Question
6 Calculate the net income includible in taxable income for the following hobby. Presume Val has AGI of $69,000 before considering anything from the hobby
6
Calculate the net income includible in taxable income for the following hobby. Presume Val has AGI of $69,000 before considering anything from the hobby activity.
| Income | 27,000 |
| Mortgage interest and property taxes allocable to hobby | 9,000 |
| Depreciation | 5,000 |
| Supplies and fees | 11,000 |
| Telephone for hobby | 2,800 |
| Computer usage fees | 2,000 |
In the alternative, what would be Vals adjusted gross income for the year if the activity were not considered a hobby?
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The Principles And Practice Of Auditing
Authors: George Puttick, Sandra Van Esch
8th Edition
0702156914, 978-0702156915
