Jason's Employer Pays Year-End Bonuses Each Year on December 31

question 28

Multiple Choice

Jason's employer pays year-end bonuses each year on December 31. Jason, a cash basis taxpayer, would prefer to not pay tax on his bonus this year (and actually would prefer his daughter to pay tax on the bonus) . So, he leaves town on December 31, 2016 and has his daughter, Julie, pick up his check on January 2, 2017. Who reports the income and when?

• A) Julie in 2016.
• B) Julie in 2017.
• C) Jason in 2016.
• D) Jason in 2017.
• E) none of these.

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Definitions:

Population Growth

The increase in the number of individuals in a population due to births outpacing deaths or through migration.

Demographic Data

Information collected about the characteristics of human populations, such as age, gender, income, and education.

Crude Birth Rate

The rate of live births per thousand inhabitants in a population for a specified year.

Crude Death Rate

A measure of the number of deaths in a given population, scaled to the size of that population, per unit of time.