Hans runs a sole proprietorship. Hans has reported the following net §1231 gains and losses since he began business. Net §1231 gains shown are before the look-back rule.(Leave no answer blank. Enter zero if applicable.) Net §1231 Year Gains/(Losses) Year 1 $(68,000) Year 2 16,500 Year 3 0 Year 4 0 Year 5 11,200 Year 6 0 Year 7 (current year) 51,500 b.Assume that the $51,500 net §1231 gain occurs in year 6 instead of year 7. What amount of the gain would be treated as ordinary income in year 6? Ordinary Income_____________

Hans runs a sole proprietorship. Hans has reported the following net §1231 gains and losses since he began business. Net §1231 gains shown are before the look-back rule. (Leave no answer blank. Enter...

Hans runs a sole proprietorship. Hans has reported the following net §1231 gains and losses since he began business. Net §1231 gains shown are before the look-back rule.(Leave no answer blank. Enter zero if applicable.)

	Net §1231
Year	Gains/(Losses)
Year 1	$(68,000)
Year 2	16,500
Year 3	0
Year 4	0
Year 5	11,200
Year 6	0
Year 7 (current year)	51,500

b.Assume that the $51,500 net §1231 gain occurs in year 6 instead of year 7. What amount of the gain would be treated as ordinary income in year 6?

Ordinary Income_____________

Jun 08, 2022

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Hans runs a sole proprietorship. Hans has reported the following net §1231 gains and losses since he began business. Net §1231 gains shown are before the look-back rule. (Leave no answer blank. Enter...

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