Kitty runs a brothel (illegal under state law) and has the following items of income and expense in 2019. In addition, a police officer who was arrested for taking bribes was determined to have taken $25,000 from Kitty in 2017 and as part of his/her punishment was required to return it to Kitty in 2019, and Kitty also received $1,000 from her landlord as rebate of rent from the prior year (meaning Kitty paid it in 2018 thinking it was rent for her business, but it is being returned to her in 2019). What is the amount that Kitty must include in taxable income from her operation?

Income $200,000

Expenses: Rent 5,000

Utilities 2,000

Bribes to police 10,000

Office supplies 5,000

Legal fees (in defense of her business operation) 20,000

Depreciation 14,000

Legal fees (suing a man who drove his car through a puddle splashing mud on and ruining Kitty's new personal use LV handbag). 1,500