Steve Worked as a Tech Supervisor for a Computer Company

question 69

Multiple Choice

Steve worked as a tech supervisor for a computer company.In September of 2013,he was laid off.He was paid unemployment compensation for the rest of the year totaling $7,000.Which of the following is true?

• A)Steve will have to report all $7,000 of the unemployment compensation as income.
• B)Steve will have to report $4,600 of the unemployment compensation as income.
• C)Unemployment compensation is never taxable.
• D)As long as the unemployment compensation payments are less than the taxpayer's previous salary,they are not taxable.
• E)None of the above is true.