Military
Question 29 of 81.
Parker, an active duty servicemember, receives student loan repayment benefits of $4,000 annually. In August 2023, Parker was deployed to Afghanistan and remained there through the end of the year. How much of Parker’s student loan repayment benefits are nontaxable, due to his service in a combat zone for 2023?
$1,667
$2,000
$2,333
$4,000
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Question 30 of 81.
Which of the following is an accurate statement regarding the filing of a joint tax return for military families?
One spouse can prepare and sign the return and then send it to the other spouse to sign and file.
The spouse of a member of the military may never sign for the servicemember on a joint return.
The spouse of a member of the military may sign a joint return if the servicemember is serving in overseas and the spouse is still stateside.
The spouse of a member of the military never needs a power of attorney (POA) in order to file an MFJ tax return.
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Question 31 of 81.
If a servicemember dies while on active duty, all of the following allowances are available to surviving family members EXCEPT:
Burial services for the deceased servicemember.
Death gratuity payments for eligible survivors.
Interment and a burial marker at any cemetery for the servicemember's direct descendants.
Travel of dependents to the servicemember's burial site.
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Question 32 of 81.
If a servicemember receives reimbursement for moving expenses, how will the amount be reported to them?
On Form 1099-MISC in box 3.
On Form 1099-NEC in box 1.
On Form W-2 with code P in box 12.
The amount is not reported as it is not taxable income.
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Question 33 of 81.
Xavier Serbia was deployed in a combat zone for all of 2023. He is married and has two children. Xavier's nontaxable combat pay in 2023 is $25,000. His wife worked part-time while Xavier was deployed and earned $9,000. What is the maximum amount of earned income the Serbias can report for Earned Income Tax Credit (EITC) purposes in 2023?
$9,000
$16,000
$25,000
$34,000