question 23 of 75

Noel died in December 2019. His wife, Holly, has not remarried. In January 2020, Holly received a check from Ride Share Inc. and a letter explaining that the check represents a final payment for work Noel did in 2019. What is the correct and most favorable method of reporting this income?

A - On the couple's jointly filed 2019 return. If this was not included in the originally filed return, Holly should file an amended return to include this income.

B - As ordinary income on Holly's 2020 individual tax return.

C - On a 2020 final tax return for Noel that Holly files on his behalf.

D - As income paid to Noel's estate, reported on Form 1041