SAMPLE SOLUTION TAXPAYER INFORMATION Marital status Single Ordinary income before capital gains (losses) 15,000 For AGI deductions None Itemized deductions None Standard deduction 12,400 QBID None Tax...

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SAMPLE SOLUTION TAXPAYER INFORMATION Marital status Single Ordinary income before capital gains (losses) 15,000 For AGI deductions None Itemized deductions None Standard deduction 12,400 QBID None Tax credits None SALES DATA CHARACTER CHECK TOTALS Description Date Purchased Date Sold Adjusted Basis Amount Realized Holding Type Gain (Loss) Stock A 1/1/2001 12/31/2020 3,000 1,000 LT 15 (2,000) ST 15 (3,000) - Stock B 1/1/2001 12/31/2020 10,000 60,000 LT 15 50,000 LT 28 - - Stock C 1/2/2020 12/31/2020 2,000 1,000 ST 15 (1,000) LT 25 - - Stock D 1/2/2020 12/31/2020 3,000 1,000 ST 15 (2,000) LT 15 48,000 - Antiques 1/1/2001 12/31/2020 1,000 1,000 LT 28 - Rental property 1/1/2001 12/31/2020 50,000 50,000 LT 25 - NETTING ST LT LT LT 28 25 15 Long-Term Description Short-Term 28-Percent 25-Percent 0/15/20-Percent Stock A - - - (2,000) Stock B - - - 50,000 Stock C (1,000) - - - Stock D (2,000) - - - Antiques - - - - Rental property - - - - Subtotal (3,000) - - 48,000 Netting: ST -> 28 - - ST -> 25 - - ST ->0/15/20 3,000 (3,000) Total - - - 45,000 TAX FORMULA AND CHARACTER SUMMARY INCOME: Ordinary income 15,000 Short-term capital gains (losses) - Long-term capital gains (losses) 28-percent - 25-percent - 0/15/20-percent 45,000 TOTAL INCOME 60,000 DEDUCTIONS FOR AGI - AGI 60,000 DEDUCTIONS FROM AGI: Standard deduction 12,400 QBID - TOTAL DEDUCTIONS FROM AGI 12,400 TAXABLE INCOME 47,600 TAXABLE INCOME BY CHARACTER: Ordinary 2,600 Net capital gain: 28-percent - 25-percent - 0/15/20-percent 45,000 TOTAL TAXABLE INCOME BY CHARACTER 47,600 TAX BASE TAX Ordinary income 2,600 260.00
Answered Same DayNov 09, 2021

Answer To: SAMPLE SOLUTION TAXPAYER INFORMATION Marital status Single Ordinary income before capital gains...

Suvrat answered on Nov 10 2021
146 Votes
Description Date Purchased Date Sold
Adjusted
Basis
Amount
realized Holding Type
Gain
(Loss)
Stock A
06-01-2019 01-02-2020 18,000 6,000 ST 15 -12,000 ST 15 -11,000 -
Stock B 1/15/2017 11/30/2020 11,000 2,95,250 LT 15 2,84,250 LT 28 10,000 -
Stock C 02-01-2020 6/15/2020 200 1,200 ST 15 1,000 LT 25 8,000 -
Stock D 7/14/2012 09-05-2020 22,000 16,000 LT 15 -6,000 LT 15 2,78,250 -
Antiques 03-01-1994 07-01-2020 20,000 30,000 LT 28 10,000
Rental Property 8/15/2010 4/22/2020 69,000 77,000 LT 25 8,000
ST
LT
28
LT
25
LT
0/15/20
Description Short Term 28-percent 25-percent 0/15/20-percent
Stock A -12,000 - - -
Stock B - - - 2,84,250
Stock C...
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