7UXH
E�� )DOVH
13.�:KDW�LV�WKH�DPRXQW�RI�/LO\¶V�JURVV�LQFRPH�UHSRUWHG�IRU�KHU�KDLU�VW\OLVW�EXVLQHVV"��BBBBB
14.�:KLFK�LWHP�cannot�EH�GHGXFWHG�E\�/LO\�DV�D�EXVLQHVV�H[SHQVH"
D�� %XVLQHVV�OLFHQVH
E�� +DLU�VW\OLVW¶V�VWDWLRQ�UHQWDO
F�� 7ROOV�WR�JHW�WR�WKH�VHQLRU�FHQWHU
G�� /XQFK�H[SHQVHV
15.�7KH�GHGXFWLEOH�SDUW�RI�WKH�VHOI�HPSOR\PHQW�WD[�FDQ�EH�WDNHQ�DV�DQ�DGMXVWPHQW�WR�LQFRPH�RQ�)RUP�������SDJH���
D�� 7UXH
E�� )DOVH
16.�:KDW�LV�WKH�WRWDO�DPRXQW�RI�WKH�UHVLGHQWLDO�HQHUJ\�FUHGLW�IURP�)RUP������IRU�WKH�$OEULJKWV"���BBBBB
17.�:KDW�LV�WKH�DPRXQW�WKH�$OEULJKWV�FDQ�WDNH�DV�D�VWXGHQW�ORDQ�LQWHUHVW�GHGXFWLRQ"
D�� �������
E�� ������
F�� ������
G�� ��
18.�+RZ�PDQ\�EXVLQHVV�PLOHV�FDQ�EH�XVHG�WR�FRPSXWH�WKH�GHGXFWLEOH�PLOHDJH�H[SHQVH�IRU�/LO\¶V�KDLU�VW\OLVW�EXVLQHVV"�BBBBB��
Intermediate Scenarios ����
19.�:KDW�LV�WKH�DPRXQW�RI�WKH�$OEULJKWV¶�IRUHLJQ�WD[�FUHGLW"
D�� ��
E�� ����
F�� �����
G�� ����
20.� /LO\�VD\V�WKDW�WKH\�KDYH�D�EDODQFH�GXH�RQ�WKHLU�UHWXUQ�HYHU\�\HDU��2QH�ZD\�WR�DYRLG�WKLV�ZRXOG�EH�WR�PDNH�HVWLPDWHG�WD[�SD\PHQWV�GXULQJ�WKH�WD[�\HDU��
D�� 7UXH
E�� )DOVH
Intermediate Scenarios����
Advanced Scenarios 3-1
201� 6744 Test – Advanced Course
Directions
7KH�¿UVW�WKUHH�VFHQDULRV�GR�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for each scenario carefully and use your training and resource materials to answer the questions after the scenarios.
Advanced Scenario 1: Jacob McPherson
Interview Notes
-DFRE�VROG�VRPH�VWRFN�WKLV�\HDU��DQG�KDV�FRPH�WR�\RX�WR�SUHSDUH�KLV�WD[�UHWXUQ�
3'4�VWRFN�
�� -DFRE�LQKHULWHG�����VKDUHV�RI�3'4�VWRFN�IURP�KLV�JUHDW�XQFOH�7KRPDV�ZKR�GLHG�RQ�0DUFK����������
�� *UHDW�XQFOH�7KRPDV¶�EDVLV�ZDV�����SHU�VKDUH�
�� 7KH�IDLU�PDUNHW�YDOXH�RQ�WKH�GDWH�RI�GHDWK�ZDV�����SHU�VKDUH�
�� -DFRE�VROG�����VKDUHV�RI�3'4�RQ�-XO\���������
$%&�VWRFN��
�� 2Q�)HEUXDU\����������-DFRE�VROG�����VKDUHV�RI�$%&�VWRFN��ZKLFK�KH�SXUFKDVHG�LQ������
�� -DFRE�GRHV�QRW�NQRZ�WKH�EDVLV�IRU�KLV�$%&�VWRFN��DQG�WKH�EDVLV�LV�QRW�VKRZQ�RQ�WKH������%�KH�UHFHLYHG�IURP�WKH�EURNHU�
Advanced Scenario 1: Test Questions
1.� -DFRE¶V�KROGLQJ�SHULRG�IRU�KLV������VDOH�RI�LQKHULWHG�3'4�VWRFN�LV�ORQJ�WHUP�
D�� 7UXH
E�� )DOVH
2.� :KDW�LV�WKH�FRVW�RU�RWKHU�EDVLV�RI�WKH�LQKHULWHG�3'4�VWRFN�WKDW�-DFRE�VROG�LQ�����"
D�� ������
E�� ������
F�� ������
G�� ������
Advanced Scenarios���
3.� ,I�-DFRE�FDQQRW�GHWHUPLQH�WKH�EDVLV�RI�KLV�$%&�VWRFN��WKH�,56�ZLOO�GHHP�WKH�EDVLV�WR�EH����
D�� 7UXH
E�� )DOVH
Advanced Scenarios 3-3
Advanced Scenario 2: Ross and Mary Campbell
Interview Notes
�� 5RVV�DQG�0DU\�ZLOO�¿OH�D�MRLQW�UHWXUQ�
�� 5RVV�DQG�0DU\�SXUFKDVHG�WKHLU�KRPH�LQ������IRU����������
�� ,Q�������5RVV�DQG�0DU\�DGGHG�D�VZLPPLQJ�SRRO�DW�D�FRVW�RI���������
�� ,Q�������WKH\�UHSDLUHG�WKH�GLVKZDVKHU�DW�D�FRVW�RI������
�� 5RVV�DQG�0DU\�OLYHG�LQ�WKH�KRXVH�DV�WKHLU�PDLQ�KRPH�XQWLO�WKH\�VROG�LW�RQ�-XQH����������
�� 5RVV�DQG�0DU\�VROG�WKH�KRPH�IRU����������DQG�UHFHLYHG�D�)RUP������6�UHSRUWLQJ�WKH�VDOH�
�� 5RVV�DQG�0DU\�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Advanced Scenario 2: Test Questions
4.� :KLFK�H[SHQGLWXUHV�FDQ�5RVV�DQG�0DU\�XVH�WR�DGMXVW�WKH�EDVLV�RI�WKHLU�KRPH"
D�� 1RQH��WKHLU�EDVLV�LV�WKHLU�RULJLQDO�SXUFKDVH�SULFH�
E�� 7KH�FRVW�RI�WKH�QHZ�SRRO�
F�� 7KH�FRVW�RI�WKH�GLVKZDVKHU�UHSDLU�
G�� 7KH�FRVW�RI�WKH�QHZ�SRRO�DQG�WKH�FRVW�RI�WKH�GLVKZDVKHU�UHSDLU�
5.� :KDW�LV�WKH�DPRXQW�RI�JDLQ�RU�ORVV�5RVV�DQG�0DU\�VKRXOG�UHSRUW�RQ�WKH�WD[�UHWXUQ"
D�� 7KH�VDOH�VKRXOG�EH�UHSRUWHG�EHFDXVH�D�)RUP������6�ZDV�UHFHLYHG��EXW�WKH�JDLQ�RU�ORVV�LV���
E�� 7KH�VDOH�VKRXOG�QRW�EH�UHSRUWHG
F�� /RVV�RI��������
G�� /RVV�RI��������
Advanced Scenarios���
Advanced Scenario 3: Gabriella Lafayette
Interview Notes
�� 2Q�-DQXDU\����������*DEULHOOD�SXUFKDVHG�������VKDUHV�RI�WKH�$%&�PXWXDO�IXQG�IRU����������
�� 2Q�'HFHPEHU�����������WKH�IXQG�SDLG�D�FDSLWDO�JDLQ�GLVWULEXWLRQ�RI������WKDW�ZDV�UHLQYHVWHG�WR�SXUFKDVH�DQ�DGGLWLRQDO�����VKDUHV��
�� 7KH�IXQG�GLG�QRW�SD\�GLYLGHQGV�
�� *DEULHOOD�UHFHLYHG�)RUP������',9�UHSRUWLQJ�WKH�FDSLWDO�JDLQ�GLVWULEXWLRQ��DQG�D�\HDU�HQG�VWDWHPHQW�VKRZLQJ��������DV�WKH�'HFHPEHU�����������YDOXH�RI�KHU�������VKDUHV�
�� 7KLV�LV�*DEULHOOD¶V�RQO\�LQYHVWPHQW�DFFRXQW�DQG�VKH�GLG�QRW�VHOO�DQ\�VKDUHV�LQ������
Advanced Scenario 3: Test Questions
6.� 7KH�WRWDO�EDVLV�RI�DOO�*DEULHOOD¶V�$%&�PXWXDO�IXQG�VKDUHV�KHOG�RQ�'HFHPEHU����������LV��BBBBBBB�
7.� +RZ�VKRXOG�WKH�ORVV�LQ�YDOXH�RI�*DEULHOOD¶V�LQYHVWPHQW�EH�UHSRUWHG"
D�� 6KH�FDQQRW�FODLP�DQ\�ORVV�EHFDXVH�QR�VKDUHV�ZHUH�VROG�
E�� 6KH�FDQ�GHGXFW�D��������FDSLWDO�ORVV�RQ�)RUP�������OLQH����
F�� 6KH�FDQ�GHGXFW�D��������FDSLWDO�ORVV�RQ�)RUP�������OLQH����
G�� +HU�ORVV�LV�OLPLWHG�WR�D��������GHGXFWLRQ�RQ�)RUP�������OLQH����
8.� *DEULHOOD¶V�FDSLWDO�JDLQ�GLVWULEXWLRQ�LV�QRW�UHSRUWDEOH�EHFDXVH�WKH�VKDUHV�ZHUH�UHLQ-YHVWHG��
D�� 7UXH
E�� )DOVH
Advanced Scenarios ���
Advanced Scenario 4: Nathan and Phoebe Wheeler
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUGV�IRU�1DWKDQ�:KHHOHU��3KRHEH�:KHHOHU��DQG�0DWWKHZ�:KHHOHU�
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� )RUPV������5�IRU�1DWKDQ�DQG�3KRHEH
�� &RQVROLGDWHG�EURNHUDJH�VWDWHPHQW��VXEVWLWXWH�)RUP������%�DQG�)RUP������',9�
�� 6FKHGXOH�.���IURP�(VVH[�&RUSRUDWLRQ
Interview Notes
�� 1DWKDQ�DQG�3KRHEH�ZDQW�WR�¿OH�D�MRLQW�WD[�UHWXUQ��
�� 1DWKDQ�UHWLUHG�DQG�VWDUWHG�UHFHLYLQJ�KLV�SHQVLRQ�RI��������SHU�PRQWK�LQ�0DUFK�������
�� 1DWKDQ¶V�SHQVLRQ�SODQ�LV�D�TXDOL¿HG�SODQ��DQG�KH�UHFHLYHG�EHQH¿WV�XQGHU�D�MRLQW�DQG�VXUYLYRU�DQQXLW\��WR�EH�SDLG�RYHU�WKH�MRLQW�OLYHV�RI�1DWKDQ�DQG�3KRHEH���
�� 1DWKDQ�FRQWULEXWHG���������WR�WKH�SODQ�DQG�GLG�QRW�UHFHLYH�DQ\�GLVWULEXWLRQV�EHIRUH�KLV�DQQXLW\�VWDUWLQJ�GDWH���
�� 3KRHEH�UHFHLYHV�GLVDELOLW\�SD\PHQWV�IURP�KHU�IRUPHU�HPSOR\HU��3KRHEH�KDV�QRW�\HW�UHDFKHG�WKH�PLQLPXP�UHWLUHPHQW�DJH�IRU�WKH�HPSOR\HU�
�� 1DWKDQ�ZRQ��������DW�D�SRNHU�WRXUQDPHQW���+H�FDOFXODWHG�KLV�ORVVHV�WKURXJK�WKH�\HDU�DV���������1R�)RUP�:��*�ZDV�LVVXHG�
�� 1DWKDQ�DQG�3KRHEH�UHFHLYHG�D�.���IURP�DQ�6�FRUSRUDWLRQ��UHSRUWLQJ�LQWHUHVW�LQFRPH�
�� 7KH\�VROG�VRPH�VWRFN�LQ�������7KH\�EURXJKW�WKH�FRQVROLGDWHG�EURNHU¶V�VWDWHPHQW�
�� 1DWKDQ�DQG�3KRHEH�EURXJKW�D�FRS\�RI�WKHLU������WD[�UHWXUQ�WR�VKRZ�\RX�WKH\�KDYH�D�ORQJ�WHUP�FDSLWDO�ORVV�FDUU\RYHU�RI������
�� 1DWKDQ�DQG�3KRHEH�ZLOO�QRW�LWHPL]H�IRU������
�� 7KH�:KHHOHUV�KDYH�QHYHU�KDG�(,&�GLVDOORZHG��
Advanced Scenarios���
Advanced Scenarios ���
Advanced Scenarios���
Advanced Scenarios 3-9
Advanced Scenarios����
Advanced Scenarios 3-11
Advanced Scenarios����
Advanced Scenarios 3-13
Advanced Scenario 4: Test Questions
Directions
&RPSOHWH�)RUP������DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��DQG�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV���
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
9.� 7KH�VDOH�RI�$%&�VWRFN�LV��
D�� 1RW�UHSRUWHG�RQ�WKH�WD[�UHWXUQ
E�� $�FDSLWDO�JDLQ�GLVWULEXWLRQ
F�� $�ORQJ�WHUP�WUDQVDFWLRQ
G�� $�VKRUW�WHUP�WUDQVDFWLRQ
10.�:KDW�LV�WKH�QHW�FDSLWDO�JDLQ��RU�ORVV��WKDW�DSSHDUV�RQ�)RUP�������OLQH���"
D�� ����
E�� ����
F�� ������
G�� ������
11.� 7KH�GLVDELOLW\�LQFRPH�IURP�3KRHEH¶V�)RUP������5�VKRXOG�EH�UHSRUWHG�DV�SHQVLRQ�LQFRPH�RQ�)RUP�������OLQH���E�
D�� 7UXH
E�� )DOVH
12.�:KHUH�RQ�WKH�WD[�UHWXUQ�VKRXOG�WKH�LQWHUHVW�LQFRPH�IURP�6FKHGXOH�.����)RUP�����6��DSSHDU"�
D�� )RUP�������OLQH��D
E�� )RUP�������OLQH���
F�� )RUP�������OLQH���
G�� )RUP�������OLQH���
13.�:KDW�DPRXQW�RI�HDUQHG�LQFRPH��LI�DQ\��LV�XVHG�WR�FRPSXWH�WKH�:KHHOHUV¶�(,&"� ��BBBBBBB��
Advanced Scenarios����
14.�+RZ�PXFK�RI�WKH���������JURVV�GLVWULEXWLRQ�UHSRUWHG�RQ�1DWKDQ¶V�)RUP������5�LV�WD[DEOH�LQ�����"
D�� �������
E�� ��������
F�� �������
G�� �������
15.�:KDW�VKRXOG�1DWKDQ�UHSRUW�DV�JDPEOLQJ�LQFRPH�RQ�)RUP�������OLQH���"
D�� ����
E�� ������
F�� �������
G�� 1RWKLQJ��EHFDXVH�QR�)RUP�:��*�ZDV�LVVXHG
Military Scenarios 4-1
201� 6744 Test – Military Course
Directions
7KH�¿UVW�VFHQDULR�GRHV�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for the scenario carefully and use your training and resource materials to answer the questions.
