In February, Jasmine received a $30,000 gift from her cousin and in March she inherited $90,000 in corporate bonds from her aunt.Jasmine was the beneficiary on her aunt's life insurance policy and received the lump-sum proceeds of $100,000 in April.How much does Jasmine include in gross income?

Question

Quizplus · Accepted Answer

Gifts and inheritances, including life insurance proceeds paid upon death, are generally not taxable income for the recipient in the United States. Therefore, Jasmine would not include any of these amounts in her gross income.

In February, Jasmine Received a $30,000 Gift from Her Cousin