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As a result of a fire damaging their residence, the Taylor's must stay in a motel for three weeks while their home is being restored.
As a result of a fire damaging their residence, the Taylor's must stay in a motel for three weeks while their home is being restored. They pay $2,000 for the room and $500 for meals. Their homeowner's policy pays $2,500 to reimburse them for the cost. They estimate that during the five-week period they would normally spend $300 for meals. Is the reimbursement taxable?
For 2019, please.
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