Military Scenario 1: Benjamin and Avery Merrimack
Interview Notes
�� %HQMDPLQ�DQG�$YHU\�OLYH�LQ�'HQYHU��&RORUDGR��ZKHUH�%HQMDPLQ�MRLQHG�WKH�$LU�)RUFH��+H�¿QLVKHG�KLV�WUDLQLQJ�DQG�ZLOO�EH�VWDWLRQHG�LQ�7XFVRQ��$UL]RQD��IRU�WZR�\HDUV��7KLV�LV�D�SHUPDQHQW�FKDQJH�RI�VWDWLRQ��3&6���
�� 7KH\�GHFLGHG�WR�PDNH�D�'R�,W�<RXUVHOI��',7<��PRYH�DQG�VDYH�PRQH\��
�� 2Q�-XQH����%HQMDPLQ�DQG�$YHU\�SDFNHG�DOO�WKHLU�EHORQJLQJV�DQG�EHJDQ�GULYLQJ�IURP�'HQYHU�WR�7XFVRQ��2Q�WKH�ZD\��WKH\�PDGH�D�VLGH�WULS�WR�WKH�*UDQG�&DQ\RQ�WR�VHH�WKH�VLJKWV��7KHLU�WULS�WRRN�D�WRWDO�RI�VL[�GD\V�DQG�¿YH�QLJKWV�LQVWHDG�RI�WKH�DXWKRUL]HG�WZR�GD\V�DQG�RQH�QLJKW�
�� 7KHLU�PRYH�ZDV�HVWLPDWHG�WR�FRVW���������DQG�WKH�$LU�)RUFH�SURYLGHG��������LQ�DGYDQFH���
�� 7KH�0HUULPDFNV�GURYH�D�WRWDO�RI�������PLOHV��7KH�VKRUWHVW��PRVW�GLUHFW�URXWH�IURP�'HQYHU�WR�7XFVRQ�LV�����PLOHV��7KHLU�FRVW�IRU�WKH�PRYLQJ�WUXFN�ZDV���������7KHLU�FRVW�IRU�ORGJLQJ�ZDV�����SHU�QLJKW��ZKLFK�LV�FRQVLGHUHG�D�UHDVRQDEOH�H[SHQVH��%HQMDPLQ�DQG�$YHU\�VSHQW������RQ�IRRG�GXULQJ�WKH�WULS�
�� %HQMDPLQ�DQG�$YHU\�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Military Scenario 1: Test Question
1.� 7KH�GLIIHUHQFH�EHWZHHQ�WKH�DGYDQFH�SD\PHQW�RI��������DQG�WKH�TXDOL¿HG�PRYLQJ�H[SHQVHV�LV�WD[DEOH�
D�� 7UXH
E�� )DOVH
2.� :KDW�LV�WKH�WRWDO�DPRXQW�RI�TXDOL¿HG�PRYLQJ�H[SHQVHV"
D�� ������
E�� ������
F�� ������
G�� ������
Military Scenarios���
Military Scenario 2: Lucas and Katarina Benton
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUGV�IRU�/XFDV�DQG�.DWDULQD�%HQWRQ
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� 7ZR�)RUPV�:���IRU�.DWDULQD�%HQWRQ
�� )RUP������5�IRU�/XFDV�%HQWRQ
Interview Notes
�� /XFDV�DQG�.DWDULQD�ZDQW�WR�¿OH�D�MRLQW�UHWXUQ�
�� .DWDULQD�LV�D�FRPSXWHU�SURJUDPPHU�DQG�D�PHPEHU�RI�WKH�$UP\�5HVHUYH�
�� .DWDULQD�DWWHQGHG�ZHHNHQG�$UP\�5HVHUYH�WUDLQLQJ�VHVVLRQV�RYHU�����PLOHV�DZD\�IURP�KRPH�HDFK�PRQWK�IRU�WKH�¿UVW�¿YH�PRQWKV�RI�WKH�\HDU��7KH�H[SHQVHV�ZHUH�QRW�UHLPEXUVHG��7RWDO�H[SHQVHV�IRU�WKH�¿YH�PRQWK�SHULRG�ZHUH�
±� 0LOHDJH��������EDVHG�RQ�ZULWWHQ�UHFRUGV
±� 9HKLFOH��.DWDULQD�DQG�/XFDV�RZQ�WZR�YHKLFOHV�DQG�ERWK�DUH�DYDLODEOH�IRU� SHUVRQDO�XVH
±� 9HKLFOH�SODFHG�LQ�VHUYLFH�����������7RWDO�PLOHDJH�LQ������IRU�.DWDULQD¶V�FDU�LV�������PLOHV�ZKLFK�LQFOXGHG�������RWKHU�PLOHV�
±� /RGJLQJ��������ZLWKLQ�IHGHUDO�SHU�GLHP�UDWH�IRU�WKH�DUHD�
±�� 0HDOV��������ZLWKLQ�IHGHUDO�SHU�GLHP�UDWH�IRU�WKH�DUHD�
�� /XFDV�UHWLUHG�RQ�'HFHPEHU�����������DQG�EHJDQ�GUDZLQJ�D�PRQWKO\�SHQVLRQ�LQ�-DQXDU\�������+H�UHFHLYHG�EHQH¿WV�XQGHU�D�MRLQW�DQG�VXUYLYRU�DQQXLW\�
�� .DWDULQD�RZQV�UHQWDO�SURSHUW\��ZKLFK�VKH�SODFHG�LQWR�VHUYLFH�LQ�������
±� 5HQWDO�SURSHUW\��.DWDULQD�LV�DQ�DFWLYH�SDUWLFLSDQW���� 7RZQKRXVH�������6XQVKLQH�6WUHHW��<RXU�&LW\��<RXU�6WDWH�� 3XUFKDVHG�SURSHUW\�������������� 5HQWHG����������±������������ $QQXDO�UHQWDO�LQFRPH���������� $QQXDO�UHDO�HVWDWH�WD[HV���������� 0DQDJHPHQW�FRPSDQ\�IHHV�IRU�WKH�
WLPH�WKH�SURSHUW\�ZDV�UHQWHG�������� $LU�FRQGLWLRQHU�UHSDLU��������������������� 'HSUHFLDWLRQ��IURP�ODVW�\HDU¶V�WD[�
UHWXUQ����������� .DWDULQD�GLG�QRW�PDNH�DQ\�SD\PHQWV�
WKDW�ZRXOG�UHTXLUH�KHU�WR�¿OH�)RUP�����
�� /XFDV�DQG�.DWDULQD�GLG�QRW�LWHPL]H�ODVW�\HDU�DQG�GR�QRW�KDYH�HQRXJK�GHGXFWLRQV�WR�LWHPL]H�WKLV�\HDU�
Military Scenarios ���
Military Scenarios4-4
Military Scenarios ���
Military Scenarios���
Military Scenarios ���
Military Scenarios���
Military Scenarios ���
Military Scenario 2: Test Questions
Directions
3OHDVH�FRPSOHWH�)RUP������WKURXJK�OLQH����DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��RU�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV��
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'��,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU�
3.� 2QO\�/XFDV¶�DJH�LV�XVHG�LQ�FRPSXWLQJ�KLV�WD[DEOH�SHQVLRQ�
D�� 7UXH
E�� )DOVH
4.� +RZ�PXFK�RI�WKH���������GLVWULEXWLRQ�IURP�)RUP������5�LV�WD[DEOH"
D�� �������
E�� �������
F�� �������
G�� �������
5. 7KH�FRUUHFW�DPRXQW�RI�WRWDO�ZDJHV�UHSRUWHG�RQ�)RUP�������OLQH���LV���������
D�� 7UXH
E�� )DOVH
6.� 7KH�DPRXQW�RI�UHQWDO�UHDO�HVWDWH�LQFRPH�RQ�)RUP������LV��BBBBB�
7.� .DWDULQD�FDQ�GHGXFW�KHU�XQUHLPEXUVHG�UHVHUYLVWV¶�H[SHQVHV�DV�DQ�DGMXVWPHQW�WR�LQFRPH�EHFDXVH�VKH�WUDYHOV�RYHU�����PLOHV�IRU�UHVHUYLVW�WUDLQLQJ�
D�� 7UXH
E�� )DOVH
8.� .DWDULQD�ZLOO�XVH�ZKLFK�RI�WKH�IROORZLQJ�PLOHDJH�UDWHV�ZKHQ�FRPSXWLQJ�KHU�$UP\�UHVHUYLVW�PLOHDJH�IRU�WKH�SHULRG�������������������"�
D�� ���FHQWV�SHU�PLOH
E�� �����FHQWV�SHU�PLOH
F�� ���FHQWV�SHU�PLOH
G�� �����FHQWV�SHU�PLOH
9.� :KDW�DUH�WKH�WRWDO�DGMXVWPHQWV�WR�JURVV�LQFRPH�RQ�)RUP�����"�
D�� ������
E�� ������
F�� ������
G�� �������
Military Scenarios����
Military Scenario 3: Sebastien and Michelle Decatur
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUGV�IRU�6HEDVWLHQ��0LFKHOOH��6DP��DQG�-DFN�'HFDWXU
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� )RUP�:���IRU�6HEDVWLHQ�'HFDWXU
�� )RUP�:���IRU�0LFKHOOH�'HFDWXU
�� )RUP������,17�IURP�:HVWHUQ�%DQN�DQG�7UXVW
�� )RUP������%�IURP�&DOGZHOO�)HUULV�%URNHUDJH
�� 9RLGHG�FKHFN
Interview Notes
�� 6HEDVWLHQ�DQG�0LFKHOOH�FDPH�WR�WKH�VLWH�WR�¿OH�D�WD[�UHWXUQ�
�� 6HEDVWLHQ�ZDV�GHSOR\HG�WR�$IJKDQLVWDQ�IRU�DOO�RI�������
�� $%�6WRFN��
±�� 0LFKHOOH¶V�XQFOH�%RE�GLHG�RQ���������DQG�VKH�LQKHULWHG�����VKDUHV�RI�VWRFN
±�� %RE¶V�RULJLQDO�FRVW�EDVLV�ZDV�������
±�� )DLU�PDUNHW�YDOXH�RI�WKH�LQKHULWHG�VWRFN�RQ���������ZDV�������
�� 0LFKHOOH¶V�PRWKHU�ZDWFKHG�WKH�FKLOGUHQ�ZKHQ�0LFKHOOH�ZDV�DW�ZRUN�
�� 7KH�'HFDWXUV�GLG�QRW�LWHPL]H�LQ�������DQG�WKH\�GR�QRW�KDYH�HQRXJK�GHGXFWLRQV�WR�LWHPL]H�LQ������
Military Scenarios 4-11
Military Scenarios����
Military Scenarios ����
Military Scenarios4-14
Military Scenarios ����
Military Scenarios����
Military Scenarios ����
Military Scenario 3: Test Questions
Directions
3OHDVH�FRPSOHWH�)RUP������DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��DQG�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV��
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'��,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU�
10.�0LFKHOOH�FDQ�¿OH�DV�+HDG�RI�+RXVHKROG�EHFDXVH�6HEDVWLHQ�ZDV�GHSOR\HG�DOO�\HDU�DQG�KDG�QR�WD[DEOH�LQFRPH�
D�� 7UXH
E�� )DOVH
11. 7KH�'HFDWXUV�FRXOG�LQFOXGH�FRPEDW�SD\�DV�HDUQHG�LQFRPH�IRU�SXUSRVHV�RI�FDOFXODW-LQJ�(,&��LI�LW�UHVXOWV�LQ�D�KLJKHU�FUHGLW�
D�� 7UXH
E�� )DOVH
12.�7KH�'HFDWXUV¶�(,&�LV��������
D�� 7UXH
E�� )DOVH
13.�7KH�DPRXQW�RI�ZDJHV�RQ�)RUP�������OLQH���LV��BBBBBBB�
14.�7KH�KROGLQJ�SHULRG�IRU�WKH�VDOH�RI�VWRFN�LV�VKRUW�WHUP��
D�� 7UXH
E�� )DOVH
15.�7KH�DPRXQW�RI�0LFKHOOH¶V�FDSLWDO�JDLQ�RQ�WKH�LQKHULWHG�VWRFN�LV��������
D�� 7UXH
E�� )DOVH
Military Scenarios����
International Scenarios 5-1
201� 6744 Test – International Course
Directions
7KH�¿UVW�WKUHH�VFHQDULRV�GR�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for each scenario carefully and use your training and resource materials to answer the questions after the scenarios.
