Question 31

Alberts house was broken into on July 4th, 2020, and all of his jewelry and stereo equipment was stolen. He completed a police report, and to date, no items have been recovered. Albert now regrets not having renters insurance. He originally purchased the stereo equipment for $1,375.The fair market value at the time of the theft was $1,000. He purchased the jewelry for $1,500. The fair market value at the time of the theft was $1,500. Alberts AGI is $39,750. In this case, what is Alberts deductible casualty loss amount? a) $2,500 b) $2,875 c) $2,400 d) $ 0

Question 32

The newly developed IRS People First Initiative provides immediate financial relief to help taxpayers facing uncertainty over the Coronavirus pandemic. In general, the IRS is assisting taxpayers unable to fully pay their federal taxes. As a result, taxpayers can now resolve outstanding liabilities by entering into a ________________ payment agreement with the IRS. a) quarterly b) semi-annual c) monthly d) None of the above.