Vella owns and operates an illegal gambling establishment. In connection with this activity, he has the following

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Vella owns and operates an illegal gambling establishment. In connection with this activity, he has the following expenses during the year:
Rent ......................................................... $ 24,000
Bribes ....................................................... 40,000
Travel expenses ........................................... 4,000
Utilities...................................................... 18,000
Wages ...................................................... 230,000
Payroll taxes................................................ 13,800
Property insurance.......................................... 1,600
Illegal kickbacks............................................ 22,000
What are Vella's total deductible expenses for tax purposes?
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South Western Federal Taxation Individual Income Taxes 2017

ISBN: 9781305873988

40th Edition

Authors: William H. Hoffman, David M. Maloney, William A. Raabe, James C. Young, Nellen

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