International Scenario 1: Gary and Susanne Drake
Interview Notes
�� *DU\�LV�D�8�6��FLWL]HQ�DQG�KDV�D�YDOLG�VRFLDO�VHFXULW\�QXPEHU��*DU\�DQG�6XVDQQH�DUH�PDUULHG�DQG�OLYH�LQ�6ZLW]HUODQG�
�� 6XVDQQH�LV�D�6ZLVV�IRUHLJQ�QDWLRQDO��FLWL]HQ�RI�6ZLW]HUODQG��
�� *DU\¶V�WRWDO�LQFRPH�ZDV���������
�� 6XVDQQH�KDV�DQ�,7,1�EXW�KDG�QR�LQFRPH�DQG�KDV�QHYHU�OLYHG�LQ�WKH�8�6�
�� *DU\¶V����\HDU�ROG�GDXJKWHU��&KORH��OLYHV�ZLWK�WKHP��&KORH¶V�PRWKHU�GLHG�LQ�������&KORH�LV�D�8�6��FLWL]HQ�DQG�KDV�D�YDOLG�VRFLDO�VHFXULW\�QXPEHU�
�� 6XVDQQH�KDV�D���\HDU�ROG�VRQ��6SHQFHU��ZKR�LV�D�6ZLVV�FLWL]HQ��+H�OLYHG�ZLWK�*DU\�DQG�6XVDQQH�LQ�6ZLW]HUODQG�IRU�DOO�RI�������
�� *DU\�LV�QRW�6SHQFHU¶V�IDWKHU�DQG�KDV�QRW�DGRSWHG�KLP�
�� *DU\�SURYLGHG�DOO�WKH�¿QDQFLDO�VXSSRUW�IRU�6XVDQQH��&KORH��DQG�6SHQFHU�
International Scenarios���
International Scenario 1: Test Questions
1.� &KORH�LV�*DU\¶V�RQO\�TXDOLI\LQJ�SHUVRQ�IRU�WKH�+HDG�RI�+RXVHKROG�¿OLQJ�VWDWXV�
D�� 7UXH
E�� )DOVH
2.� ,I�*DU\�DQG�6XVDQQH�do not ¿OH�D�MRLQW�UHWXUQ��FDQ�*DU\�FODLP�D�SHUVRQDO�H[HPS-WLRQ�IRU�6XVDQQH"
D�� <HV��EHFDXVH�6XVDQQH�LV�&KORH¶V�VWHSPRWKHU�
E�� <HV��EHFDXVH�VKH�KDV�QR�LQFRPH�DQG�FDQQRW�EH�FODLPHG�DV�D�GHSHQGHQW�E\�DQ\RQH�HOVH�
F�� 1R��WKH�RQO\�ZD\�*DU\�FRXOG�FODLP�6XVDQQH¶V�SHUVRQDO�H[HPSWLRQ�LV�WR�¿OH�D�MRLQW�UHWXUQ�ZLWK�KHU�
G�� 1R��6XVDQQH�GRHV�QRW�TXDOLI\�IRU�D�SHUVRQDO�H[HPSWLRQ�
3.� &DQ�*DU\�FODLP�6SHQFHU�DV�D�GHSHQGHQW"
D�� <HV��EHFDXVH�6XVDQQH�GRHV�QRW�KDYH�D�¿OLQJ�UHTXLUHPHQW
E�� <HV��EHFDXVH�KH�LV�*DU\¶V�TXDOLI\LQJ�FKLOG
F�� 1R��EHFDXVH�*DU\�GRHV�QRW�OLYH�LQ�WKH�8�6�
G�� 1R��EHFDXVH�KH�LV�QRW�D�8�6��FLWL]HQ��8�6��UHVLGHQW�DOLHQ��8�6��QDWLRQDO��RU�UHVL-GHQW�RI�&DQDGD�RU�0H[LFR
4.� *DU\�FDQ�FODLP�D�GHSHQGHQF\�H[HPSWLRQ�IRU�&KORH�
D�� 7UXH
E�� )DOVH�
International Scenarios ���
International Scenario 2: Sam and Karen Floyd
Interview Notes
�� 6DP�DQG�.DUHQ�)OR\G�FXUUHQWO\�OLYH�LQ�)UDQNIXUW��*HUPDQ\��7KH\�PRYHG�WKHUH�RQ�-DQXDU\�����������IRU�.DUHQ¶V�WHPSRUDU\�MRE�DVVLJQPHQW��7KH\�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
�� 1HLWKHU�6DP�QRU�.DUHQ�ZRUN�IRU�WKH�8�6��JRYHUQPHQW�
�� 7KH\�OHIW�IRU�D�YLVLW�WR�WKH�8�6��RQ�6HSWHPEHU����������DQG�UHWXUQHG�WR�)UDQNIXUW�RQ�6HSWHPEHU����������
�� 7KH\�DOVR�VSHQW����GD\V�RQ�D�VNL�YDFDWLRQ�LQ�$XVWULD�LQ�'HFHPEHU��
�� 7KH�KRPH�6DP�DQG�.DUHQ�RZQ�LQ�WKH�8�6��LV�EHLQJ�UHQWHG�RXW��6DP�DQG�.DUHQ�OLYH�LQ�DQ�DSDUWPHQW�LQ�)UDQNIXUW�
International Scenario 2: Test Questions
5.� 7KH����GD\�$XVWULDQ�VNL�YDFDWLRQ�FRXQWV�WRZDUG�WKH�����GD\�UHTXLUHPHQW�IRU�WKH�SK\VLFDO�SUHVHQFH�WHVW�
D�� 7UXH
E�� )DOVH
6.� :KLFK�WHVW�TXDOL¿HV�6DP�DQG�.DUHQ�IRU�WKH�IRUHLJQ�HDUQHG�LQFRPH�H[FOXVLRQ"
D�� 3K\VLFDO�SUHVHQFH�WHVW
E�� %RQD�¿GH�UHVLGHQFH�WHVW
F�� %RWK�D�DQG�E
G�� 6DP�DQG�.DUHQ�DUH�QRW�HOLJLEOH�WR�H[FOXGH�WKHLU�IRUHLJQ�HDUQHG�LQFRPH
International Scenarios���
International Scenario 3: John and Laura Morton
Interview Notes
�� -RKQ�DQG�/DXUD�DUH�PDUULHG�DQG�SODQ�WR�¿OH�D�MRLQW�UHWXUQ�
�� -RKQ¶V�ELUWK�GDWH�LV�)HEUXDU\���������
�� /DXUD¶V�ELUWK�GDWH�LV�-XQH���������
�� /DXUD�UHWLUHG�RQ�'HFHPEHU�����������DQG�EHJDQ�GUDZLQJ�D�PRQWKO\�SHQVLRQ�LQ�-DQXDU\������
�� 7KH�SHQVLRQ�SODQ�LV�D�TXDOL¿HG�SODQ�DQG�ZLOO�EH�SDLG�DV�D�MRLQW�DQG�VXUYLYRU�DQQXLW\�RYHU�/DXUD¶V�DQG�-RKQ¶V�OLIHWLPHV�
�� 7KH�JURVV�GLVWULEXWLRQ�UHSRUWHG�RQ�)RUP������5�IRU������ZDV���������
�� 7KH�WRWDO�HPSOR\HH�FRQWULEXWLRQ�WR�WKH�SODQ�ZDV���������
�� -RKQ�DQG�/DXUD�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
International Scenario 3: Test Questions
7.� 2QO\�/DXUD¶V�DJH�LV�XVHG�WR�FRPSXWH�WKH�WD[DEOH�SRUWLRQ�RI�KHU�SHQVLRQ� GLVWULEXWLRQ�
D�� 7UXH
E�� )DOVH
8.� +RZ�PXFK�RI�WKH���������GLVWULEXWLRQ�UHSRUWHG�RQ�)RUP������5�LV�WD[DEOH"
D�� ��
E�� �������
F�� �������
G�� �������
International Scenarios 5-5
International Scenario 4: David and Miriam Fulton
Taxpayer Documents
�� 6RFLDO�VHFXULW\�FDUGV�IRU�'DYLG�DQG�0LULDP�)XOWRQ
�� &RPSOHWHG�LQWDNH�DQG�LQWHUYLHZ�VKHHW
�� )RUP�:���IRU�0LULDP�)XOWRQ
�� )RUP������,17
Interview Notes
�� 'DYLG�DQG�0LULDP�)XOWRQ��D�PDUULHG�FRXSOH��DUH�8�6��FLWL]HQV�ZKR�KDYH�OLYHG�DQG�ZRUNHG�LQ�/RQGRQ�VLQFH�-DQXDU\�����������7KH\�GLG�QRW�UHWXUQ�WR�WKH�8�6��DW�DQ\�WLPH�GXULQJ�������7KH\�ZDQW�WR�¿OH�D�MRLQW�UHWXUQ�
�� ,QFRPH�
±� 'DYLG�KDV�DQ�XQOLPLWHG�ZRUN�YLVD�DQG�LV�HPSOR\HG�DV�D�SKRWRJUDSKHU�E\�D�VWXGLR�LQ�/RQGRQ�
±� 'DYLG¶V�\HDU�HQG�HDUQLQJV�VWDWHPHQW�IURP�KLV�FRPSDQ\�VKRZV�KLV�HDUQLQJV��FRQYHUWHG�WR�8�6��GROODUV��RI���������
±� 'DYLG¶V�HPSOR\HU�LV�)HUJXV�3KRWRJUDSK\������7RZHU�/DQH��/RQGRQ��8QLWHG�.LQJGRP��7KH�FRXQWU\�FRGH�IRU�)RUP����������(=�LV�8.�
±� 'DYLG�SDLG�LQFRPH�WD[HV�WKURXJKRXW�WKH�\HDU�WR�WKH�8QLWHG�.LQJGRP��&RQYHUWHG�WR�8�6��GROODUV��WKH�WRWDO�LQFRPH�WD[�'DYLG�SDLG�ZDV��������
±� 7KH\�WRRN�WKH�IRUHLJQ�HDUQHG�LQFRPH�H[FOXVLRQ�IRU�'DYLG¶V�HDUQLQJV�IRU�WKH�ODVW�IRXU�\HDUV�DQG�H[SHFW�WR�WDNH�LW�DJDLQ�LQ�������7KH\�KDYH�QHYHU�UHYRNHG�WKLV�H[FOXVLRQ��
±� 0LULDP�ZRUNHG�DW�WKH�8�6��(PEDVV\�DQG�KDV�D�)RUP�:���IRU�KHU�VDODU\�
�� 6DOH�RI�VWRFN�
±� 0LULDP�LQKHULWHG�����VKDUHV�RI�63�VWRFN�ZKHQ�KHU�IDWKHU�GLHG�RQ�0DUFK����������
±� )DLU�PDUNHW�YDOXH�RI�WKH�VWRFN�RQ�WKH�GDWH�RI�GHDWK�ZDV���������
±� 0LULDP�VROG�����VKDUHV�RI�WKH�VWRFN�RQ�-XQH����������IRU����������QHW�FRPPLV-VLRQ���6KH�GLG�QRW�UHFHLYH�D�EURNHUDJH�VWDWHPHQW�
±� 7KH�VWRFN�VDOH�ZDV�D�8�6��WUDQVDFWLRQ�
�� $GGLWLRQDO�LQIRUPDWLRQ�
±� 'DYLG�DQG�0LULDP�UHQW�DQ�DSDUWPHQW�LQ�/RQGRQ�ORFDWHG�DW�����6XVVH[�6WUHHW��7KH\�GR�QRW�PDLQWDLQ�DQ\�RWKHU�UHVLGHQFH�DEURDG�RU�LQ�WKH�8�6�
±� 7KH\�FRQVLGHU�WKHPVHOYHV�UHVLGHQWV�RI�(QJODQG�DQG�KDYH�QHYHU�VWDWHG�RWKHUZLVH�
±� 'DYLG�DQG�0LULDP�GLG�QRW�LWHPL]H�IRU������DQG�GR�QRW�KDYH�HQRXJK�GHGXFWLRQV�WR�LWHPL]H�IRU������
International Scenarios���
International Scenarios ���
International Scenarios���
International Scenarios ���
International Scenarios����
International Scenarios 5-11
International Scenarios����
International Scenario 4: Test Questions
Directions
3OHDVH�FRPSOHWH�)RUP������DQG�WKH�DSSURSULDWH�IRUPV��VFKHGXOHV��RU�ZRUNVKHHWV�WR�DQVZHU�HDFK�RI�WKH�IROORZLQJ�TXHVWLRQV��
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'��,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU�
9.� 7KH�ERQD�¿GH�UHVLGHQFH�HQGLQJ�GDWH�RQ�)RUP������(=�LV�
D�� ����������
E�� 2SHQ
F�� &RQWLQXHV
G�� ���������
10.�7KH�)XOWRQV¶�WRWDO�ZDJHV�UHSRUWHG�RQ�)RUP�������OLQH���LV���������
D�� 7UXH
E�� )DOVH
11.� 0LULDP¶V�VDODU\�GRHV�not�TXDOLI\�IRU�WKH�IRUHLJQ�HDUQHG�LQFRPH�H[FOXVLRQ�EHFDXVH�LW�LV�SDLG�E\�WKH�8�6��JRYHUQPHQW�
D�� 7UXH
E�� )DOVH
12.�'DYLG�DQG�0LULDP�ZLOO�WDNH�WKH�IRUHLJQ�HDUQHG�LQFRPH�H[FOXVLRQ��7KH\�FDQ�DOVR�FODLP�D�IRUHLJQ�WD[�FUHGLW�RQ�'DYLG¶V�LQFRPH�WD[�SDLG�WR�WKH�8�.�
D�� 7UXH
E�� )DOVH
13.�7KH�FRUUHFW�DPRXQW�RI�WKH�IRUHLJQ�HDUQHG�LQFRPH�H[FOXVLRQ�UHSRUWHG�RQ�)RUP�������2WKHU�,QFRPH�OLQH�LV�����������
D�� 7UXH
E�� )DOVH
14.�7KH�)XOWRQV¶�FDSLWDO�JDLQ�RU�ORVV�RQ�6FKHGXOH�'�LV�VKRUW�WHUP�
D�� 7UXH
E�� )DOVH
15.�:KDW�LV�WKH�FDSLWDO�JDLQ�RU�ORVV�RQ�6FKHGXOH�'"
D�� ��
E�� ������
F�� �������
G�� ���������
Retest Questions R-1
Retest QuestionsThe retest questions are all based on the test scenarios. There are mini-scenarios and questions in Basic, Intermediate, Advanced, Military, and International. The Interview Notes for the mini-scenarios are included on the following pages.
