$1.$ Refer to the tax Form $1040$ and give an example of what type of income would be found on Lines $1$ thru $5.$ Identify how the IRS taxes the specific income. Hint: use the instructions to Form $1040$ for line$-$by$-$line instructions on each specific topic. This can be found under Filing a Federal Income Tax Return.

$2.$ Explain how a user can detect an IRS scam. Identify a case where an individual had been scammed and detail the circumstances surrounding the fraud. Describe ways the IRS is attempting to combat this type of fraud.