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Please show all work and detailed calculations. Thank you! these are all the information provided. Matt is single and has salary from his job as
Please show all work and detailed calculations. Thank you!
these are all the information provided.
Matt is single and has salary from his job as a sports announcer in the amount of $100,000. He has charitable contributions in the amount of $1,000. Matt also has the following income and expenses related to an activity: Briefly define an activity classified as a bobby vs. a business? List 4 factors might be used to assist a taxpayer in determining whether an activity is a hobby or a business? Using the tax formula, beginning with Gross Income, calculate Matt's taxable income if the activity is considered a hobby. a. Are hobby expenses deductions FOR AGI or FROM AGI? b. What form/schedule is hobby income reported on? c. What form/schedule are hobby expenses reported on? Using the tax formula, beginning with Gross Income, calculate Matt's taxable income if the activity is considered a business. a. Are business expense deductions FOR AGI or FROM AGI? b. What form/schedule is business income reported on? c. What form/schedule are business expenses reported onStep by Step Solution
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