To answer the retest questions for return preparation scenarios, refer to the Interview Notes, Intake/Interview & Quality Review Sheet, and taxpayer documents provided in the test scenarios beginning on page 1-6 of this booklet.
Retest QuestionsR-2
Retest Answer sheetName
Record all your answers on this tear-out page. Your Instructor will tell you where to send your Retest Answer Sheet for grading. Be sure to complete and sign the Form 13615, Volunteer Standards of Conduct Agreement.
Privacy Act Notice
The Privacy Act of 1974 requires that when we ask for information we tell you our legal right to ask for the information, why we are asking for it, and how it will be used. We must also tell you what could happen if we do not receive it, and whether your response is voluntary, UHTXLUHG�WR�REWDLQ�D�EHQH¿W��RU�PDQGDWRU\�
Our legal right to ask for information is 5 U.S.C. 301.
We are asking for this information to assist us in contacting you relative to your inter-est and/or participation in the IRS volun-teer income tax preparation and outreach programs. The information you provide may be furnished to others who coordi-QDWH�DFWLYLWLHV�DQG�VWDI¿QJ�DW�YROXQWHHU�return preparation sites or outreach activi-ties. The information may also be used to establish effective controls, send corre-spondence and recognize volunteers.
Your response is voluntary. However, if you do not provide the requested informa-tion, the IRS may not be able to use your assistance in these programs.
Question AnswerBasic scenario 1 1. 2. Basic scenario 2 3. 4. Basic scenario 3 5. 6. Basic scenario 4 7. 8. Basic scenario 5 9. 10. Basic scenario 6 11. 12. 13. 14. 15. 16. 17. Basic scenario 7 18. 19. 20. 21. 22. 23. 24. Basic scenario 8 25. 26. 27. 28. 29. 30. Total Answers Correct: Total Questions: 30 Passing score: 24 of 30
Question AnswerAdvanced scenario 1 1. 2. 3. Advanced scenario 2 4. 5. Advanced scenario 3 6. 7. 8. Advanced scenario 4 9. 10. 11. 12. 13. 14. 15. Total Answers Correct: Total Questions: 15 Passing score: 12 of 15
Question Answerintermediate scenario 1 1. 2. intermediate scenario 2 3. 4. intermediate scenario 3 5. 6. 7. 8. 9. 10. 11. intermediate scenario 4 12. 13. 14. 15. 16. 17. 18. 19. 20. Total Answers Correct: Total Questions: 20 Passing score: 16 of 20
Question AnswerMilitary scenario 1 1. 2. Military scenario 2 3. 4. 5. 6. 7. 8. 9. Military scenario 3 10. 11. 12. 13. 14. 15. Total Answers Correct: Total Questions: 15 Passing score: 12 of 15
Question Answerinternational scenario 1 1. 2. 3. 4. international scenario 2 5. 6. international scenario 3 7. 8. international scenario 4 9. 10. 11. 12. 13. 14. 15. Total Answers Correct: Total Questions: 15 Passing score: 12 of 15
Question Answerstandards of Conduct 1. 2. 3. 4. 5. Total Answers Correct: Total Questions: 5 Passing score: 4 of 5
Retest Questions R-3
Directions
7KH�¿UVW�¿YH�VKRUW�VFHQDULRV�DUH�GHVLJQHG�WR�PHDVXUH�NH\�FRPSHWHQFLHV�UHODWHG�WR�¿OLQJ�VWDWXV��GHSHQGHQF\�H[HPSWLRQV��DQG�UHODWHG�WD[�EHQH¿WV��7KHVH�¿UVW�¿YH�VFHQDU-ios do not require you to prepare a tax return. Read the interview notes for each scenario carefully and use your training and resource materials to answer the questions after the scenarios.
Basic scenario 1: nancy Pratt
interview notes
�� 6XVDQ��ZKR�LV�VLQJOH��ORVW�KHU�MRE�LQ�������6KH�DQG�KHU�HLJKW�\HDU�ROG�VRQ�-DVRQ�PRYHG�LQ�ZLWK�D�IULHQG�RI�WKH�IDPLO\��1DQF\��6XVDQ�DQG�-DVRQ�OLYHG�WKHUH�WKH�HQWLUH�year of 2011.
�� -DVRQ¶V�IDWKHU�GLHG�LQ�������
�� 1DQF\�SDLG�DOO�WKH�FRVW�RI�NHHSLQJ�XS�KHU�KRPH��
�� 1DQF\��ZKR�LV�VLQJOH��SURYLGHG�DOO�RI�6XVDQ¶V�DQG�-DVRQ¶V�VXSSRUW�GXULQJ��������
�� 1DQF\¶V�WRWDO�HDUQHG�LQFRPH�LQ������ZDV���������
�� 1HLWKHU�6XVDQ�QRU�-DVRQ�UHFHLYHG�DQ\�LQFRPH�LQ������
�� 6XVDQ�ZLOO�QRW�¿OH�D�WD[�UHWXUQ�IRU������
�� 1DQF\��6XVDQ��DQG�-DVRQ�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Basic scenario 1: Retest Questions
1.� 1DQF\�FDQ�FODLP�ERWK�6XVDQ�DQG�-DVRQ�DV�GHSHQGHQWV�
a. True
b. False
2. :KDW�LV�1DQF\¶V�FRUUHFW�¿OLQJ�VWDWXV"
a. Single
E�� 0DUULHG�)LOLQJ�-RLQWO\
c. Married Filing Separately
d. Head of Household
Retest QuestionsR-4
Basic scenario 2: sarah Pope
interview notes
�� 6DUDK�LV����\HDUV�ROG�DQG�VLQJOH�
�� 6DUDK�OLYHG�ZLWK�KHU�GDXJKWHU�3K\OOLV�IRU�DOO�RI������LQ�3K\OOLV¶�KRPH�
�� 6DUDK�SURYLGHV�RYHU�KDOI�RI�KHU�RZQ�VXSSRUW�
�� ,Q�������6DUDK�ZRUNHG�DV�D�FDVKLHU�DQG�HDUQHG����������ZKLFK�ZDV�KHU�WRWDO�LQFRPH��6KH�KDG������LQ�IHGHUDO�WD[�ZLWKKROGLQJ��
�� 3K\OOLV��ZKR�LV�����ZLOO�EH�¿OLQJ�KHU�RZQ�UHWXUQ��6KH�LV�QRW�GLVDEOHG�
�� 6DUDK�DQG�3K\OOLV�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Basic scenario 2: Retest Questions
3. On Form 13614-C, Intake/Interview & Quality Review Sheet, Sarah checked the box “Unsure” to the question, “Can anyone claim you or your spouse on their tax UHWXUQ"´�:KDW�DFWLRQ�VKRXOG�WKH�SUHSDUHU�WDNH"
a. Tell Sarah to call her daughter and ask if she already claimed her.
b. Tell Sarah that Phyllis is eligible to claim her as a dependent because she lives LQ�3K\OOLV¶�KRPH�
c. Explain to Sarah that she can claim her own exemption because Phyllis is not entitled to claim her.
G�� 7HOO�6DUDK�WKDW�VKH�KDV�QR�UHDVRQ�WR�¿OH�D�WD[�UHWXUQ�
4. Sarah is entitled to claim the Earned Income Credit (EIC).
a. True
b. False
Retest Questions R-5
Basic scenario 3: natasha Jefferson
interview notes
�� 1DWDVKD�-HIIHUVRQ�DQG�'DQLHO�1HZSRUW�DUH�ERWK�VLQJOH�DQG�ZHUH�QHYHU�PDUULHG��They have not lived together for three years.
�� 7KH\�KDYH�RQH�FKLOG��+DQQDK��DJH���
�� ,Q�������+DQQDK�OLYHG�ZLWK�1DWDVKD�WKH�HQWLUH�\HDU��'DQLHO�OLYHG�DORQH�
�� 1DWDVKD�DQG�'DQLHO�SURYLGHG�DOO�RI�+DQQDK¶V�VXSSRUW�
�� ,Q�������1DWDVKD�ZRUNHG�DQG�HDUQHG����������'DQLHO�ZRUNHG�DQG�HDUQHG���������
�� 'DQLHO�SD\V�WKH�UHQW�DQG�XWLOLWLHV�IRU�1DWDVKD¶V�DSDUWPHQW��+H�LV�SURYLGLQJ�RYHU�KDOI�the cost of maintaining the home for Natasha and Hannah.
�� 'DQLHO�GRHV�QRW�SD\�KRXVHKROG�H[SHQVHV�IRU�DQ\�RWKHU�IDPLO\�PHPEHU�
�� 1DWDVKD��'DQLHO��DQG�+DQQDK�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�numbers.
Basic scenario 3: Retest Questions
5.� :KR�FDQ�FODLP�WKH�+HDG�RI�+RXVHKROG�¿OLQJ�VWDWXV"
a. Natasha, because Hannah lived with her.
E�� 'DQLHO��EHFDXVH�KH�SDLG�RYHU�KDOI�WKH�FRVW�RI�PDLQWDLQLQJ�D�KRPH�IRU�+DQQDK�
F�� 1HLWKHU�'DQLHO�QRU�1DWDVKD�TXDOL¿HV�WR�FODLP�WKH�+HDG�RI�+RXVHKROG�¿OLQJ�status.
