Amos is a self-employed tax attorney. He and Monica, his employee, attend a conference in Dallas sponsored by the American Institute of CPAs. The following expenses are incurred during the trip:
.................................... Amos ................. Monica
Conference registration ...... $ 900 .................. $900
Airfare .......................... 1,200 ................... 700
Taxi fares ....................... 100 ..................... -0-
Lodging in Dallas ............. 750 ..................... 300
a. Amos pays for all of these expenses. Calculate the effect of these expenses on Amos's AGI.
b. Would your answer to part (a) change if the American Bar Association had sponsored the conference? Explain.