Which of the Following Is an Example of Tax Evasion

question 64

Multiple Choice

Which of the following is an example of tax evasion?

• A)Barry making charitable donations that are eligible for tax deductions
• B)Mindy buying municipal bonds, as they yield returns free of federal income taxes
• C)Martha not reporting the additional income she earns from waiting tables at a restaurant to reduce her taxable income
• D)Bertram claiming his business travel expenses from his company as deductions to reduce his taxable income
• E)Daisy moving to a different state to benefit from its low tax rates

---

Definitions:

Cohort Effect

The impact on development occurring when a group of people share a common time period or common life experience.

Great Depression

A severe worldwide economic downturn that lasted throughout the 1930s, marked by high unemployment, deflation, and financial instability.

Roll Over

A movement whereby someone or something turns over completely in a horizontal or vertical axis.

Kübler-Ross's

Refers to the Kübler-Ross model, which outlines five stages of grief: denial, anger, bargaining, depression, and acceptance.