G�� 1DWDVKD��EHFDXVH�VKH�DQG�'DQLHO�ZHUH�QHYHU�PDUULHG�
6.� 'DQLHO�LV�HQWLWOHG�WR�FODLP�+DQQDK�DV�D�TXDOLI\LQJ�FKLOG�IRU�(,&�
a. True
b. False
Retest QuestionsR-6
Basic scenario 4: Aiden and isabel stillwater
interview notes
�� $LGHQ�DQG�,VDEHO�DUH�PDUULHG�DQG�OLYHG�WRJHWKHU�LQ�WKH�8�6��IRU�DOO�RI������ZLWK�WKHLU�two sons, Rafael, age 2, and Edward, age 3.
�� $LGHQ�DQG�,VDEHO�KDYH�,QGLYLGXDO�7D[SD\HU�,GHQWL¿FDWLRQ�1XPEHUV��,7,1V��
�� $LGHQ�DQG�,VDEHO�KDYH�OLYHG�LQ�WKH�8�6��IRU���\HDUV��
�� $LGHQ�DQG�,VDEHO�ERWK�ZRUNHG�DQG�WKHLU�FRPELQHG�ZDJHV�ZHUH����������ZKLFK�ZDV�their only income.
�� $LGHQ�DQG�,VDEHO�SURYLGHG�DOO�WKH�VXSSRUW�IRU�5DIDHO�DQG�(GZDUG��
�� 7KH\�SDLG�6XIIRON�'D\�&DUH��������D�\HDU�WR�WDNH�FDUH�RI�5DIDHO�DQG�(GZDUG�ZKLOH�they worked.
�� 5DIDHO�DQG�(GZDUG�DUH�ERWK�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�(SSNs).
Basic scenario 4: Retest Questions
7.� $LGHQ�DQG�,VDEHO�DUH�JRLQJ�WR�¿OH�D�MRLQW�UHWXUQ��:KRP�FDQ�WKH\�FODLP�DV�GHSHQ-GHQWV"
a. Aiden and Isabel cannot claim any dependents because they both have ITINs.
b. Aiden and Isabel cannot claim any dependents because they have not lived in the U.S. long enough.
c. Aiden and Isabel can claim both Rafael and Edward as dependents.
G�� %DVHG�RQ�$LGHQ¶V�DQG�,VDEHO¶V�LQFRPHV��WKH\�FDQ�RQO\�FODLP�RQH�GHSHQGHQW�
8.� 'R�$LGHQ�DQG�,VDEHO�TXDOLI\�IRU�all the following credits: EIC, child tax credit, and GHSHQGHQW�FDUH�FUHGLW"��
a. Yes
b. No
Retest Questions R-7
Basic scenario 5: Lisa Bolivar
interview notes
�� /LVD�%ROLYDU�LV����\HDUV�ROG��
�� 2OLYHU��ZKR�LV�VLQJOH��LV�/LVD¶V����\HDU�ROG�EURWKHU��+H�LV�SHUPDQHQWO\�DQG�WRWDOO\�disabled.
�� 7KHLU�SDUHQWV�DUH�GHFHDVHG����
�� 2OLYHU�OLYHG�ZLWK�/LVD�LQ�KHU�KRPH�DOO�RI������
�� ,Q�������2OLYHU�UHFHLYHG�)RUP�66$������VKRZLQJ�VRFLDO�VHFXULW\�GLVDELOLW\�EHQH¿WV�RI����������KLV�RQO\�LQFRPH��
�� 2OLYHU�SURYLGHG�RYHU�KDOI�RI�KLV�RZQ�VXSSRUW�
�� /LVD�ZRUNHG�DV�D�FOHUN�DQG�HDUQHG����������
�� /LVD�DQG�2OLYHU�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Basic scenario 5: Retest Questions
9.� 7KH�UHDVRQ�/LVD�FDQQRW�FODLP�2OLYHU�DV�KHU�GHSHQGHQW�LV�EHFDXVH�2OLYHU�LV�ROGHU�WKDQ�/LVD��
a. True
b. False
10.� ,V�/LVD�HOLJLEOH�WR�FODLP�(,&"�
a. No, because Oliver does not meet the requirements of a qualifying child for EIC.
E�� 1R��/LVD�PXVW�EH�DEOH�WR�FODLP�2OLYHU�DV�KHU�GHSHQGHQW�LQ�RUGHU�WR�FODLP�(,&�
c. Yes, she can claim EIC because Oliver passes the test to be a qualifying child under the EIC eligibility requirements even though he is not a qualifying child for the dependency exemption.
d. Yes, because Oliver has no earned income.
Retest QuestionsR-8
Basic scenario 6: Retest Questions
Directions
5HIHU�WR�WKH�VFHQDULR�LQIRUPDWLRQ�IRU�-DPHV�DQG�%ULGJHW�7KXUVWRQ�EHJLQQLQJ�RQ�SDJH�����
Please complete Form 1040 and the appropriate forms, schedules, or worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
11. What question on the intake and interview sheet was marked incorrectly by the 7KXUVWRQV�EDVHG�RQ�WKH�GRFXPHQWV�WKH\�SURYLGHG"
a. Part III, question 1, Wages or Salary
E�� 3DUW�,,,��TXHVWLRQ����,QWHUHVW�'LYLGHQGV
c. Part III, question 11, Unemployment Compensation
d. Part IV, question 2, Contributions to a retirement account
12.�:KDW�LV�WKH�7KXUVWRQV¶�VWDQGDUG�GHGXFWLRQ�DPRXQW"��BBBBB
13. The amount of retirement savings contribution credit in the Tax and Credits section RI�)RUP������LV������
a. True
b. False
14.�:KDW�DPRXQW�RI�VRFLDO�VHFXULW\�EHQH¿WV�VKRXOG�DSSHDU�RQ�)RUP�������OLQH���D"
D�� ��
E�� �������
F�� �������
G�� �������
15.�:KDW�LV�WKH�WD[DEOH�DPRXQW�RI�VRFLDO�VHFXULW\�EHQH¿WV"
D�� ��
E�� ������
F�� ������
G�� �������
16.�:KDW�LV�WKH�WRWDO�IHGHUDO�LQFRPH�WD[�ZLWKKROGLQJ�UHSRUWHG�RQ�WKH�7KXUVWRQV¶�WD[�UHWXUQ"
D�� ����
E�� ������
F�� ������
G�� ������
Retest Questions R-9
17.� -DPHV�DQG�%ULGJHW�GR�QRW�KDYH�HQRXJK�PRQH\�WR�SD\�WKH�DPRXQW�WKH\�RZH�E\�$SULO�����������<RX�WHOO�WKHP�WR�¿OH�WKH�UHWXUQ�RQ�WLPH�DQG�WR�SD\�DV�PXFK�DV�WKH\�FDQ�ZLWK�WKH�WD[�UHWXUQ��:KDW�DUH�WKHLU�RSWLRQV�IRU�WKH�UHPDLQLQJ�DPRXQW�GXH"�
a. File an Online Payment Agreement (OPA) request at www.irs.gov.
E�� 5HTXHVW�D�³)XOO�3D\�:LWKLQ����WR�����'D\V´�DJUHHPHQW�
c. Pay the balance due using their credit card.
d. Any of the above.
Retest QuestionsR-10
Basic scenario 7: Retest Questions
Directions
Read the information for Ashley Sawyer beginning on page 1-14.
Please complete Form 1040 and the appropriate forms, schedules, or worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
18.�:KDW�LV�$VKOH\¶V�¿OLQJ�VWDWXV"
D�� 0DUULHG�)LOLQJ�-RLQWO\
b. Married Filing Separately
c. Head of Household
d. Single
19.�:KDW�LV�WKH�WRWDO�DPRXQW�RI�DGMXVWPHQWV�XVHG�WR�GHWHUPLQH�DGMXVWHG�JURVV�LQFRPH�IRU�$VKOH\¶V�)RUP�������SDJH��"��BBBBB�
20.�:KDW�LV�WKH�DPRXQW�RI�HDUQHG�LQFRPH�XVHG�WR�FDOFXODWH�$VKOH\¶V�(,&"
D�� �������
E�� �������
F�� �������
G�� �������
21.�:KDW�LV�WKH�FUHGLW�IRU�FKLOG�DQG�GHSHQGHQW�FDUH�H[SHQVHV�RQ�)RUP�����"�
D�� ����
E�� ����
F�� ����
G�� ����
22.�7KH�DPRXQW�RI�WKH�DGGLWLRQDO�FKLOG�WD[�FUHGLW�LQ�WKH�3D\PHQWV�VHFWLRQ�RI�$VKOH\¶V�UHWXUQ�LV��������
a. True
b. False
23.�:KDW�LV�$VKOH\¶V�WRWDO�IHGHUDO�LQFRPH�WD[�ZLWKKROGLQJ"��BBBBBBB
24. To buy a savings bond for Emily with part of her federal tax refund, Ashley would use Form 8888.
a. True
b. False
Retest Questions R-11
Basic scenario 8: Retest Questions
Directions
5HIHU�WR�WKH�VFHQDULR�LQIRUPDWLRQ�IRU�6HUHQD�/LYLQJVWRQ�EHJLQQLQJ�RQ�SDJH������
<RX�DUH�FRQGXFWLQJ�D�TXDOLW\�UHYLHZ�RI�6HUHQD¶V�WD[�UHWXUQ��8VLQJ�)RUP�������&��\RXU�UHVRXUFH�PDWHULDOV��DQG�DOO�RI�WKH�WD[SD\HU¶V�GRFXPHQWV��DQVZHU�HDFK�RI�WKH�TXHVWLRQV�below. Form 13614-C, Section C, should be completed for this review.
25. :KLFK�VRFLDO�VHFXULW\�QXPEHU�LV�HQWHUHG�LQFRUUHFWO\�RQ�)RUP�����"
D�� (ULND¶V
E�� &KDUOLH¶V
F�� 6HUHQD¶V
d. All are correct
26.�:KLFK�RI�WKH�IROORZLQJ�LV�LQFRUUHFW�RQ�)RUP�����"
D�� (ULND¶V�QDPH
E�� &KDUOLH¶V�QDPH
F�� %RWK�(ULND¶V�DQG�6HUHQD¶V�QDPHV
G�� 6HUHQD¶V��&KDUOLH¶V��DQG�(ULND¶V�QDPHV
27. The amount of federal income tax withholding reported on Form 1040, page 2, is correct.
a. True
b. False
28.�$OO�RI�6HUHQD¶V�LQFRPH�LV�DFFXUDWHO\�UHSRUWHG�RQ�WKH�WD[�UHWXUQ�
a. True
b. False
29.�6HUHQD�TXDOL¿HV�IRU�(,&��
a. True
b. False
30. :KLFK�RI�WKHVH�LWHPV�LV�LQFRUUHFW�RQ�)RUP�����"
a. Bank account number
b. Number of exemptions
c. Home address
d. None of the above
Retest QuestionsR-12
Directions
7KH�¿UVW�WZR�VFHQDULRV�GR�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for both scenarios carefully and use your training and resource materials to answer the questions after each scenario.
intermediate scenario 1: Kathy Greenlee
interview notes
�� .DWK\�LV�D����\HDU�ROG�HOHPHQWDU\�VFKRRO�WHDFKHU�
�� .DWK\�VSHQW������RQ�VFKRRO�VXSSOLHV�IRU�WKH�\HDU�
�� .DWK\�LV�GLYRUFHG�DQG�KHU�XQPDUULHG����\HDU�ROG�VRQ�$OH[�OLYHG�ZLWK�KHU�DOO�RI�������Alex is not disabled.
�� $OH[¶V�RQO\�LQFRPH�LV��������
�� .DWK\�SDLG�DOO�WKH�KRXVHKROG�H[SHQVHV�DQG�SURYLGHG�RYHU�KDOI�RI�$OH[¶V�VXSSRUW�
�� .DWK\�DQG�$OH[�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
intermediate scenario 1: Retest Questions
1.� :KDW�LV�.DWK\¶V�FRUUHFW�¿OLQJ�VWDWXV"
a. Single
E�� 0DUULHG�)LOLQJ�-RLQWO\
c. Married Filing Separately
d. Head of Household
2.� :KDW�LV�WKH�PD[LPXP�DOORZDEOH�HGXFDWRU�H[SHQVH�DGMXVWPHQW�IRU�DQ�HOLJLEOH�WHDFKHU"��BBBBBBBBB
Retest Questions R-13
intermediate scenario 2: Alonzo Maricopa
interview notes
�� $ORQ]R�LV�D�VLQJOH�GDG��DJH�����ZLWK�WZR�VRQV�
�� +LV�VRQV��DJHV����DQG�����OLYHG�ZLWK�KLP�DOO�RI������
�� $ORQ]R�ORVW�KLV�MRE�LQ������DQG�LQ�-DQXDU\������KH�FDVKHG�LQ�KLV�HQWLUH�����N��
�� +H�UHFHLYHG�)RUP������5��ZLWK�D�GLVWULEXWLRQ�FRGH�RI���LQ�%R[����IRU��������
�� $ORQ]R¶V�RQO\�RWKHU�LQFRPH�IRU������ZDV��������LQ�XQHPSOR\PHQW�FRPSHQVDWLRQ��
�� $ORQ]R�DQG�KLV�VRQV�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
intermediate scenario 2: Retest Questions
3. Since Alonzo has low income and two qualifying children, he will receive EIC.
a. True
b. False
4. What circumstance would allow Alonzo to use Form 5329 to avoid paying the 10% DGGLWLRQDO�WD[�RQ�WKH�HDUO\�GLVWULEXWLRQ�IURP�KLV�UHWLUHPHQW�SODQ"
a. He used the distribution to pay general living expenses.
