The Ultimate IRS Quiz

Estimated Completion Time
3 min
The Ultimate IRS Quiz
Image: Robert D. Barnes/Moment Open/Getty Images

About This Quiz

The IRS has both supporters and detractors. Some people recognize its importance in maintaining government revenues, while others feel that it is merciless and out to get all your hard-earned cash. No matter what side of the fence you fall on, take this quiz to learn about the IRS.
What was one of the main reasons for the colonists' revolt against the British?
the colonists' wanting to have their own land
the harsh imposition of the death penalty
what they thought were unfair, high taxes
Correct Answer
Wrong Answer

One of the main reasons was what they thought were unnecessarily unfair and high taxes.

SCROLL TO NEXT QUESTION
With regard to taxation law, what do Congress and the IRS each do?
Congress enacts the tax code while the IRS enforces it.
The IRS enacts the tax code while Congress enforces it.
Congress proposes tax laws while the IRS opposes them.
Correct Answer
Wrong Answer

The job of Congress is to enact the tax code. The IRS has the job of enforcing it.

SCROLL TO NEXT QUESTION
Who reportedly said the following words? "Nothing in this world is certain, except death and taxes."
George Washington
Benjamin Franklin
Abraham Lincoln
Correct Answer
Wrong Answer

The quote is attributed to Benjamin Franklin, one of America's founding fathers.

SCROLL TO NEXT QUESTION

Advertisement

What does "IRS" stand for?
International Revenue Service
Internal Revenue Service
Internal Rates Survey
Correct Answer
Wrong Answer

The IRS is the Internal Revenue Service, the tax collection body for the U.S. federal government.

SCROLL TO NEXT QUESTION
With regard to tax collection, what were the terms under the Articles of Confederation?
that taxes were simply a remnant of British rule and were unnecessary
that the federal government should tax people, each person according to his means
that the federal government could request taxes from states on a voluntary basis
Correct Answer
Wrong Answer

According to the Articles of Confederation, the federal government could request taxes from states on a voluntary basis only.

SCROLL TO NEXT QUESTION
Why did former President Abraham Lincoln institute income taxes?
to pay for the Civil War
as the right thing to do
to provide revenue for the anti-slavery movement
Correct Answer
Wrong Answer

Lincoln instituted the first U.S. income taxes in order to pay for the Civil War.

SCROLL TO NEXT QUESTION

Advertisement

What organization predated the IRS as a tax collection agency?
the North American Revenue Fund
the American Office for Tax Collection
the Bureau of Internal Revenue
Correct Answer
Wrong Answer

The name of the organization was the Bureau of Internal Revenue or BIR, for short.

SCROLL TO NEXT QUESTION
In what year was Congress empowered with the ability to levy taxes?
1901
1913
1918
Correct Answer
Wrong Answer

The year was 1913. It was when the 16th Amendment was passed, which made tax collection legal.

SCROLL TO NEXT QUESTION
With the government shift toward progressive change before WWI, taxes were used to redirect the wealth of the rich to care for:
the welfare of the underprivileged
the future of the state
the underdog
Correct Answer
Wrong Answer

Taxes were now used to care for the welfare of society's not-so-rich.

SCROLL TO NEXT QUESTION

Advertisement

What did a congressional investigation reveal in the 1920s regarding BIR?
that taxes were here to stay
that there was a certain level of corruption
that the American public was groaning under the burden of heavy taxes
Correct Answer
Wrong Answer

The congressional investigation into BIR's activities revealed a certain level of corruption within the organization.

SCROLL TO NEXT QUESTION
What did BIR do in 1953 in order to present a more positive image of its being for the people?
It changed its name to Internal Revenue Service.
It introduced incentives and tax breaks.
It launched a massive advertising campaign.
Correct Answer
Wrong Answer

BIR changed its name in that year to promote its new, more positive image: Internal Revenue Service.

SCROLL TO NEXT QUESTION
What was one of the major breakthroughs in protecting the rights of the average citizen with the IRS Restructuring and Reform Act (1998)?
that the IRS had to give advance warning before it collected your taxes
that citizens could choose how much tax they wanted to pay
that the burden of proof would sometimes fall on the IRS in case of dispute
Correct Answer
Wrong Answer

The IRS Restructuring and Reform Act made a breakthrough for citizens' rights by stating that the burden of proof would now fall on the IRS (not on the citizen) in certain cases of dispute.

SCROLL TO NEXT QUESTION

Advertisement

What were some of the factors that led to BIR's failure?
exceedingly high expenses and lack of office space
a high staff turnover and favoritism
inconsistencies in following the law and rivalry within the organization
Correct Answer
Wrong Answer

Some of the factors were a high staff turnover and favoritism on the part of the staff.

SCROLL TO NEXT QUESTION
How many staff members does the IRS employ nationwide?
more than 30,000 people
more than 60,000 people
more than 100,000 people
Correct Answer
Wrong Answer

The IRS, estimated to be the largest federal bureaucracy, employs close to 120,000 people nationwide.

SCROLL TO NEXT QUESTION
How long is the tenure of the Commissioner of Internal Revenue?
five years, although the contract is renewable
10 years
12 years
Correct Answer
Wrong Answer

The position is usually for a total of five years, although the contract may be renewed.

SCROLL TO NEXT QUESTION

Advertisement

Who advises the IRS on legal matters?
the chief counsel
the commissioner of Internal Revenue
the president
Correct Answer
Wrong Answer

The chief counsel has the job of advising the IRS on all legal matters.

SCROLL TO NEXT QUESTION
Which nine-member body acts as a check on the IRS's fairness to the taxpayer?
the Senate
the IRS Oversight Board
IRS Citizens' Representative Counsel
Correct Answer
Wrong Answer

The name of this nine-member body is the IRS Oversight Board. Oversight?

SCROLL TO NEXT QUESTION
What is the function of an IRS audit?
to get you to pay more taxes
to prove your guilt in withholding taxes
to ensure that you paid whatever you owed in taxes
Correct Answer
Wrong Answer

An audit is the means by which the IRS ensures that you paid whatever you owed. By extension, it also keeps most people fairly honest for fear that they'll be chosen for an audit.

SCROLL TO NEXT QUESTION

Advertisement

How does the IRS deal with the sheer volume of uncollected tax payments?
by working seven days a week to follow up debts
by outsourcing under a Private Debt Collection Program
by writing off certain debts that can't be collected
Correct Answer
Wrong Answer

The IRS has so many unpaid taxes to deal with that it has to outsource to private companies under a Private Debt Collection Program.

SCROLL TO NEXT QUESTION
What is one of the claims against the Private Debt Collection Program?
that it is ineffective
that it is corrupt
that it costs more than it reels in
Correct Answer
Wrong Answer

One of the claims is that it costs more money than it successfully reels in.

FINISH QUIZ
You Got:
/20
Robert D. Barnes/Moment Open/Getty Images