Richard and Alice are divorced and under the terms of their written divorce agreement signed on December 30, 2008, Richard was required to pay Alice $1,500 per month of which $600 was designated as child support. He made 12 such payments in 2015. Additionally, Richard voluntarily paid Alice $1,200 per month for 12 months of 2015, no portion of which was designated as child support. Assuming that Alice has no other income, her tax return for 2015 should show gross income of:

Question

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Only the $600 per month designated as child support is excluded from Alice's gross income. Therefore, her gross income should include the remaining $600 per month from Richard's divorce agreement payments ($1,500 - $600) and the $1,200 per month voluntary payments, for a total of $10,800 for the year.

Richard and Alice Are Divorced and Under the Terms of Their