1. In 2018, Frank Fox won $10,000 in a state lottery. He also lost $3,000 at the horse races. He itemized his deductions on Schedule A. On his income tax return he should report:
A) $10,000 gross income
B) $7,000 gross income
C) $10,000 gross income and $3,000 deduction for adjusted gross income
D) $10,000 gross income and $3,000 itemized deduction
E) None of these
2. In 2018, unreimbursed expenses of employees are considered to be deductions:
A) Nondeductible by employees
B) From AGI
C) For or from AGI depending on the type of expense
D) None of these
3. Which of the following expenditures is an itemized ("from" AGI / "below the line" deduction) for individual taxpayers?
A) charitable contributions.
B) state and local income taxes.
C) moving expenses.
D) Both a. and b.
E) All of the above.