Virginia has a casualty gain of $5,000 and a casualty loss of $2,500, before reduction by the

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Virginia has a casualty gain of $5,000 and a casualty loss of $2,500, before reduction by the $100 floor. The gain and loss were the result of two separate casualties, and both properties were personal-use assets. What is Virginia’s gain or loss as a result of these casualties?

a. $5,000 capital gain and $2,500 capital loss
b. $5,000 capital gain and $2,400 itemized deduction, subject to the 10 percent of adjusted gross income limitation
c. $5,000 capital gain and $2,500 itemized deduction, subject to the 10 percent of adjusted gross income limitation
d. $5,000 capital gain and $2,400 capital loss
e. None of the above

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Related Book For  answer-question

Income Tax Fundamentals 2017

ISBN: 9781305872738

35th Edition

Authors: Gerald E. Whittenburg, Steven Gill, Martha Altus Buller

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