SYSTEM3 7SV 5187 75 A qualified parking fringe benefit can b

SYSTEM3 7SV 5187 75. A qualified parking fringe benefit can be excluded up to a certain limit for 2017? a. b. c. d. Up to $260 per month. Up to $255 per month. Up to $250 per month. Up to $130 per month. 76. Ray commuted to work on his bicycle for six months of the year. What amount may Ray exclude from income for the year? a. $120 b. $130 c. $240 d. $255 77. Taxpayers may use special valuation rules instead of the general valuation rule for certain provided fringe benefits. Which one of the following statements is correct in this regard? a. The commuting rule may be used. b. The safe conditions commuting rule may be used. c. The vehicle dollars-per-mile rule. d. The motorcycle lease rule. 78. Certain military and government disability pensions based on service connected disabilities are not taxable. Which one of the following statements is incorrect in this regard? a. Disability pensions from the U.S. Armed Services are not taxable. b. Disability pensions from the Foreign Service are taxable. c. Disability pensions from the Public Health Service are not taxable. d. Disability pensions from the National Oceanic Administration are not taxable. 79. A housing allowance paid to a clergyman as part of his salary is not income. Which one of the following expenses is not allowed to be excluded from income? a. Utility costs. b. Food costs. c. Furniture payments. d. Rent 17

Solution

SOLUTION 75:- OPTION B $255 PER MONTH

as per section 132(f)(1)(c) qualified parking means any parking provided to the employees on or near to the business premises.

SOLUTION 76:-option a=$120

maximum exclusion is $20 times the period(months) for which bicycle is used for commuting the work.

therefore amount shall be $20*6months=120$

SOLUTION77:- OPTION B

because other three rules are considered in general valuation rules.

SOLUTION 78:- OPTION B

not subjected to income tax who joined the service prior to 9/25/75

SOLUTION 79:- OPTION D RENT

fair rental value of the residence or the place of accomodation shall be included in salary income.