The alimony rules applicable to divorces entered into before 2019: Oa. Permit tax deductions for property divisions. Ob. Are based on the principle that the person who earns the income should pay the tax. Oc. Treat child support payments and alimony differently. Od. Look to state law to determine the definition of alimony. Mark, a calendar year taxpayer, purchased an annuity for $50,000 in 2019. The annuity was to pay him $3,000 on the first day of each year, beginning in 2019, for the remainder of his life. Mark's life expectancy at the time he purchased the annuity was 20 years. In 2021 Mark developed a deadly disease, and doctors estimated that he would live for no more than 24 months. Oa 1 Mark is still alive at the model 2021, he is not required to recognize any grond income because of his terminal illes, Ob Mark dies in 2022 Ines can be claimed on his final retum for he sunrecovered cont of the annuity. c. If Mark is still alive in 2011. ht recovery of capital for that year is 3500 Od. 1 Mark dit in 2022. his returns for this two previous years can be anended to allocate the entire cast of the annuity to the years in which he recived payments and reported grosincome The tax concept and economic concept of income are in agreement on which of the following: Oa. Rent income for 2021 collected in 2020 is income for 2020. Ob. The increase in value of assets held for the entire year should be included in income for the year. Oc. The fair rental value of an owner-occupied home should be included in income. Od. Income includes the value of things grown or produced by the taxpayer for the taxpayer's own consumption. On November 1, 2020, Bob, a cash basis taxpayer, gave Dave common stock. On October 30, 2020, the corporation had declared a dividend payable to shareholders of record as of November 22, 2020. The dividend was paid on December 15, 2020. The corporation has paid the $1,200 dividend once each year for the past ten years, during which Bob owned the stock. When Dave collected the dividend on December 15, 2020: Ca. Dave must include all of the dividend in his gross income OD. Dave should treat the $1.200 21 recovery of capital Od Bob must include all of the dividend in his grous income Od. Bob must include $1.000 (10/12X$1.000) of the dividend in his grous income