MotermSpring20 - Protected View - Saved to this PC 5 Mailings Review View Help Search tain viruses. Unless you need to edit, it's safer to stay in Protected View Enable Editing 41. Which of these statements is incorrect. State income taxes: a. Can piggyback to the Federal version. b. Cannot apply to visiting nonresidents. c. Can decouple from the Federal version d. May provide their residents a tax credit for income taxes paid to other states e. None of these 42. Ed is divorced and maintains a home in which he and a dependent friend live. Ed does not qualify for head of household filing status. a. True b. False 43. An employer provides all employees with group term life insurance equal to twice the employee's annual salary. The employer pays all the premiums. An employee with a salary of $50,000 recognizes no gross income from the life insurance premiums paid by the employer. a. True b. False 44. Rocky owns 300 shares of ABC Corporation stock and 2.000 shares of XYZ Inc. stock. During the year, Rocky received 150 shares of ABC as a result of a l-for-2 stock split. The value of the shares received was $4,800. Rocky also received 100 shares of XYZ as a result of a 5% stock dividend. The additional shares he received from XYZ had a value of $7.200. Rocky did not have the option of receiving cash from either the stock split or stock dividend. Rocky's gross income from the receipt of the additional shares is: a. $0. b. $4,800. c. $7,200 d. $12,000. e. None of these. 45. Which of the following may be deductible in 2019? a. Bribes paid to local officials that relate to a business b. Fines paid to the local government for violations of the law. c. Kickbacks paid to local officials that relate to a business and are based on the amount of government contracts received d. Political contributions to a candidate for City Council but only to encourage the support of a new bill that will benefit and relate to a business e. None of these. Oet e