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Trudy Trimble, age 43, is single and provides 100% support for her 13 year-old daughter Lola and her 67 year-old mother, Wilma. Lola & Wilma

Trudy Trimble, age 43, is single and provides 100% support for her 13 year-old daughter Lola and her 67 year-old mother, Wilma. Lola & Wilma live with Trudy. Trudy works for Altitude Airways, a national airline in the U.S. Trudy has the following items related to her 2020 individual tax return: Salary of ($49,000) from her job. Unemployment benefits ($16,000) due to a Covid-19 related layoff Civil court case settlement of a 2019 car accident involving Trudy and a drunk driver. Trudy was awarded $135,000 for medical treatment related to pain and suffering. She was awarded an additional amount ($45,000) for punitive damages the judge assessed against the drunk driver. Proceeds from a sexual discrimination lawsuit ($25,000) awarded by a state court. Prize winnings ($1,300) from a NYS lottery scratch-off card. Net rental income of ($18,000) from a 12-month lease of her Jersey Shore beach house. Long Term Capital Gain of $4,300 from the sale of Microsoft stock purchased in 2016. Receipt of the Altitude Airways employee of the month excellence award all expenses paid 4 days/3 nights in Cancun, Mexico ($3,500) Fair Market Value. Receipt of alimony payments ($18,000) from her ex-husband stipulated by a divorce decree in 2016. Receipt of child support payments ($24,000) from her ex-husband stipulated by a divorce decree in 2016. Weekend round-trip flight to Puerto Rico aboard an Altitude Airways plane. Fair market value of the flight is $250. Trudys seat would have been empty if she had not taken the flight. Contribution ($4,500) to Individual Retirement Account (IRA). Federal income tax ($16,000) withheld from wages. State income tax ($3,850) withheld from wages. Trudy does not itemize her deductions and takes the permitted IRS standard deduction for 2020. 1) Calculate Trudys Adjusted Gross Income (AGI) for 2020. 2) What is Trudys Taxable Income for 2020? 3) Calculate Trudys income tax expense for 2020. 4) Will Trudy owe money to the IRS or receive a refund? Please indicate the amount of refund (or payment) related to Trudys 2020 tax return.

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