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For an Individual to Feel Equitably Treated,his Ratio of Contribution

question 66

True/False

For an individual to feel equitably treated,his ratio of contribution to return must be the same as the other individual's ratio with whom he or she is comparing.


Definitions:

Adjusted Gross Income

An individual's total gross income minus specific deductions, used as the basis for calculating taxable income on federal tax returns.

Casualty Loss Deduction

A tax deduction for property losses as a result of a sudden, unexpected, or unusual event.

Federal Disaster Area

An area officially declared by the government to be in a state of emergency due to a disaster, affording affected individuals potential tax relief and other benefits.

Insurance Settlement

A financial payment made by an insurance company to a policyholder or claimant as a resolution for a filed claim against a policy.

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