Identify in which situation income was constructively received in 2022. Situation A taxpayer received a check on December 31, 2022. Deposited the check to their bank account on January 1, 2023. A taxpayer sold their home on December 20, 2022. Payment was received from the escrow company on January 5, 2023. A taxpayer's employer offers the taxpayer the option to receive their year-end bonus on either December 15, 2022 or January 15, 2023. The taxpayer chooses to defer it to January 15, 2023. A taxpayer who performs consulting services was informed by a client that a check for services they had performed was ready to be picked up on December 15, 2022. However, the taxpayer was on vacation and unable to pick it up until January 3, 2023. Was income constructively received? (Yes/No)
Identify in which situation income was constructively received in 2022. Situation A taxpayer received a check on December 31, 2022. Deposited the check to their bank account on January 1, 2023. A taxpayer sold their home on December 20, 2022. Payment was received from the escrow company on January 5, 2023. A taxpayer's employer offers the taxpayer the option to receive their year-end bonus on either December 15, 2022 or January 15, 2023. The taxpayer chooses to defer it to January 15, 2023. A taxpayer who performs consulting services was informed by a client that a check for services they had performed was ready to be picked up on December 15, 2022. However, the taxpayer was on vacation and unable to pick it up until January 3, 2023. Was income constructively received? (Yes/No)
Chapter2: Income Tax Concepts
Section: Chapter Questions
Problem 33P
Related questions
Question
Transcribed Image Text:Identify in which situation income was constructively received in 2022.
Situation
A taxpayer received a check on December 31, 2022.
Deposited the check to their bank account on
January 1, 2023.
A taxpayer sold their home on December 20, 2022.
Payment was received from the escrow company on
January 5, 2023.
A taxpayer's employer offers the taxpayer the option
to receive their year-end bonus on either December
15, 2022 or January 15, 2023. The taxpayer chooses
to defer it to January 15, 2023.
A taxpayer who performs consulting services was
informed by a client that a check for services they
had performed was ready to be picked up on
December 15, 2022. However, the taxpayer was on
vacation and unable to pick it up until January 3,
2023.
Was income constructively
received? (Yes/No)
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