During 2021 , Steve purchased land for $50,000. On December 31, 2023, a professional real estate appraiser valued this land at $80,000. In January 2024 , Steve borrowed $20,000 from a local bank, using this land as collateral for the loan. On March 1, 2027, Steve sold this land for $90,000. Which statement is TRUE? Steve must recognize $30,000 of gross income in 2023 . Steve must recognize $20,000 of gross income in 2024 . Steve must recognize $40,000 of gross income in 2027 . Steve must recognize $90,000 of gross income in 2027 . Suppose the government decides to subsidize the cost of solar panels installed on taxpayer's homes by providing some sort of deduction or credit. Which form of tax subsidy provides the greatest possible benefit to an individual with a marginal tax rate of 30% ? Above the line deduction (ie, for AGI ) equal to 100% of the costs incurred. Below the line itemized deduction (ie, from AGI) equal to 100% of the costs incurred. Non-refundable tax credit equal to 40% of the cost incurred. Refundable tax credit equal to 40% of the cost incurred