Determine the amount the taxpayer in gross income

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For each of the following independent situations, indicate the amount the taxpayer must include in gross income: (Leave no answer blank. Enter zero if applicable.)

Problem a. Phil won $585 in the scratch-off state lottery. There is no state income tax.

Problem b. Ted won a compact car worth $17,800 in a TV game show. Ted plans to sell the car next year.

Problem c. Al Bore won the Nobel Peace Prize of $742,500 this year. Rather than take the prize, Al designated that the entire award should go to Weatherhead Charity, a tax-exempt organization.

Reference no: EM132461975

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