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Larry is a tax accountant and Sheila is a hairdresser. Larry prepares Sheilas tax return for free and Sheila agrees to style Larrys hair six

Larry is a tax accountant and Sheila is a hairdresser. Larry prepares Sheilas tax return for free and Sheila agrees to style Larrys hair six times for free in return for the tax return. The value of the tax return is approximately $300 and the hair styling work is approximately $300.

How much of the $300 is includable income to Larry? Why?__________________________________________________________________________________

_____________________________________________________________________________________________________________

_____________________________________________________________________________________________________________

How much of the $300 is includable income to Sheila? Why?_____________________________________________________________________

_____________________________________________________________________________________________________________

_____________________________________________________________________________________________________________

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