Tom, Netta, and Tim are partners in TNT Partnership. The TNT Partnership used the calendar year. The partnership pays $6,000 ($500/month) of health insurance premiums for each partner in the current tax year. Each partner is on a calendar year tax year. Select the correct way of reporting the partnership's health insurance premium payments on each partner's tax return.

a) Report $4,500 as income on the previous year's return and $1,500 as income on the current year's return with corresponding adjustments to income.

b) Report $6,000 as income and $6,000 as an adjustment to income on the current year's return.

c) Report $6,000 as income on the current year's return. No adjustment to income is permitted.

d) Report $4,500 as income on the previous year's return and $1,500 as income on the current year return. No adjustment to income is permitted.