E�� +H�XVHG�WKH�GLVWULEXWLRQ�WR�SD\�IRU�MRE�KXQWLQJ�H[SHQVHV�
c. He used the distribution to pay medical expenses in excess of 7 1/2 % of his DGMXVWHG�JURVV�LQFRPH�
d. There is no possible exception to the 10% additional tax.
Retest QuestionsR-14
intermediate scenario 3: Retest Questions
Directions
5HDG�WKH�LQIRUPDWLRQ�IRU�(YDQ�-DPHV�'DZVRQ��EHJLQQLQJ�RQ�SDJH������
Complete Form 1040 and the appropriate forms, schedules, and worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
5.� :KDW�LV�(YDQ¶V�PLQLPXP�UHTXLUHG�SD\PHQW�RQ�KLV������KRPHEX\HU�FUHGLW"��BBBBBB
6.� 7KH�WRWDO�GHGXFWLRQ�LQ�WKH�*LIWV�WR�&KDULW\�VHFWLRQ�RI�(YDQ¶V�6FKHGXOH�$�LV��BBBBB�
7.� :KDW�LV�(YDQ¶V�WRWDO�WD[�GHGXFWLRQ�RQ�6FKHGXOH�$��OLQH��"
D�� ������
E�� ������
F�� ������
G�� ������
8.� :KDW�LV�(YDQ¶V�WRWDO�LQWHUHVW�GHGXFWLRQ�RQ�6FKHGXOH�$��OLQH���"��BBBBBB
9. Course-related books are a qualifying expense for the American opportunity credit.
a. True
b. False
10. What is the refundable�DPRXQW�RI�WKH�$PHULFDQ�RSSRUWXQLW\�FUHGLW�RQ�(YDQ¶V� )RUP�������3DUW�,,,"
D�� ������
E�� ����
F�� ����
G�� ��
11.� 1RDK¶V�URRP�DQG�ERDUG�ZLOO�TXDOLI\�IRU�WKH�tuition and fees deduction.
a. True
b. False
Retest Questions R-15
intermediate scenario 4: Retest Questions
Directions
5HIHU�WR�WKH�VFHQDULR�LQIRUPDWLRQ�IRU�$QGUHZ�DQG�/LO\�$OEULJKW��EHJLQQLQJ�RQ�SDJH�������
Please complete Form 1040 and the appropriate forms, schedules, or worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
12.�:KHUH�VKRXOG�/LO\µV�FDVK�LQFRPH�EH�UHSRUWHG"�>6HOHFW�DQVZHU��D��IRU�WKLV�TXHVWLRQ�@
a. Schedule C
b. Cash income does not have to be reported
F�� )RUP�������/LQH���
G�� )RUP�������/LQH���
13.�:KDW�LV�WKH�DPRXQW�RI�/LO\¶V�JURVV�LQFRPH�IURP�KHU�KDLU�VW\OLVW�EXVLQHVV"�
D�� �������
E�� �������
F�� ������
G�� ��
14.� /LO\�FDQ�GHGXFW�WKH�DPRXQW�VKH�SD\V�IRU�KHU�GDLO\�OXQFKHV�DW�ZRUN�DV�D�EXVLQHVV�expense.
a. True
b. False
15.�+RZ�GRHV�/LO\¶V�VHOI�HPSOR\PHQW�WD[�DIIHFW�WKH�$OEULJKWV¶�WD[�UHWXUQ"
a. A portion of the amount is deducted as a business expense.
b. The self-employment tax amount is shown on Form 1040, Other Taxes section, DQG�WKH�GHGXFWLEOH�SDUW�LV�DQ�DGMXVWPHQW�RQ�)RUP�������SDJH���
c. The self-employment tax is shown on Form 1040, Other Taxes section, and the full amount is deducted on Schedule A, Taxes You Paid.
G�� /LO\¶V�VHOI�HPSOR\PHQW�WD[�LV�QRW�UHSRUWHG�DQ\ZKHUH�RQ�)RUP������
16. What is not�DQ�HOLJLEOH�H[SHQVH�IRU�WKH�QRQEXVLQHVV�HQHUJ\�SURSHUW\�FUHGLW"���
a. Insulation designed to reduce heat gain or loss in the home
E�� $Q�HQHUJ\�HI¿FLHQW�IXUQDFH��LQFOXGLQJ�LQVWDOODWLRQ�FRVW
F�� &RPSDFW�ÀXRUHVFHQW�OLJKW�EXOEV��&)/V�
G�� (QHUJ\�HI¿FLHQW�H[WHULRU�GRRUV
Retest QuestionsR-16
17.�+RZ�GR�\RX�UHSRUW�TXDOL¿HG�VWXGHQW�ORDQ�LQWHUHVW�SDLG"���
a. As an expense for an education credit
b. As an itemized deduction on Schedule A
F�� $V�DQ�DGMXVWPHQW�WR�LQFRPH�RQ�)RUP�������SDJH��
d. As other income on Form 1040, line 21
18.�:KDW�LV�/LO\¶V�PLOHDJH�H[SHQVH�GHGXFWLRQ��DW�WKH�VWDQGDUG�PLOHDJH�UDWH��IRU�KHU�KDLU�VW\OLVW�EXVLQHVV"
D�� ��
E�� ����
F�� ������
G�� ������
19.�:KDW�LV�WKH�DPRXQW�RI�WKH�$OEULJKWV¶�IRUHLJQ�WD[�FUHGLW"��BBBBBBB
20.� /LO\�VD\V�WKDW�WKH\�KDYH�D�EDODQFH�GXH�RQ�WKHLU�UHWXUQ�HYHU\�\HDU��:KDW�FDQ�\RX�VXJJHVW�WR�SUHYHQW�RU�GHFUHDVH�WKH�DPRXQW�WKH\�RZH�ZKHQ�WKH\�¿OH�QH[W�\HDU"
a. Pay estimated tax payments using Form 1040-ES during the tax year.
E�� 6XEPLW�D�)RUP�:��3�WR�LQFUHDVH�WKH�ZLWKKROGLQJ�RQ�$QGUHZ¶V�SHQVLRQ�
F�� 5HYLVH�$QGUHZ¶V�)RUP�:���WR�LQFUHDVH�WKH�ZLWKKROGLQJ�RQ�KLV�ZDJHV�
d. Any of the above.
Retest Questions R-17
Directions
7KH�¿UVW�WKUHH�VFHQDULRV�GR�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for each scenario carefully and use your training and resource materials to answer the questions after the scenarios.
Advanced scenario 1: Jacob McPherson
interview notes
-DFRE�VROG�VRPH�VWRFN�WKLV�\HDU��DQG�KDV�FRPH�WR�\RX�WR�SUHSDUH�KLV�WD[�UHWXUQ�
3'4�VWRFN�
�� -DFRE�LQKHULWHG�����VKDUHV�RI�3'4�VWRFN�IURP�KLV�JUHDW�XQFOH�7KRPDV�ZKR�GLHG�RQ�March 7, 2011.
�� *UHDW�XQFOH�7KRPDV¶�EDVLV�ZDV�����SHU�VKDUH�
�� 7KH�IDLU�PDUNHW�YDOXH�RQ�WKH�GDWH�RI�GHDWK�ZDV�����SHU�VKDUH�
�� -DFRE�VROG�����VKDUHV�RI�3'4�RQ�-XO\���������
ABC stock:
�� 2Q�)HEUXDU\����������-DFRE�VROG�����VKDUHV�RI�$%&�VWRFN��ZKLFK�KH�SXUFKDVHG�LQ�1995.
�� -DFRE�GRHV�QRW�NQRZ�WKH�EDVLV�IRU�KLV�$%&�VWRFN��DQG�WKH�EDVLV�LV�QRW�VKRZQ�RQ�WKH�1099-B he received from the broker.
Advanced scenario 1: Retest Questions
1.� 7KH�JDLQ�RU�ORVV�RQ�WKH�VDOH�RI�-DFRE¶V�LQKHULWHG�3'4�VWRFN�LV�
a. Short-term
E�� /RQJ�WHUP
2.� :KDW�LV�WKH�FRVW�RU�RWKHU�EDVLV�RI�WKH�LQKHULWHG�3'4�VWRFN�WKDW�-DFRE�VROG�LQ�����"��BBBBB
3.� -DFRE�GRHV�QRW�NQRZ�WKH�EDVLV�RI�KLV�$%&�VWRFN��:KDW�FDQ�KH�GR"
a. He can contact his broker for help calculating his basis.
E�� +H�FDQ�XVH����DV�KLV�EDVLV�
c. He can calculate his basis by locating and reviewing all of the relevant ABC stock records.
d. Any of the above.
Retest QuestionsR-18
Advanced scenario 2: Ross and Mary Campbell
interview notes
�� 5RVV�DQG�0DU\�ZLOO�¿OH�D�MRLQW�UHWXUQ�
�� 5RVV�DQG�0DU\�SXUFKDVHG�WKHLU�KRPH�LQ������IRU����������
�� ,Q�������5RVV�DQG�0DU\�DGGHG�D�VZLPPLQJ�SRRO�DW�D�FRVW�RI���������
�� ,Q�������WKH\�UHSDLUHG�WKH�GLVKZDVKHU�DW�D�FRVW�RI������
�� 5RVV�DQG�0DU\�OLYHG�LQ�WKH�KRXVH�DV�WKHLU�PDLQ�KRPH�XQWLO�WKH\�VROG�LW�RQ�-XQH�����2011.
�� 5RVV�DQG�0DU\�VROG�WKH�KRPH�IRU����������DQG�UHFHLYHG�D�)RUP������6�UHSRUWLQJ�the sale.
�� 5RVV�DQG�0DU\�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Advanced scenario 2: Retest Questions
4.� :KDW�LV�5RVV�DQG�0DU\¶V�DGMXVWHG�EDVLV�LQ�WKH�KRPH"
D�� ��������
E�� ��������
F�� ��������
G�� ��������
5. Ross and Mary can deduct a loss on the sale of their home.
a. True
b. False
Retest Questions R-19
Advanced scenario 3: Gabriella Lafayette
interview notes
�� 2Q�-DQXDU\����������*DEULHOOD�SXUFKDVHG�������VKDUHV�RI�WKH�$%&�PXWXDO�IXQG�IRU����������
�� 2Q�'HFHPEHU�����������WKH�IXQG�SDLG�D�FDSLWDO�JDLQ�GLVWULEXWLRQ�RI������WKDW�ZDV�reinvested to purchase an additional 100 shares.
�� 7KH�IXQG�GLG�QRW�SD\�GLYLGHQGV�
�� *DEULHOOD�UHFHLYHG�)RUP������',9�UHSRUWLQJ�WKH�FDSLWDO�JDLQ�GLVWULEXWLRQ��DQG�D�\HDU�HQG�VWDWHPHQW�VKRZLQJ��������DV�WKH�'HFHPEHU�����������YDOXH�RI�KHU�������shares.
�� 7KLV�LV�*DEULHOOD¶V�RQO\�LQYHVWPHQW�DFFRXQW�DQG�VKH�GLG�QRW�VHOO�DQ\�VKDUHV�LQ������
Advanced scenario 3: Retest Questions
6.� :KDW�LV�WKH�WRWDO�EDVLV�RI�DOO�*DEULHOOD¶V�$%&�PXWXDO�IXQG�VKDUHV�KHOG�RQ�'HFHPEHU���������"�
D�� ������
E�� �������
F�� �������
G�� �������
7.� 7KH�GHFOLQH�LQ�YDOXH�RI�*DEULHOOD¶V�LQYHVWPHQW�UHVXOWHG�LQ�D�GHGXFWLEOH�ORVV�RQ�KHU�2011 Form 1040, line 13.
a. True
b. False
8.� :KHUH�RQ�WKH�WD[�UHWXUQ�VKRXOG�*DEULHOOD¶V�'HFHPEHU����FDSLWDO�JDLQ�GLVWULEXWLRQ�DSSHDU"
a. As a dividend on Form 1040, line 9a
b. As a capital gain distribution on Form 1040, line 13
c. As other income on Form 1040, line 21
d. The distribution is not reported because the shares were reinvested.
Retest QuestionsR-20
Advanced scenario 4: Retest Questions
Directions
Refer to the scenario information for Nathan and Phoebe Wheeler, beginning on page 3-5.
