33)The maximum amount of net capital losses individual taxpayers may deduct against their ordinaryincome per year is:A)Zero, losses are not deductible.B)There is no maximum. All losses are allowed to be deducted.C)$5,000.D)$3,000.E)None of the choices are correct.Answer: D
34)In the current year, Norris, an individual, has $50,000 of ordinary income, a Net Short Term CapitalLoss (NSTCL) of $10,000 and a Net Long Term Capital Gain (NLTCG) of $2,800. From his capitalgains and losses, Norris reports:
35)Ms. Fresh bought 1,000 shares of Ibis Corporation stock for $5,000 on January 15, 2015. OnDecember 31, 2017 she sold all 1,000 shares of her Ibis stock for $4,500. Based on a hot tip fromher friend, she bought 1,000 shares of Ibis stock on January 23, 2018 for $3,000. What is Ms.Fresh's recognized loss on her 2017 sale and what is her basis in her 1,000 shares purchased in2018?