For each of the following situations, indicate how much the taxpayer is required to include in gross

Question:

For each of the following situations, indicate how much the taxpayer is required to include in gross income and explain your answer:
a. Steve was awarded a $5,000 scholarship to attend StateLawSchool. The scholarship pays Steve's tuition and fees.
b. Hal was awarded a $15,000 scholarship to attend StateHotelSchool. All scholarship students must work 20 hours per week at the School residency during the term.