Brenda sells stock she purchased in 2004 for a $7,500 gain in 2016.In August 2016,she also sells land she purchased as an investment in December 2015 at a loss of $9,000.
I.For 2016,Brenda's tax on the $7,500 gain is $1,125.
II.Brenda can deduct $3,000 of the $9,000 loss in 2016.
III.For 2016,Brenda has a net long-term capital loss of $9,000.
IV.Brenda can only deduct a capital loss of $1,500 in 2016.

Question

Brenda sells stock she purchased in 2004 for a $7,500 gain in 2016.In August 2016,she also sells land she purchased as an investment in December 2015 at a loss of $9,000.
I.For 2016,Brenda's tax on the $7,500 gain is $1,125.
II.Brenda can deduct $3,000 of the $9,000 loss in 2016.
III.For 2016,Brenda has a net long-term capital loss of $9,000.
IV.Brenda can only deduct a capital loss of $1,500 in 2016.
​

Quizplus · Accepted Answer

The Answer of Brenda sells stock she purchased in 2004 for a $7,500 gain in 2016.In August 2016,she also sells land she purchased as an investment in December 2015 at a loss of $9,000.
I.For 2016,Brenda's tax on the $7,500 gain is $1,125.
II.Brenda can deduct $3,000 of the $9,000 loss in 2016.
III.For 2016,Brenda has a net long-term capital loss of $9,000.
IV.Brenda can only deduct a capital loss of $1,500 in 2016.
​

Brenda Sells Stock She Purchased in 2004 for a $7,500