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Rental Income. Ed owns Oak Knoll Apartments. During the year, Fred, a tenant, moved to another state. Fred paid Ed $ 1,000 to cancel the two-year lease he had signed. Ed subsequently rented the unit to Wayne. Wayne paid the first and last months’ rents of $ 800 each and a security deposit of $ 500. Ed also owns a building that is used as a health club. The club has signed a fifteen-year lease at an annual rental of $ 17,000. The owner of the club requested that Ed install a swimming pool on the property. Ed declined to do so. The owner of the club finally constructed the pool himself at a cost of $ 15,000. What amount must Ed include in gross income?
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Gross Income. Susan’ s salary is $ 44,000 and she received dividends of $ 600. She received a statement from SJ partnership indicating that her share of the partnership’ s income was $ 4,000. The partnership distributed $ 1,000 to her during the year and $ 600 after yearend. She won $ 2,000 in the state lottery and spent $ 50 on lottery tickets. Which amounts are taxable?
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Interest Income. Holly inherited $ 10,000 of City of Atlanta bonds in February. In March, she received interest of $ 500, and in April she sold the bonds at a $ 200 gain. Holly redeemed Series EE U. S. savings bonds that she had purchased several years ago. The accumulated interest totaled $ 800. Holly received $ 300 of interest on bonds issued by the City of Quebec, Canada. What amount, if any, of gross income must Holly report?
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