Complete Form 1040 and the appropriate forms, schedules, and worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
9.� 7KH�KROGLQJ�SHULRGV�IRU�1DWKDQ�DQG�3KRHEH¶V�VWRFN�DUH�DV�IROORZV�
a. ABC is long-term and XYZ is short-term
b. ABC is short-term and XYZ is long-term
c. Both ABC and XYZ are short-term
d. Both ABC and XYZ are long-term
10. What is the amount of net capital gain (or loss) that appears on Form 1040, line ��"���BBBBBB
11.� 7KH�GLVDELOLW\�LQFRPH�IURP�3KRHEH¶V�)RUP������5�VKRXOG�DSSHDU�RQ�ZKLFK�OLQH�RI�)RUP�����"�
a. Report as Wages on line 7
b. Report as Pension on line 16b
c. Report as Other income on line 21
G�� 'LVDELOLW\�LQFRPH�LV�QRW�UHSRUWHG
12.�7KH�LQWHUHVW�LQFRPH�IURP�1DWKDQ¶V�6FKHGXOH�.����)RUP�����6��VKRXOG�DSSHDU�RQ�Form 1040, line 8a, Taxable interest.
a. True
b. False
13.�:KDW�DPRXQW�RI�HDUQHG�LQFRPH��LI�DQ\��LV�XVHG�WR�FDOFXODWH�WKH�:KHHOHUV¶�(,&"�
D�� ��
E�� ������
F�� �������
G�� �������
14.�+RZ�PXFK��LI�DQ\��RI�WKH���������GLVWULEXWLRQ�UHSRUWHG�RQ�1DWKDQ¶V�)RUP������5�LV�LQFOXGHG�RQ�)RUP�������OLQH���E"���BBBBBB
15. What amount, if any, should Nathan report as gambling income on Form 1040, line ��"��BBBBBB
Retest Questions R-21
Directions
7KH�¿UVW�VFHQDULR�GRHV�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for the scenario carefully and use your training and resource materials to answer the questions.
Military scenario 1: Benjamin and Avery Merrimack
interview notes
�� %HQMDPLQ�DQG�$YHU\�OLYH�LQ�'HQYHU��&RORUDGR��ZKHUH�%HQMDPLQ�MRLQHG�WKH�$LU�)RUFH��+H�¿QLVKHG�KLV�WUDLQLQJ�DQG�ZLOO�EH�VWDWLRQHG�LQ�7XFVRQ��$UL]RQD��IRU�WZR�\HDUV��7KLV�is a permanent change of station (PCS).
�� 7KH\�GHFLGHG�WR�PDNH�D�'R�,W�<RXUVHOI��',7<��PRYH�DQG�VDYH�PRQH\��
�� 2Q�-XQH����%HQMDPLQ�DQG�$YHU\�SDFNHG�DOO�WKHLU�EHORQJLQJV�DQG�EHJDQ�GULYLQJ�IURP�'HQYHU�WR�7XFVRQ��2Q�WKH�ZD\��WKH\�PDGH�D�VLGH�WULS�WR�WKH�*UDQG�&DQ\RQ�WR�VHH�WKH�VLJKWV��7KHLU�WULS�WRRN�D�WRWDO�RI�VL[�GD\V�DQG�¿YH�QLJKWV�LQVWHDG�RI�WKH�DXWKRUL]HG�two days and one night.
�� 7KHLU�PRYH�ZDV�HVWLPDWHG�WR�FRVW���������DQG�WKH�$LU�)RUFH�SURYLGHG��������LQ�advance.
�� 7KH�0HUULPDFNV�GURYH�D�WRWDO�RI�������PLOHV��7KH�VKRUWHVW��PRVW�GLUHFW�URXWH�IURP�'HQYHU�WR�7XFVRQ�LV�����PLOHV��7KHLU�FRVW�IRU�WKH�PRYLQJ�WUXFN�ZDV���������7KHLU�FRVW�IRU�ORGJLQJ�ZDV�����SHU�QLJKW��ZKLFK�LV�FRQVLGHUHG�D�UHDVRQDEOH�H[SHQVH��%HQMDPLQ�DQG�$YHU\�VSHQW������RQ�IRRG�GXULQJ�WKH�WULS�
�� %HQMDPLQ�DQG�$YHU\�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
Military scenario 1: Retest Questions
1. The difference between the amount advanced and the allowable costs incurred will be reported on a Form W-2.
a. True
b. False
2. Which of the following are not�TXDOL¿HG�PRYLQJ�H[SHQVHV�IRU�%HQMDPLQ�DQG�$YHU\"
D�� ����LQ�ORGJLQJ�FRVWV
E�� �����IRU�PLOHDJH
F�� �������IRU�D�PRYLQJ�WUXFN
G�� �����IRU�IRRG
Retest QuestionsR-22
Military scenario 2: Retest Questions
Directions
5HIHU�WR�WKH�VFHQDULR�LQIRUPDWLRQ�IRU�/XFDV�DQG�.DWDULQD�%HQWRQ�EHJLQQLQJ�RQ�SDJH������
Please complete Form 1040 through line 37 and the appropriate forms, schedules, or worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU�
3.� :KLFK�RI�WKH�IROORZLQJ�LV�XVHG�WR�FDOFXODWH�WKH�WD[DEOH�SRUWLRQ�RI�/XFDV¶�SHQVLRQ"
D�� /XFDV¶�FXUUHQW�DJH
E�� /XFDV¶�DQG�.DWDULQD¶V�FXUUHQW�DJHV
F�� /XFDV¶�DQG�.DWDULQD¶V�DJHV�DW�WKH�DQQXLW\�VWDUWLQJ�GDWH
d. The age of the younger spouse
4.� 7KH�WD[DEOH�SHQVLRQ�DPRXQW�UHSRUWHG�RQ�)RUP�������OLQH���E�LV����������
a. True
b. False
5.� :KDW�LV�WKH�FRUUHFW�DPRXQW�RI�ZDJHV�UHSRUWHG�RQ�)RUP�������OLQH��"�BBBBB
6.� :KDW�LV�.DWDULQD¶V�UHQWDO�UHDO�HVWDWH�LQFRPH�UHSRUWHG�LQ�WKH�,QFRPH�VHFWLRQ�RI�)RUP�����"�
D�� ������
E�� ������
F�� ������
G�� ������
7.� .DWDULQD¶V�XQUHLPEXUVHG�UHVHUYLVW�H[SHQVHV�DUH�DQ�DGMXVWPHQW�WR�LQFRPH�EHFDXVH��
D�� .DWDULQD�KDG�WR�WUDYHO�PRUH�WKDQ�����PLOHV�IRU�UHVHUYLVW�WUDLQLQJ�
E�� 7KH�XQUHLPEXUVHG�H[SHQVHV�RI�DQ\�UHVHUYLVW�DUH�DQ�DGMXVWPHQW�WR�LQFRPH�
F�� &RPSXWHU�WHFKQRORJ\�RFFXSDWLRQV�LQ�WKH�PLOLWDU\�TXDOLI\�WR�WDNH�WKHLU�UHVHUYLVWV¶�H[SHQVHV�DV�DQ�DGMXVWPHQW�WR�LQFRPH�
G�� $OO�HPSOR\HH�EXVLQHVV�H[SHQVHV�DUH�DQ�DGMXVWPHQW�WR�LQFRPH�
8.� 7KH�FRUUHFW�VWDQGDUG�PLOHDJH�UDWH�XVHG�WR�FRPSXWH�.DWDULQD¶V�$UP\�UHVHUYLVW�vehicle expense is 23.5 cents per mile.
a. True
b. False
9.� 7KH�WRWDO�DGMXVWPHQWV�WR�JURVV�LQFRPH�RQ�)RUP������DUH��BBBBB��
Retest Questions R-23
Military scenario 3: Retest Questions
Directions
5HIHU�WR�WKH�VFHQDULR�LQIRUPDWLRQ�IRU�6HEDVWLHQ�DQG�0LFKHOOH�'HFDWXU��EHJLQQLQJ�RQ�page 4-10.
Please complete Form 1040 and the appropriate forms, schedules, and worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'�� ,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
10.�6LQFH�6HEDVWLHQ�ZDV�GHSOR\HG�DOO�RI�������6HEDVWLHQ�DQG�0LFKHOOH�DVN�ZKDW�¿OLQJ�VWDWXV�WKH\�VKRXOG�XVH��:KDW�LV�\RXU�UHVSRQVH"
D�� 0LFKHOOH�DQG�6HEDVWLHQ�VKRXOG�¿OH�0DUULHG�)LOLQJ�-RLQWO\�EHFDXVH�WKH\�ZLOO�JHW�D�ODUJHU�UHIXQG�WKDQ�LI�WKH\�¿OHG�0DUULHG�)LOLQJ�6HSDUDWHO\�
E�� 0LFKHOOH�DQG�6HEDVWLHQ�FDQ�HDFK�FKRRVH�WR�¿OH�DV�6LQJOH��LI�WKH\�ZDQW�
F�� 0LFKHOOH�FDQ�¿OH�DV�+HDG�RI�+RXVHKROG�EHFDXVH�6HEDVWLHQ�ZDV�GHSOR\HG�DOO�year and had no taxable income.
G�� 0LFKHOOH�DQG�6HEDVWLHQ�FDQ�HDFK�¿OH�DV�+HDG�RI�+RXVHKROG�EHFDXVH�WKH\�KDYH�two children.
11. Interest income can be included in earned income for the purpose of computing EIC.
a. True
b. False
12.�:KDW�LV�WKH�'HFDWXUV¶�PD[LPXP�DPRXQW�RI�(,&"
D�� ������
E�� ������
F�� ������
G�� ������
13.�:KDW�LV�WKH�'HFDWXUV¶�LQFRPH�UHSRUWHG�RQ�)RUP�������OLQH��"
D�� �������
E�� �������
F�� ������
G�� ����
14. The holding period for the sale of stock is long term.
a. True
b. False
15.�7KH�DPRXQW�RI�0LFKHOOH¶V�FDSLWDO�JDLQ�RQ�WKH�LQKHULWHG�VWRFN�LV��BBBBBBB�
Retest QuestionsR-24
Directions
7KH�¿UVW�WKUHH�VFHQDULRV�GR�QRW�UHTXLUH�\RX�WR�SUHSDUH�D�WD[�UHWXUQ��Read the interview notes for each scenario carefully and use your training and resource materials to answer the questions after the scenarios.
international scenario 1: Gary and susanne Drake
interview notes
�� *DU\�LV�D�8�6��FLWL]HQ�DQG�KDV�D�YDOLG�VRFLDO�VHFXULW\�QXPEHU��*DU\�DQG�6XVDQQH�DUH�married and live in Switzerland.
�� 6XVDQQH�LV�D�6ZLVV�IRUHLJQ�QDWLRQDO��FLWL]HQ�RI�6ZLW]HUODQG��
�� *DU\¶V�WRWDO�LQFRPH�ZDV���������
�� 6XVDQQH�KDV�DQ�,7,1�EXW�KDG�QR�LQFRPH�DQG�KDV�QHYHU�OLYHG�LQ�WKH�8�6�
�� *DU\¶V����\HDU�ROG�GDXJKWHU��&KORH��OLYHV�ZLWK�WKHP��&KORH¶V�PRWKHU�GLHG�LQ�������Chloe is a U.S. citizen and has a valid social security number.
�� 6XVDQQH�KDV�D���\HDU�ROG�VRQ��6SHQFHU��ZKR�LV�D�6ZLVV�FLWL]HQ��+H�OLYHG�ZLWK�*DU\�and Susanne in Switzerland for all of 2011.
�� *DU\�LV�QRW�6SHQFHU¶V�IDWKHU�DQG�KDV�QRW�DGRSWHG�KLP�
�� *DU\�SURYLGHG�DOO�WKH�¿QDQFLDO�VXSSRUW�IRU�6XVDQQH��&KORH��DQG�6SHQFHU�
international scenario 1: Retest Questions
1.� ,I�*DU\�¿OHV�DV�+HDG�RI�+RXVHKROG��ZKR�ZRXOG�EH�KLV�TXDOLI\LQJ�SHUVRQ"
a. Susanne, because she is his nonresident alien spouse.
E�� &KORH��EHFDXVH�VKH�LV�*DU\¶V�TXDOLI\LQJ�FKLOG�
c. Spencer, because he lived with Gary.
G�� *DU\�LV�QRW�HOLJLEOH�WR�¿OH�DV�+HDG�RI�+RXVHKROG�
2.� ,I�*DU\�DQG�6XVDQQH�GR�QRW�¿OH�D�MRLQW�UHWXUQ��*DU\�FDQ�¿OH�DV�+HDG�RI�+RXVHKROG�and claim a personal exemption for Susanne.
a. True
b. False
3. Gary can claim a dependency exemption for Spencer.
a. True
b. False
Retest Questions R-25
4.� :KR�FDQ�FODLP�&KORH�DV�D�GHSHQGHQW"
a. No one can claim Chloe as a dependent
b. Gary, because Chloe is his qualifying relative
c. Gary, because Chloe is his qualifying child
d. Chloe can claim her own exemption
international scenario 2: sam and Karen Floyd
interview notes
�� 6DP�DQG�.DUHQ�)OR\G�FXUUHQWO\�OLYH�LQ�)UDQNIXUW��*HUPDQ\��7KH\�PRYHG�WKHUH�RQ�-DQXDU\�����������IRU�.DUHQ¶V�WHPSRUDU\�MRE�DVVLJQPHQW��7KH\�DUH�8�6��FLWL]HQV�DQG�have valid social security numbers.
