Polly has the following capital gains and losses for the current year: Short-term capital gain$ 1,000 Short-term

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Polly has the following capital gains and losses for the current year:

Short-term capital gain$ 1,000

Short-term capital loss 8,000

Long-term capital gain 5,000

Collectibles gain 16,000

Collectibles loss 3,000

What is the effect of the capital gains and losses on Polly's taxable income and her income tax liability? Assume that Polly is in the 33% marginal tax rate bracket.

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Concepts In Federal Taxation

ISBN: 9780324379556

19th Edition

Authors: Kevin E. Murphy, Mark Higgins, Tonya K. Flesher

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Question Posted: Mar 29, 2013 03:42 AM

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Polly has the following capital gains and losses for the current year: Short-term capital gain$ 1,000 Short-term

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Capital gains and losses from collectibles are treated as being held longterm in the capital gain an...View the full answer

Concepts In Federal Taxation

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