1. In 2021, Van receives $20,000 (of which $4,000 is earnings) from a Section 529 plan. He uses the funds to pay for his college tuition and other qualified higher education expenses. How much of the $20,000 is taxable to Van?

2.

Jose paid the following amounts for his son to attend Big State University in 2021:

Tuition $6,400

Room and board 4,000

Books 772

A car to use at school 1,932

Student football tickets 237

Spending money 4,775

How much of the above is a qualified higher education expense for purposes of his Section 529 plan?

3.. Arlen is required by his 2021 divorce agreement to pay alimony of $2,000 a month and child support of $2,000 a month to his ex-wife Jane. What is the tax treatment of these two payments for Arlen? What is the tax treatment of these two payments for Jane?