Henry has an outside basis of $9000 a the beginning of the year. His Scheudle k-1 reports a looss of $12000. The loss consists of an ordinary loss of $9000 and a capital loss of $3000. How much of the capital loss is allowed after applying the basis limitation?

A. $3000

B. $2250

C. $750

D. $0

Answer rating: 100% (QA)

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