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Posted: April 20th, 2022
tax issue/Ethic Letter
Question description
Chris wants help in figuring her gross income for the year. She was
unemployed as the year began and collected $2,000 unemployment. She later got
a job as a manager for Ark Communications, Inc. She earned $55,000 in base
salary. He boss gave her a bonus check of $5,000 at Christmas. She decided to
hold onto the check and not cash it so that it would not be taxable for this year.
She also got fringe benefits on her job including a gym membership that costs $400
a year. She received a gold watch worth $300 for managing her department with
the least accidents during the year.
But her good luck did not end there. She found $5,000 in cash in the parking
lot one day and kept it, of course. She also won $8,000 in a drawing at a local
grocery store which sent her a 1099. But, she also won about $6,000 cash playing
poker with a group of friends on Friday nights and her friends don’t issue 1099s.
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