Question

Jack received a court award in a civil libel and slander suit against National Gossip. He received $120,000 for damages to his professional reputation, $100,000 for damages to his personal reputation, and $50,000 in punitive damages. Jack must include in his gross income as a damage award: A. $0.B. $100,000.C. $120,000.D. $270,000.E. None of the above.

Answer 1

Answer:

Jack must include in his gross income as a damage award: $270,000

Explanation:

$120,000 for damages to his professional reputation

$100,000 for damages to his personal reputation

$50,000 in punitive damages

Now , Sum them to get gross income as a damage award

= $120,000 + $100,000 + $50,000

= $270,000