�� 1HLWKHU�6DP�QRU�.DUHQ�ZRUN�IRU�WKH�8�6��JRYHUQPHQW�
�� 7KH\�OHIW�IRU�D�YLVLW�WR�WKH�8�6��RQ�6HSWHPEHU����������DQG�UHWXUQHG�WR�)UDQNIXUW�RQ�September 19, 2011.
�� 7KH\�DOVR�VSHQW����GD\V�RQ�D�VNL�YDFDWLRQ�LQ�$XVWULD�LQ�'HFHPEHU��
�� 7KH�KRPH�6DP�DQG�.DUHQ�RZQ�LQ�WKH�8�6��LV�EHLQJ�UHQWHG�RXW��6DP�DQG�.DUHQ�OLYH�in an apartment in Frankfurt.
international scenario 2: Retest Questions
5. When calculating the 330 full days in a foreign country for the physical presence test, KRZ�DUH�WKH����GD\V�VSHQW�RQ�WKH�$XVWULDQ�VNL�YDFDWLRQ�WUHDWHG"
D�� 7KH�¿UVW�DQG�ODVW�GD\V�RI�WKH�WULS�GR�QRW�FRXQW�DV�GD\V�VSHQW�LQ�D�IRUHLJQ�FRXQWU\
b. The days are not counted as days spent in a foreign country
c. The days are counted as days spent in a foreign country
d. Only 7 of the 14 days count as days spent in a foreign country
6.� 6DP�DQG�.DUHQ�PHHW�WKH�UHTXLUHPHQWV�RI�WKH�SK\VLFDO�SUHVHQFH�WHVW�DQG�FDQ�exclude their foreign earned income.
a. True
b. False
Retest QuestionsR-26
international scenario 3: John and Laura Morton
interview notes
�� -RKQ�DQG�/DXUD�DUH�PDUULHG�DQG�SODQ�WR�¿OH�D�MRLQW�UHWXUQ�
�� -RKQ¶V�ELUWK�GDWH�LV�)HEUXDU\���������
�� /DXUD¶V�ELUWK�GDWH�LV�-XQH���������
�� /DXUD�UHWLUHG�RQ�'HFHPEHU�����������DQG�EHJDQ�GUDZLQJ�D�PRQWKO\�SHQVLRQ�LQ�-DQXDU\������
�� 7KH�SHQVLRQ�SODQ�LV�D�TXDOL¿HG�SODQ�DQG�ZLOO�EH�SDLG�DV�D�MRLQW�DQG�VXUYLYRU�DQQXLW\�RYHU�/DXUD¶V�DQG�-RKQ¶V�OLIHWLPHV�
�� 7KH�JURVV�GLVWULEXWLRQ�UHSRUWHG�RQ�)RUP������5�IRU������ZDV���������
�� 7KH�WRWDO�HPSOR\HH�FRQWULEXWLRQ�WR�WKH�SODQ�ZDV���������
�� -RKQ�DQG�/DXUD�DUH�8�6��FLWL]HQV�DQG�KDYH�YDOLG�VRFLDO�VHFXULW\�QXPEHUV�
international scenario 3: Retest Questions
7.� :KRVH�DJH�V��PXVW�EH�XVHG�WR�FRPSXWH�WKH�WD[DEOH�SRUWLRQ�RI�/DXUD¶V�SHQVLRQ"
D�� %RWK�-RKQ¶V�DQG�/DXUD¶V
E�� /DXUD¶V
F�� -RKQ¶V
d. Age is not a factor in the computation
8.� 7KH�WD[DEOH�SRUWLRQ�RI�/DXUD¶V�SHQVLRQ�GLVWULEXWLRQ�LV���������
a. True
b. False
Retest Questions R-27
international scenario 4: Retest Questions
Directions
5HIHU�WR�WKH�VFHQDULR�LQIRUPDWLRQ�IRU�'DYLG�DQG�0LULDP�)XOWRQ��EHJLQQLQJ�RQ�SDJH�����
Please complete Form 1040 and the appropriate forms, schedules, and worksheets to answer each of the following questions.
Note: When using the Link and Learn Taxes Practice Lab, complete the social security QXPEHUV�DQG�HPSOR\HU�LGHQWL¿FDWLRQ�QXPEHUV�E\�UHSODFLQJ�WKH�;V�ZLWK�\RXU�8VHU�,'��,Q�FODVVURRP�VLWXDWLRQV��UHSODFH�WKH�;V�ZLWK�WKH�(),1�SURYLGHG�E\�\RXU�LQVWUXFWRU��
9.� :KDW�DUH�WKH�VWDUW�DQG�HQG�GDWHV�IRU�WKH�)XOWRQV¶�ERQD�¿GH�UHVLGHQFH�RQ�)RUP������(=��OLQH��E"
a. 01/01/2011, 12/31/2011
b. 01/20/2006, 12/31/2006
c. 01/20/2006, 12/31/2011
d. 01/20/2006, Continues
10.�:KDW�LV�WKH�DPRXQW�RI�ZDJHV�UHSRUWHG�RQ�WKH�)XOWRQV¶�)RUP�������OLQH��"
D�� �������
E�� �������
F�� �������
G�� �������
11. Miriam can claim the foreign earned income exclusion for her U.S. government salary.
a. True
b. False
12.�'DYLG�DQG�0LULDP�ZLOO�WDNH�WKH�IRUHLJQ�HDUQHG�LQFRPH�H[FOXVLRQ��+RZ�VKRXOG�WKH��������'DYLG�SDLG�LQ�LQFRPH�WD[HV�WR�WKH�8�.��EH�KDQGOHG�RQ�WKH�)XOWRQV¶�WD[�UHWXUQ"
D�� 'DYLG�DQG�0LULDP�FDQQRW�WDNH�D�IRUHLJQ�WD[�FUHGLW�EHFDXVH�WKH�WD[�ZDV�SDLG�RQ�income excluded under the foreign earned income exclusion.
E�� 'DYLG�DQG�0LULDP�FDQ�LQFOXGH�WKH��������LQ�IHGHUDO�LQFRPH�WD[�ZLWKKROGLQJ�RQ�Form 1040.
F�� 'DYLG�DQG�0LULDP�FDQ�FODLP�WKH�IXOO��������DV�D�IRUHLJQ�WD[�FUHGLW�ZLWKRXW�completing the Form 1116.
G�� 'DYLG�DQG�0LULDP�FDQQRW�FODLP�D�IRUHLJQ�WD[�FUHGLW�EHFDXVH�WKH�DPRXQW�RI�WD[HV�SDLG�LV�RYHU������
Retest QuestionsR-28
13. The correct amount reported on the Other Income line on Form 1040, page 1 is:
D�� ���������
E�� ����������
F�� ����������
G�� ����������
14.�7KH�FDSLWDO�JDLQ�RU�ORVV�RQ�6FKHGXOH�'�LV�ORQJ�WHUP�
a. True
b. False
15.�'DYLG�DQG�0LULDP�KDYH�D�FDSLWDO�ORVV�RI����������RQ�6FKHGXOH�'�
a. True
b. False
/LQN��/HDUQ�7D[HV�IRU������LQFOXGHV�
�� $FFHVV�WR�VHYHQ�9,7$�7&(�FRXUVHV
�� �(DV\�LGHQWLILFDWLRQ�RI�WKH�9,7$�7&(�FRXUVHV�ZLWK�WKH�FRXUVH�LFRQV
� �� �$V�\RX�SURJUHVV�WKURXJK�D�OHVVRQ��WKH�%DVLF��,QWHUPHGLDWH��$GYDQFHG��0LOLWDU\��DQG�,QWHUQDWLRQDO�LFRQV�ZLOO�GLVSOD\��GHSHQGLQJ�RQ�\RXU�OHYHO�RI�FHUWLILFDWLRQ�
�� �3RZHU3RLQW�SUHVHQWDWLRQV�WKDW�FDQ�EH�FXVWRPL]HG�WR�ILW�\RXU�FODVVURRP�QHHGV�
�� �9,7$�7&(�&HQWUDO�WR�SURYLGH�FHQWUDOL]HG�DFFHVV�IRU�WUDLQLQJ�PDWHULDOV�DQG�UHIHUHQFH�OLQNV�
�� �7KH�3UDFWLFH�/DE
� ±� �*LYHV�YROXQWHHUV�SUDFWLFH�ZLWK�DQ�HDUO\�YHUVLRQ�RI�WKH�,56�SURYLGHG�WD[�SUHSDUDWLRQ�VRIWZDUH
� ±� �/HWV�YROXQWHHUV�FRPSOHWH�ZRUNERRN�SUREOHPV�IURP�3XEOLFDWLRQ������:
� ±� �/HWV�YROXQWHHUV�SUHSDUH�WHVW�VFHQDULR�UHWXUQV�IRU�WKH�WH[W�UHWHVW
Link & Learn Taxes/LQN��/HDUQ�7D[HV�LV�ZHE�EDVHG�WUDLQLQJ��GHVLJQHG�VSHFLILFDOO\�IRU�9,7$�7&(�YROXQWHHUV��(DFK�YROXQWHHU¶V�DELOLW\�WR�SUHSDUH�FRPSOHWH�DQG�DFFXUDWH�UHWXUQV�LV�YLWDO�WR�WKH�FUHGLELOLW\�DQG�LQWHJULW\�RI�WKH�SURJUDP��/LQN��/HDUQ�7D[HV��DV�SDUW�RI�WKH�FRPSOHWH�YROXQWHHU�WUDLQLQJ�NLW��SURYLGHV�WKH�SDWK�WR�DFKLHYLQJ�WKLV�KLJK�OHYHO�RI�TXDOLW\�VHUYLFH�WR�WD[SD\HUV�
/LQN��/HDUQ�7D[HV�DQG�WKH�SULQWHG�WHFKQLFDO�WUDLQLQJ�JXLGH��3XEOLFDWLRQ�������ZRUN�WRJHWKHU�WR�KHOS�YROXQWHHUV�OHDUQ�DQG�SUDFWLFH�
� *R�WR�ZZZ�LUV�JRY��W\SH�
³/LQN��/HDUQ´�LQ�WKH�.H\ZRUG�ILHOG�
DQG�FOLFN�6HDUFK��<RX¶OO�ILQG�D�GHWDLOHG�
RYHUYLHZ�DQG�OLQNV�WR�WKH�FRXUVHV�
�� �)6$��)DFLOLWDWHG�6HOI�$VVLVWDQFH��HPSRZHUV�WD[SD\HUV�WR�SUHSDUH�WKHLU�RZQ�UHWXUQ�ZLWK�WKH�DVVLVWDQFH�RI�D�FHUWLILHG�YROXQWHHU��7D[SD\HUV�FRPSOHWH�WKHLU�RZQ�UHWXUQ�XVLQJ�LQWHUYLHZ�EDVHG�VRIWZDUH�VXSSOLHG�E\�OHDGHUV�LQ�WKH�WD[�SUHSDUDWLRQ�LQGXVWU\���9ROXQWHHUV�DVVLVW�WD[SD\HUV�ZLWK�WD[�ODZ�DQG�VRIWZDUH�TXHVWLRQV�
�� 9LUWXDO�9,7$�DOORZV�SDUWQHUV�WR�LQLWLDWH�WKH�LQWDNH�SURFHVV�IRU�WD[SD\HUV�LQ�RQH�ORFDWLRQ��ZKLOH�XWLOL]LQJ�D�FHUWLILHG�YROXQWHHU�WR�SUHSDUH�WKH�UHWXUQ�LQ�DQ�HQWLUHO\�GLIIHUHQW�ORFDWLRQ��%\�LQFRUSRUDWLQJ�WKLV�IOH[LELOLW\��SDUWQHUV�FDQ�SURYLGH�WD[SD\HUV�ZLWK�PRUH�FRQYHQLHQW�ORFDWLRQV�WR�ILOH�WKHLU�WD[HV��
)RU�PRUH�LQIRUPDWLRQ�FRQWDFW�\RXU�63(&�5HODWLRQVKLS�0DQDJHU�WR�VHH�LI�\RX�VKRXOG�VWDUW�D�)6$�RU�9LUWXDO�9,7$�VLWH�LQ�\RXU�FRPPXQLW\��
www.irs.gov
Your online resource for
volunteer and taxpayer
assistance
The Volunteer Resource Center
(Keyword: Community Network)
● Hot topics for volunteers and partners
● Site Coordinator’s Corner
● Volunteer Tax Alerts
● Volunteer Training Resources
● EITC Information for Partners
●
Tax Information for Individuals
(Keyword: Individuals)
●
● Where’s My Refund
● EITC Assistant - Available in English and Spanish
● Tax Trails for Answers to common tax questions
● Alternative Minimum Tax (AMT) Assistant
● Interactive Tax Assistant (ITA)
and much more!
Your direct link to tax information
24/7 www.irs.gov