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	Read through the following items and determine what the taxable income is. For any amount that is not taxable or tax deductible explain why it is not. Enter your answers in the shaded boxes. Examples follow:	Taxable Income	FOR AGI Deductions	FROM AGI Deductions	Explanation for anything excluded
	Example: Jesse earned $100 of savings account interest and $500 from child support.	$ 100			$500 child support is excluded from income
	Example: Jesse had $100 of credit card interest and $1,000 of mortgage interest			$ (1,000)	$100 credit card interest is not deductible
	Example: Jessie had $3,000 of Schedule C business expenses and $1,500 of hobby expenses		$ (3,000)		Hobby expenses are not deductible
	To my friendly student tax preparer:
	Hello, my name is Shady Slim. I understand you are going to help me figure out my gross income for the year ... whatever that means (USE 2020 RULES and assume Shady files as a single person). Its been a busy year and Im a busy man, so let me give you the lowdown on my life and you can do your thing.

b.

As part of my manager duties, I get to decide on certain things like contracts for the company. My good buddy, Eddie, runs a bottling company. I made sure that he won the bottling contract for Roca Cola for this year (even though his contract wasnt quite the best). Eddie bought me a Corvette this year for being such a good friend. The Corvette cost $65,000, and Im sure he bought it for me out of the goodness of his heart. What a great guy!

$ 65,000

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