Chapter2: Gross Income And Exclusions
Section: Chapter Questions
Problem 1P: Indicate whether each of the items listed below would be included (I) in or excluded (E) from gross...
Related questions
Question
please help me in this problem asap
Transcribed Image Text:Calculate Gross income for Summer Smith for 2021, based on the following
information.
Label each item as not included or gross income. State the reason why items are
not included.
Salary $100,000
Bonus $50,000
Interest from New York City bond, $40,000
Capital loss $70,000
Alimony received $20,000 was signed in 2019
Child support $20,000
Workman's compensation $30,000
Unemployment compensation $20,000
S Corporation income $40,000
Loss from sole proprietorship $60,000
Sister Wynter repaid a $50,000 loan from 2010
Summer won $10,000 in a bake off
Summer was the beneficiary of her great aunt Autumn's life insurance policy and
received $100,000
Summer received $30,000 from a lawsuit settlement for a business issue.
Summer received a gift from her mother, Spring, $70,000
Summer found $5,000, on the bus.
Partnership income $40,000
Summer won $10,000 at BINGO
Summer inherited $200,000 from her grandfather, Storm
Rental income $10,000
Treasury bill interest $20,000
Interest from Citigroup$10,000
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT