If an attorney performs some estate tax work for a client and the client agrees to pay $6,000 to him and $5,000 to a local financial institution for a debt the attorney owes,the attorney has income of:

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The attorney has received a total of $11,000 in value - $6,000 in payment for the estate tax work and $5,000 in debt forgiveness (payment to the financial institution on their behalf). Both of these are considered income for tax purposes. Therefore, the attorney has $11,000 of income.

If an Attorney Performs Some Estate Tax Work for a Client