Corrections for Module II
"Becoming the 1040 Expert"
2025 Edition
Dear Students,
Welcome to the Errata and Corrections page for our school's textbook, titled "Becoming the 1040 Expert." We strive for excellence in education, and it is essential to ensure that our learning materials are accurate and up-to-date. While we take great care in publishing our printed textbooks, occasional errors may slip through the editing process.
The purpose of this page is to address and rectify any discrepancies or mistakes that have been identified in the printed version of the textbook. However, we want to assure you that the online version of the book has been diligently updated to reflect the necessary corrections.
Listed below are the specific page numbers and details of the identified errors, along with their corresponding corrections. We encourage all students and teachers to consult this page while referring to the printed textbook to ensure that you have the most accurate and reliable information at hand.
At our school, we believe in continuous improvement, and your feedback plays a vital role in helping us achieve this. If you come across any further errors or have suggestions for improvement, please do not hesitate to bring them to our attention. Together, we can create an even better learning experience for everyone.
Happy learning!
Ken Bostrom
Director of Education and Operations
Universal Accounting Center
Pages 1.28 and 1.42
Question 8
Michael and Lisa paid the following tax payments during the year: Federal withholdings, $6,425; State withholdings, $2,589; State balance due, $578; State balance due (prior year tax return), $871. They also amended a prior-year return and received an additional Federal $325 refund. What is the amount of the tax deduction they will be entitled to on Schedule A?
Page 1.30
Learning Activity 1
Enter on Schedule 1 the Adjustment for one-half of self-employment tax in the amount of $546. This information comes from Form SE and is passed through to Schedule 1, Line 15 (which we will calculate later).
Page 1.31
Table title change
In the Optional State Sales Tax Table, the IRS has changed the subtities from "Personal and Dependent Exemptions" or "Exemptions" to "Family Size".
The two subheadings are:
Income and Family Size
Page 2.25
Error on percent for threshold on medical expenses
In other words, to be deductible, an individual loss must be valued at more than $100, and, as with the 7.5 percent threshold for medical expenses, no losses can be claimed that do not exceed 10% of the taxpayer's adjusted gross income.
Page 4.29
Question 11 Choice (c)
c) 1,218,700
Page 4.38
Question 11 choice c)
Choice (c) should be
c) 1,218,700 - Correct. This is where the AMT exemtion phaseout begins for the 2024 tax year.
Page 5.68
Error on line 13
Line 13 of the Schedule 8812 should be: 5,119
Page 5.69
Credit Limit Worksheet
Three line updates:
Line 1: 6,319
Line 3: 5,119
Line 5: 5,119
Page 6.52
Error on adoption credit limit
In the first two paragraphs, an error occurred with the adoption credit limit. They should read:
"... the total amount of the allowable credit and/or exclusion is still $16,810."
".. each of them can be worth as much as the full $16,810."
Page 7.1
Clarifying information
FICA is the Federal Insurance Compensation Act.
Page 7.8
Correction to Line 12.
Line 12. Multiply the amount on Line 6 by the Medicare tax rate (.0145).
Page 7.14
Filing Status Corrected
Corrected the Filing Status in the table to MFJ.
Page 7.15
Corrected Acronym
So Minnie, and only Minnie, can make an additional contribution of $14,580 to her ABLE account: the lesser of her $15,000 earnings or the FPL for one-person household of $14,580.
Pages 7.38 and 7.46
Error on Question 4 answer (b)
The answer should state "net income more than $400."
Page 8.14
Corrections
The first bullet point should read:
"Complete Form 8867, Paid Preparer's Due Diligence Checklist, or a similar form that provides the same information, and file it with the tax return."
In the last paragraph, it should read:
"The IRS expects you to tell them which taxpayer documents you relied upon to make your assessment for eligibility, and to keep a copy of those documents for at least three years as discussed above."
Page 8.17
Correction
Under the TCJA, the threshold amount for taxpayers indexed for inflation set at $2,500 for 2024, and can be worth up to 15% of earned income, up to $1,700 per qualifying child."
Page 8.74
Form Information
Added the name (Jessica Fraim) and SSN (880-11-2992) to the form.
Page 9.10
Correction
On Line 34, the amount of the taxpayers' overpayment is calculated by subtracting total tax liability (Line 24) from total tax payments and credits (Line 33), assuming that Line 33 is more than Line 24.
Page 9.64
Form Information
Updated the City section to Your Town and the State section to YS.