This year Mary received a $500 refund of state income taxes that she deducted on her tax return last year. Mary included a total of $5,100 of state income taxes when she itemized deductions last year. What amount of the refund, if any, should Mary include in her gross income this year? Multiple Choice $500 is included because Mary itemized her deductions last year. $500 is included if itemized deductions exceeded the standard deduction by $500. $500 is included because itemized deductions exceeded the standard deduction. $500 is included even if Mary claimed the standard deduction. None of the choices are correct - refunds of state income taxes are not included in gross income. O George purchased a life annuity for $6,600 that will provide him $165 monthly payments for as long as he lives. Based on IRS tables, George's life expectancy is 100 months. How much of the first $165 payment will George include in his gross income? Multiple Choice $165 O O O $149 O $99 o $66 o None of the choices are correct. Frank received the following benefits from his employer this year. What amount must Frank include in his gross income? Benefits Received Salary Health insurance Group-term life insurance (face $50,000) Amount $ 65,000 3,350 2,670 $65,000 $68,350 $67,670 $71,020 $0 - these benefits are excluded from gross income