Question: Problem 2 - 9 Meals and Lodging ( LO 2 . 4 ) Answer the following questions regarding the tax consequences of meals and lodging.
Problem
Meals and Lodging LO
Answer the following questions regarding the tax consequences of meals and lodging.
Question Content Area
aMilton is a nurse whose employer provided meals for him on the employer's premises, since he is given only minutes for lunch.
Is the value of these meals taxable income to Milton?
YesNo
Question Content Area
bMary is a San Diego ambulance driver. The city provides Mary with meals while she is working so she will be available for emergencies.
Is the value of these meals taxable income to Mary?
YesNo
Question Content Area
cIndigo is the head of security at a casino. The casino operator frequently provides meals from the casino buffett to Indigo as a gesture of goodwill for the great job she is doing.
Is the value of these meals taxable income to Indigo?
YesNo
Question Content Area
dKerrie works at Sante Fe Memorial Hospital as an administrative assistant. Sante Fe operates a heavily subsidized onsite cafeteria because the majority of Sante Fe employees are required to eat lunch on the premises to be available for emergencies. Kerries job description has no such requirement and she is free to eat anywhere during a typical lunch hour. Kerrie likes the cafeteria and generally eats her meals there anyway. Kerrie estimates the value of her meals at the cafeteria as $ Her records show she paid $ for these meals.
Is the value of these meals taxable income to Kerrie?
YesNo
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