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Read the following problem: Justin is working his way through college and trying to make ends meet. Kaylin, a friend, is graduating soon and tells
- Read the following problem: Justin is working his way through college and trying to make ends meet. Kaylin, a friend, is graduating soon and tells Justin about a really great job opportunity. She is the onsite manager for an apartment complex catering to students. The job entails working in the office for about 10 hours a week, collecting rent each month, and answering after-hours emergency calls. The owner of the apartment complex requires the manager to live on site as a condition of employment. The pay is $12 per hour, plus a rent-free apartment (worth about $750 per month). Kaylin then tells him the best part: the rent-free apartment is tax-free as well. Knowing that you are a tax student, Justin asks you if the rent-free apartment is really tax-free or if this is just another scam. Explain to Justin whether the compensation for the apartment is a taxable benefit.
- research whether the apartment is a taxable benefit to Justin.
- post your findings.
- State the issue.
- State your conclusion based on your findings.
- Provide an analysis explaining why you believe your findings address the question at hand.
- Provide proper tax research citations in your analysis.
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