On January 3, 2020 (Year 4), James sold stock at a cost of $12,600 to his sister Laura for $11,200, its FMV. James bought the stock in 2017 (Year 1). On May 1, 2020 (Year 4), Laura sold the same stock for $12,000 to an unrelated party. In 2020 (Year 4), as a result of these transactions, what amount of gain or loss must Laura recognize?

		$0
		$600 long-term capital loss.
		$800 short-term capital gain.
		$800 long-term capital gain

Answer rating: 100% (QA)

As a result of sale What amount o... View the full answer