Stock in the ABC Corporation was contributed to a public charitable organization. fte basis in the stock was $1,000, but its fair market value was $1,500 at the time of the donation. Indicate the correct income tax treatment as a result of the donation. fte stock was held long term.
A) Contribution of $1,000 (no gain recognized)
B) Contribution of $1,500 (no gain recognized)
C) Contribution of $1,500 (capital gain recognized $300)
D) Contribution of $1,000 (capital gain recognized $500)
E) None of the above

Question

Quizplus · Accepted Answer

In general, long-term capital gain assets are deductible at fair market value

Stock in the ABC Corporation Was Contributed to a Public