Scenario #3: J. C. has been a professional gambler for many years. He loves this line of work and believes the income is tax-free.

QUESTION: Is J. C.'s thinking correct? Is the answer to this question found in the Internal Revenue Code? If not, what type of authority answers this question?

RESOURCE TO USE: Search online for a court case that answers the question (think precedent), and cite it as "

V.

Make sure your selected court case answers the question!

1. What are the key facts in this problem? (brief answer)
2. What is the general issue to be addressed? (brief answer)
3. What key words would you use to research this question? (brief answer)
4. Using the resource listed above, what is the answer to the question?
5. Where did you find your answer? This is where you properly cite your resource based on Chapter 2. You must cite a court case that definitively answers the question.