Asked by Leston Alexis on Jul 16, 2024
Verified
Which of the following would disqualify a taxpayer from filing a Form 1040EZ?
A) The taxpayer was single.
B) The taxpayer has interest income of $1,900.
C) The taxpayer was age 63.
D) The taxpayer had no dependents.
Form 1040EZ
A simplified tax form for U.S. taxpayers with straightforward tax situations, but it was phased out after the 2017 tax year.
Taxpayer
A taxpayer is an individual or entity that is obligated to pay taxes to a federal, state, or municipal government body, based on earned income, property ownership, or consumption of goods and services.
Interest Income
Income earned from lending funds or depositing funds in interest-bearing accounts, subject to taxation.
- Identify the eligibility criteria for filing different types of tax forms.
Verified Answer
BF
Brandon FajardoJul 19, 2024
Final Answer :
B
Explanation :
The availability of Form 1040EZ is limited to taxpayers with very basic tax situations. Taxpayers are ineligible if they have income from sources other than wages, tips, taxable scholarship, and fellowship grants, or if their income exceeds $100,000, and have income from dividends, capital gains or losses. Interest income over $1,500 also disqualifies a taxpayer from filing Form 1040EZ. Therefore, option (B) disqualifies a taxpayer from filing Form 1040EZ.
Learning Objectives
- Identify the eligibility criteria for filing different types of tax forms.