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An individual had the following capital gains and losses for the year:
What will be the net gain (loss) reported by the individual and at what applicable tax rate(s)?
A. Short-term loss of $3,000 at the ordinary rate, long-term capital gain of $10,000 at the 15% rate, collectibles gain of $10,000 at the 28% rate, and Section 1250 gain of $56,000 at the 25% rate.
B. Long-term gain of $16,000 at the 15% rate.
C. Long-term capital gain of $3,000 at the 15% rate, collectibles gain of $10,000 at the 28% rate, and Section 1250 gain of $56,000 at the 25% rate.
D. Short-term loss of $3,000 at the ordinary rate and long-term capital gain of $86,000 at the 15% rate.
Answer: B
Explanation:
Explanation
Choice "a" is correct. Specific netting procedures for capital gains and losses are outlined in the Internal Revenue Code for non-corporate taxpayers.
Gains and losses are netted within each tax rate group (e.g., the 15% rate group). The facts of this
QUESTION NO have already performed this step for us.
Short-term Capital Gains and Losses
1. If there are any short-term capital losses (this includes any short-term capital loss carryovers), they are first offset against any short-term gains that would be taxable at the ordinary income rates.
2. Any remaining short-term capital loss is used to offset any long-term capital gains from the 28% grate group (e.g., collectibles).
3. Any remaining short-term capital loss is then used to offset any long-term gains from the 25% group (e.g., un-recaptured Section 1250 gains).
4. Any remaining short-term capital loss is used to offset any long-term capital gains applicable at the lower (e.g., 15%) tax rate.
Long-term Capital Gains and Losses
1. If there are any long-term capital losses (this includes any long-term capital loss carryovers) from the 28% rate group, they are first offset against any net gains from the 25% rate group and then against net gains from the 15% rate group.
2. If there are any long-term capital losses (this includes any long-term capital loss carryovers) from the 15% rate group, they are offset first against any net gains from the 28% rate group and then against net gains from the 25% rate group.
In this case, we are given net short-term capital losses of $70,000 to start with. Following the rules above, this first goes to offset any short-term gains at the ordinary income rates, but there are none in the facts. So, the next step is to offset the losses against any 28% rate gain long-term capital gains.
The facts provide that there is $10,000 in gains from collectibles (taxable at the 28% rate). The remaining short-term loss ($60,000) is next used to offset the long-term capital gains at the 25% rate.
The facts give us un-recaptured Section 1250 gains of $56,000 (taxed at the 25% tax rate). The remaining short-term capital loss is $4,000 ($70,000 - $10,000 - $56,000 = $4,000). The balance of the short-term capital losses is finally used to offset any capital gains taxed at the 15% tax rate, which the facts give us as $20,000. Therefore, after the $4,000 remaining short-term capital loss is applied to offset the $20,000 long-term capital gain taxed at the 15% tax rate, there is an amount of $16,000 remaining of long-term capital losses to be taxed at the 15% tax rate.
Choices "b", "c", and "d" are incorrect, per the ordering rules discussed above.
Supplemental Questions
고위 관리 비용 감사를 준비하는 동안 최고 감사 책임자 (CAE)는 경영진이 관련 지출을 뒷받침 할 여러 원래 비용 청구를 찾을 수 없음을 알게 됩니다. 그녀는 그들이 찾을 수 있을 때까지 약혼을 연기하기로 결정합니다. 다음 중 CAE의 결정을 이끌어 낸 원칙은 무엇입니까?
A. 정당한 전문적인 치료.
B. 독립.
C. 객관성.
D. 능숙 함.
Answer: A
DRAG DROP
Drag and drop the IP address next to the appropriate description.
Answer:
Explanation:
Explanation:
A newly purchased corporate WAP needs to be configured in the MOST secure manner possible.
INSTRUCTIONS
Please click on the below items on the network diagram and configure them accordingly:
* WAP
* DHCP Server
* AAA Server
* Wireless Controller
* LDAP Server
If at any time you would like to bring back the initial state of the simulation, please click the Reset All button.
Answer:
Explanation:
Explanation
Wireless Access Point
Network Mode - G only
Wireless Channel - 11
Wireless SSID Broadcast - disable
Security settings - WPA2 Professional
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