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Christie sued her former employer for a back injury she suffered on the job in 2020 . As a result of the injury, she was
Christie sued her former employer for a back injury she suffered on the job in 2020 . As a result of the injury, she was partially disabled. In 2021 , she received $240,000 for her loss of future income, $160,000 in punitive damages because of the employer's flagrant disregard for the employee's safety, and $15,000 for medical expenses. The medical expenses were deducted on her 2020 return, reducing her taxable income by $12,000. Christie's 2021 gross income from the above is: a. $175,000 b. $415,000 c. $255,000 d. $412,000 e. $172,000 Ayla, age 17 , is claimed by her parents as a dependent. During 2021 , she had interest income from a bank savings account of $2,000 and income from a part-time job of $4,200. Ayla's taxable income is: a. None of these b. $6,200$1,000=$5,200 c. $4,200$4,550=$0 d. $6,200$4,550=$1,650 e. $6,200$5,700=$500
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