For each of the following independent situations, indicate theamount the taxpayer must include in gross income and explain youranswer: (Leave no answer blank. Enter zero if applicable.)
a. Phil won $780 in the scratch-off statelottery. There is no state income tax.
Amount to be included?
b. Ted won a compact car worth $17,900 in a TVgame show. Ted plans to sell the car next year.
Amount to be included?
c. Al Bore won the Nobel Peace Prize of$707,500 this year. Rather than take the prize, Al designated thatthe entire award should go to Weatherhead Charity, a tax-exemptorganization.
Amount to be included?
d. Jerry was awarded $3,200 from his employer,Acme Toons, when he was selected most handsome employee forValentineâs Day this year.
Amount to be included?
e. Ellen won a $1,550 cash prize in a schoolessay contest. The school is a tax-exempt entity, and Ellen plansto use the funds to pay her college education.
Amount to be included?
f. Gene won $740 in the office March Madnesspool.
Amount to be included?
For each of the following independent situations, indicate theamount the taxpayer must include in gross income and explain youranswer: (Leave no answer blank. Enter zero if applicable.)
a. Phil won $780 in the scratch-off statelottery. There is no state income tax.
Amount to be included?
b. Ted won a compact car worth $17,900 in a TVgame show. Ted plans to sell the car next year.
Amount to be included?
c. Al Bore won the Nobel Peace Prize of$707,500 this year. Rather than take the prize, Al designated thatthe entire award should go to Weatherhead Charity, a tax-exemptorganization.
Amount to be included?
d. Jerry was awarded $3,200 from his employer,Acme Toons, when he was selected most handsome employee forValentineâs Day this year.
Amount to be included?
e. Ellen won a $1,550 cash prize in a schoolessay contest. The school is a tax-exempt entity, and Ellen plansto use the funds to pay her college education.
Amount to be included?
f. Gene won $740 in the office March Madnesspool.
Amount to be included?