ose sued Mari for breach of promise to marry. Mari lost the duly paid the court's award that included, among others, P100,000 as moral damages for the mental anguish Jose suffered. Did Jose earn a taxable income?   He had no taxable income because it was a donation. He had no taxable income since moral damages are compensatory. He had taxable income since he made a profit. He had a taxable income of P100,000 since income is income from whatev

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Jose sued Mari for breach of promise to marry. Mari lost the duly paid the court's award that included, among others, P100,000 as moral damages for the mental anguish Jose suffered. Did Jose earn a taxable income?
 
He had no taxable income because it was a donation.
He had no taxable income since moral damages are compensatory.
He had taxable income since he made a profit.
He had a taxable income of P100,000 since income is income from whatever source.
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