Bennett, who is single, owns all of the outstanding stock of Bennett Company.In 2019 Bennett sells all of his stock in the company for $30,000.If the stock qualifies as Section 1244 and his basis in the stock is $140,000, how is his loss on the sale classified for tax purposes?
A)$110,000 capital loss
B)$110,000 ordinary loss
C)$60,000 capital loss; $50,000 ordinary loss
D)$100,000 ordinary loss; $10,000 capital loss
E)None of the above

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The Answer of Bennett, who is single, owns all of the outstanding stock of Bennett Company.In 2019 Bennett sells all of his stock in the company for $30,000.If the stock qualifies as Section 1244 and his basis in the stock is $140,000, how is his loss on the sale classified for tax purposes?
A)$110,000 capital loss
B)$110,000 ordinary loss
C)$60,000 capital loss; $50,000 ordinary loss
D)$100,000 ordinary loss; $10,000 capital loss
E)None of the above

Bennett, Who Is Single, Owns All of the Outstanding Stock