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Business, 24.05.2021 14:00 dnjames01

Kurstie received an $800 state income tax refund this year. Kurstie deducted $3,000 of state income taxes paid in the prior year as part of her itemized deductions. Which of the following statements regarding the taxability of Kurstie's refund is true? a. If Kurstie’s itemized deductions exceeded the standard deduction by $200, then the $800 refund is included in gross income.
b. If Kurstie’s itemized deductions exceeded the standard deduction by $200, then $200 of the refund is included in gross income.
c. If Kurstie claimed the standard deduction instead, then the $800 refund is taxable.
d. Kurstie must include $3,000 in gross income in the current year

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Kurstie received an $800 state income tax refund this year. Kurstie deducted $3,000 of state income...

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