Question
A refund of 2015 State Income Taxes received in 2016 by a Cash Basis Taxpayer is not included in 2016 Gross Income (totally
| A refund of 2015 State Income Taxes received in 2016 by a Cash Basis Taxpayer is "not" included in 2016 Gross Income (totally or partially) if the taxpayer Itemized their deductions in 2015 (ie. Did deduct the State Income Taxes in 2015).
True or False? I am leaning on the side of True since it's on a cash basis, not accrual basis. |
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Financial & Managerial Accounting
Authors: Carl Warren
12th Edition
1285534646, 978-1133952428
