QUESTION 25 Betty Corporation, a calendar year S Corporation, has an Operating Loss of $80,000 and a Long-Term Capital Loss of $20.000 for the year of 2021. Nanette, an individual owns forty percent (40N) of the stock of Betty Corporation and has a $20,000 basis in her stock at the beginning of the year of 2021. What amount of the Long-Term Capital Loss can Nanette deduct on her personal Federal Iincome Tax Return (Form 1040) for the year of 2021? $20.000 O $16,000 O$ 8.000. O$ 4,000

QUESTION 25 Betty Corporation, a calendar year S Corporation, has an Operating Loss of $80,000 and a Long-Term Capital Loss of $20.000 for the year of 2021. Nanette, an individual owns forty percent (40N) of the stock of Betty Corporation and has a $20,000 basis in her stock at the beginning of the year of 2021. What amount of the Long-Term Capital Loss can Nanette deduct on her personal Federal Iincome Tax Return (Form 1040) for the year of 2021? $20.000 O $16,000 O$ 8.000. O$ 4,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A
Tonia acquires the following 5-year class property in 2019: Asset Date of Acquisition Cost X January 15 $ 70,000 Y May 28 45,000 Z November 23 90,000 Total $ 205,000 Tonia does not elect §179 or bonus depreciation. Tonia has $300,000 of taxable income from her business. Determine her total cost recovery deduction for the year.
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VI.7
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M¹ Julie received stock as a gift from her mother in June 2022 (no gift tax was paid). Her mother hadpaid $5,000 for the stock 3 years ago, and had held the stock as an investment. At the time of thegift, the stock had a FMV of $10,000. In September 2022, Julie (who also held the stock as aninvestment) sold the stock for $9000. What is the amount and character of the gain/loss recognizedby Julie as a result of the sale? $4,000 long-term capital gain$1,000 short-term capital loss$1.000 long-term capital loss$4,000 short-term capital gain
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