Alimony is A) deductible by the payor and included in income by the payee. B) an item which does not affect the payor's or the payee's or the payee's tax reporting. C) deductible by both the payor and the payee. D) included in income by the payor and deducted by the Payee Which of the following is not excluded from income? A) gifts and inheritances. B) life insurance proceeds paid by reason of death. C) fair market value of prize won on a game show. D) public assistance payments