Answer Happy

Garth is a single cash basis taxpayer (filing status - single since 1980) and has the following activities/transactions in 2021. In 2020, Garth had adjusted gross income of 570.000.mized deductions of $12.700, and paid $23,012 in federal income tax. Indicate the amount of each independen statement below that is included in Garth's recognized Income de gross income for tax year 2021 • Sold primary family home for $700,000. The home was purchased in 1990 for $450 DOO Include • Received state income tax refund of $625 for overpayment of 2020 state income tax include • Received $8,000 in worker's compensation after he was injured on his tree-cutting job. Include Dental insurance provided by his employer, who paid $1.550 in dental insurance premiums for the year. Include . Garth provided 100 hours of carpentry services (valued at $25 per hour) to the local school in exchange for two football playoff tickets (valued at $6,000). Include Garth recently was sickened by eating spoiled peanut butter. He successfully sued the manufacturer for medical bills ($3.700), his emotional distress ($6,000 - he now fears peanut butter), and punitive damage . ($44,000). Include
C. The home was purchased in 19150.000.indd Received state income tax refund of 5625 for overpayment of 2020 state income include • Received $8.000 in worker's compensation after he was injured on his tree-cumino Include • Dental insurance provided by his employer, who paid $1.550 In dental insurance premiums for the year. Include • Garth provided 100 hours of carpentry services (valued at $25 per hour to the local school in exchange for two football playoff tickets (valued at $6,000). Include • Garth recently was sickened by eating spoiled peanut butter. He successfully sued the manufacturer for his medical bills ($3,700), his emotional distress ($6,000 - he now fears peanut butter), and punitive damages ($44,000). Include . Garth and Camilla got divorced in 2011. Under the terms of the decree, Camilla pays Garth $70.000 in cash each year, decreased to $22,000 when their son turns 19 years old. In addition, Camilla will transfer castle worth $2,000,000 to Garth. Include . • Garth purchased an annuity that provides $13,000 annual payments for the next 40 years. The annuity was purchased at a cost of $300,000. The annuity made its first payment this year. Include