[gtown2010]

Hey guys, I just wanted to run something by you to make sure I’m not crazy.

I’m doing some Becker MCQs for REG (test is Tuesday) and I came across this one:

“Bob and Nancy Goldberg are both age 67 and file a joint return. For the current year, the regular standard deduction for a couple married filing jointly is $11,400. What is the maximum standard deduction available to Bob and Nancy?”

A) $11,400

B) $12,500

C) $12,800

D) $13,600

Correct answer is D, which I selected, but I thought the answer should be $13,700. The available std deduction for the year is $11,400. When a couple is MFJ and both above 65, I thought the increase in the standard deduction was $2,300. When I go to the “eBook” it affirms my thoughts. The explanation, however states the following:

“They are entitled to the additional standard deduction of $1,100 each in addition to the regular amount.”

Anyways, question is, is this a typo, or is this a rule I’m unaware of?

FAR: 84
REG: 85
BEC: 83
AUD: 10/12/12

[Anonymous]

I am only familiar with it being $2,200 when MFJ. I think the $2,300 you saw elsewhere is a typo.

[Anonymous]

Those exemption change every year, In 2012 it is $ $1,150 for blind or elederly and $2,300 for both.

[gtown2010]

Thanks, Nam. I thought about that. I'm hoping on the exam they will make that clear, or make the answer obvious like they did in my question.

FAR: 84
REG: 85
BEC: 83
AUD: 10/12/12

[Anonymous]

This is one of the very few questions on Becker that I've found that actually requires you to know the specific dollar amount of something. I was able to guess the answer just based on my general idea of what the extra exemption was, but what would you guys recommend in terms of the specific numbers to memorize for the test?

[Anonymous]

I wouldn’t waste any more brain cells trying to memorize the amounts, because they change almost every year. I remember in one of the Becker lectures Tim Geatry saying that the CPA exam rarely asks for dollar amounts because they don’t want to re-do the questions every year. Hope he is right!

[gtown2010]

I hope, or at least I hope the answer is pretty obvious like above.

FAR: 84
REG: 85
BEC: 83
AUD: 10/12/12

[Author]

Replies