A taxpayer is an occasional gambler and won $15$\mathrm{}\mathrm{}$K at the casino for tax year 2022$\mathrm{}\mathrm{}\mathrm{}\mathrm{}.$ Over the course of the tax year, the taxpayer has a record of $18763$\mathrm{}\mathrm{}\mathrm{}\mathrm{}\mathrm{}$ in gambling losses. If the taxpayer itemizes, is this statement correct?

a) Is $15K of income reported on the US Form 1040, Schedule 1, line 8?

$\mathrm{b)}$ Does this situation accurately reflect the taxation of the item of miscellaneous income for tax year 2022?$?$

c)$)$ Hobby income should be reported on Form 1040$,$ Schedule 1,line 8$\mathrm{}$?

d)$)$ Attorney fees can be deducted from any lawsuit settlements to come to the taxable amount

e)$)$ Interest earned on a $1 million dollar settlement that took 3$3$ years to collect should be reported on Schedule B

f)$)$ Hobby losses should be reported net on Form 140,$\mathrm{}\mathrm{}\mathrm{}$Schedule 1, line 8$$? 

 

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