Katie recently won a ceramic dalmatian valued at $800 on a television game show. She questions whether this prize is taxable because it was a "gift" she won on the show. Use Checkpoint Edge to answer Katie's question.
Pierre recently received a tax penalty for failing to file a tax return. He was upset to receive the penalty, but he was comforted by the thought that he will get a tax deduction for paying the penalty. Use Checkpoint Edge to determine if Pierre is correct.
Matt and Lori were divorced in 2016. Pursuant to the divorce decree, Matt receives $10,000 of alimony each month. Use Checkpoint Edge to determine if the alimony Matt receives is taxable. Would your answer change if Matt and Lori still live together?
Paris was happy to provide a contribution to her friend Nicole's campaign for mayor, especially after she learned that charitable contributions are tax deductible. Use Checkpoint Edge to determine whether Paris can deduct this contribution.