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Novosadov [1.4K]
3 years ago
10

Last year, Aleshia identified $4,400 as a nonbusiness bad debt. In that tax year before considering the tax implications of the

nonbusiness bad debt, Aleshia had $8,800 of taxable income, of which $3,080 consisted of short-term capital gains. This year, Aleshia collected $3,696 of the amount she had previously identified as a bad debt. Determine Aleshia's tax treatment of the $3,696 received in the current tax year.
Business
1 answer:
zubka84 [21]3 years ago
6 0

Answer:

The amount of $3,696 would be involved in her gross wage

Explanation:

The computation of the tax treatment is as follows

Since in the question it is mentioned that the amount of $3,696 amount was collected that identified as a bad debt so the amount of $3,696 would be involved in her gross wage

Therefore the same is to be considered

And, the rest of the information i.e. given are to be ignored

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