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Terry was ill for three months and missed work during this period. During his illness, Terry received $6,550 in sick pay from a disability insurance
Terry was ill for three months and missed work during this period. During his illness, Terry received $6,550 in sick pay from a disability insurance policy. What amounts are included in Terrys gross income under the following independent circumstances?
Find the amount included in gross income.
A.)Terry has disability insurance provided by his employer as a nontaxable fringe benefit. Terrys employer paid $4,850 in disability premiums for Terry this year.
B.)Terry paid $4,850 in premiums for his disability insurance this year.
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