Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

USA Act Alioune received the following payments in 2021: $20,000 paid by his insurance company for pain and suffering for a broken leg he got

USA Act image text in transcribed

Alioune received the following payments in 2021: $20,000 paid by his insurance company for pain and suffering for a broken leg he got in an automobile accident, $3,000 insurance reimbursement for medical expenses, $60,000 of life insurance as a beneficiary under his father's policy, $80,000 from selling illegal drugs, $500 he found on a hiking trail, and a prize from participating in a survey of $100. What is the total amount of these payments on which Alioune is taxable

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Empirical Studies On Economics Of Innovation Public Economics And Management

Authors: Mehmet Huseyin Bilgin, Hakan Danis, Ender Demir, Ugur Can

1st Edition

3319501631, 9783319501635

More Books

Students also viewed these Accounting questions

Question

What is management growth? What are its factors

Answered: 1 week ago