final exams - 1(TCO E Zelda Zayer has been a widow for over 3 years and files a return as a single taxpayer Items of income received by Zelda in 2011

final exams - 1(TCO E Zelda Zayer has been a widow for over...

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1.(TCO E) Zelda Zayer has been a widow for over3 years and files a return as a single taxpayer. Items of income received by Zelda in 2011 were as follows.Interest on savings account with Bank of America: $50Interest on state income tax refund: $25Gambling winnings: $2,400Dividends from mutual life insurance company on life insurance policy: $500Dividends from Better Auto Co. received on January 2, 2011: $875The total dividends received on the life insurance policy do not exceed the aggregate of the premiums paid to the company.(a) How much should Zelda include in her 2011 taxable income as interest?(b) How much should Zelda report as dividend income for 2011?(c) How much should Zelda include in taxable “Other Income” for her state lottery winnings? Answers: 2.(TCO E) Distinguish between realized gains and losses and recognized gains and losses.(Points : 17)
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  • Fall '14
  • Taxation in the United States

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