Bass, a C corporation, has a net short-term capital gain of $20,000 and a net long-term capital loss of $90,000 during 2019. Bass also has taxable income from other sources of $1 million.a. Assume there are no prior year capital transactions. How are the 2019 capital gains and losses treated on Bass’ 2019 tax return and is there any potential impact to other tax years?b. If Bass were a proprietorship, how would Ellen, the owner, report these transactions on her 2019 and future tax returns if there is any impact

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Here LTCG and STCG will be Set off against each other which leads to Final loss of LTCG of ... View the full answer