For 2014,Stuart has a short-term capital loss,a collectible long-term capital gain,and a long-term capital gain from land held as investment.The short-term loss is first applied to the collectible capital gain.

Question

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According to IRS rules, short-term capital losses are always applied first to any collectible long-term capital gains before being applied to any other long-term capital gains. Therefore, Stuart's short-term capital loss would be applied to the collectible long-term capital gain before being applied to the long-term capital gain from land held as investment.

For 2014,Stuart Has a Short-Term Capital Loss,a Collectible Long-Term Capital