Basics Intermediate: Reporting Investment Income on Your Federal Tax Returns

Test your knowledge

Choose wisely. There is only one correct answer to each question.

0%
Keep studying!
Review your answers below to learn more.
1.
IRS Publication 590 covers _______.
Choose wisely. There is only one correct answer.
Individual retirement accounts. Publication 590 is your guide for IRA tax issues. It is divided into two versions -- 590a and 590b.
2.
The amount of money you make on an investment over your basis when the investment is sold is called _______.
Choose wisely. There is only one correct answer.
Capital gains. This amount is called capital gains.
3.
The revised 1040 form now includes how many schedules for recording additional information?
Choose wisely. There is only one correct answer.
3. The 1040 now includes a new set of three schedules on which you will record adjustments, credits, taxes, and other information.
4.
If you earned income from dividends last year, you will need to fill out IRS Form 1099-R to report them.
Choose wisely. There is only one correct answer.
False. If you earned income from dividends last year, you will get Form 1099-DIV in the mail.
5.
To itemize your tax deductions, use ______.
Choose wisely. There is only one correct answer.
Schedule A. This schedule is used for the separate listing of deductions.