AAA sold shares of a qualified small business corporation on August 29, 2021. He realized a capital gain of $64,000 on the sale. AAA has never claimed a capital gains deduction, he has never realized an allowable business investment loss and has no cumulative net investment loss. His only net/allowable capital loss claimed since 1985 is a net capital loss of $11,000 that he plans to claim in 2021 to offset the taxable capital gain on this share sale. What is the capital gains deduction available to AAA on the sale of these shares?

Answer rating: 100% (QA)

Step 1 Capital losses that exceed capital gains in a year may be used to ... View the full answer