Suppose a high-income individual,subject to a 15% capital gains tax rate,sells 100 shares of Company X and makes a loss of $500.She also sells 100 shares of Company Y and makes a profit of $1,200.How much in capital gains tax will she pay?

Question

Quizplus · Accepted Answer

The individual can offset the $500 loss from Company X against the $1,200 profit from Company Y, resulting in a net capital gain of $700. At a 15% tax rate, the capital gains tax would be 0.15 * $700 = $105.

Suppose a High-Income Individual,subject to a 15% Capital Gains Tax