An individual owns 1,500 shares that qualify as Section 1244 stock. She proposes to sell all of her shares in 2021 for $1,000. Her basis in the 1,500 shares is $100,000, of which 50,000 came from a capital contribution she made in 2020. Assume she files Married/Joint Return. How much of the loss may be treated as an ordinary loss under Section 1244 in 2021?

Answer rating: 100% (QA)

To determine the amount of the loss that may be treated as an ordinary loss under Section 1244 we ne... View the full answer