Tax 610 chapter 12 Homework - P 30 Which of following is a capital asset a Gold ring received as a gift(For personal use b Personal automobile g Home in

Tax 610 chapter 12 Homework - P 30 Which of following is a...

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P. 30 Which of following is a capital asset? a. Gold ring received as a gift (For personal use) b. Personal automobile g. Home in Florida used for only four months during the winter (For personal use) P. 35 Susan sold stocks for $1,500 with basis $3,000 and FMV of $2,400 at the date her father gave stocks to her as a gift Sales<FMV<Basis Her loss is $900 ($2,400 - $1,500) P.37 Ed’s capital gains and losses a. STCG $1,500 STCL ($2,250) LTCG $5,500 LTCL ($2,500) Result LTCG $2,250 tax at 15/20% b. STCG $6,000 STCL ($4,500) LTCG $0 LTCL ($750) Result gain $750, maximum tax at rate 39.60 % c. LTCL ($4,000) LTCG $8,500 STCL ($2,250) STCG $3,000 LTCG $4,500 tax at 15/20% and STCG $750 tax at Ed’s tax bracket d. LTCG $750 LTCL ($2,250) STCG $900 STCL ($800) LTCL ($1,500) and STCG $100 result loss deductible $1400 on Ed’s 2014 tax return e. LTCG $3,500 LTCL ($3,000) STCG $2,000 STCL ($6,500) LTCG $500 and STCL ($4,500) result STCL ($4,000) but only $3,000 can be deducted on Ed’s 2014 tax return and $1,000 loss will be carried to 2015 tax return f. LTCL ($4,250) LTCG $250 STCL ($2,500) STCG $500
LTCL ($4,000) and STCL ($2,000). $3000 loss is deductible on 2014 tax return and another $3,000 carryover to next year tax return. P. 38 Ted Thomas a. $12,000 b. 15/20 percent c. 15 percent P. 39 Gordon Grumps $3,000 loss deduction for 2014 and long term loss carryover of $5,700 to next year place in 28% basket P. 40 Bert Baker Bert deduct STCL ($3,000) on his 2014 tax return, and carryover STCL ($2,000) and LTCL ($2,000) to 2015 P. 41 Cannon would have STCL ($25,000). STCL ($3,000) is deductible on 2014 tax return and STCL ($22,000) carryover to next year. P. 46 Kirk Kelley a. Kirk has ordinary loss ($40,000) deductible and ($3,000) capital loss deductible loss on his 2014 tax return, and LTCL ($11,500) carryover to next year tax return b. Gross Income $700,000 Ordinary Loss ($40,000) Capital Loss ($3,000) AGI $657,000 P. 49 Andrew Graham $400 is less than $5,550 , there is no casualty or theft itemized deduction allowable for that item. Add Section 1231 gain and loss and Net LTCG and STCL result an ordinary income $750 ( $500 - $700 + $3,000 - $2,000) Andrew AGI now is 40,750 P. 50 Barbara Bliss Initial adjusted gross income $30,000 Add short-term business casualty gain $100 Add long-term business casualty gain (considered as Section 1231) Section 1232 gains and losses, and LTCL and STCL ($3,000) ($800 loss carryover to next year) Adjust gross income $26,900

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