Thuy buys a rental house in 2013 for $75,000. In 2021, she sells it for $86,000. Thuy
Question:
Thuy buys a rental house in 2013 for $75,000. In 2021, she sells it for $86,000. Thuy properly deducted $22,000 in depreciation on the house before its sale.
a. What is the amount and character of the gain on the sale?
b. Thuy also sells the following securities:
Determine the amount of tax that Thuy will pay on her capital asset transactions. Assume that she is in the 35% marginal tax rate bracket.
Transcribed Image Text:
Security Delphi Corporation Mondo, Inc. Horace Company Purchase Sales Date Date Basis Price 4/13/18 4/08/21 6/11/20 7/15/21 4/13/21 8/13/21 $ 3,000 12,000 14,000 Sales $ 7,000 10,000 19,000
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a Thuy realizes a 33000 gain on the sale The rental house is Section 1250 property but there is no d...View the full answer
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Related Book For
Concepts In Federal Taxation 2022
ISBN: 9780357515785
29th Edition
Authors: Kevin E. Murphy, Mark Higgins, Tonya K. Flesher
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