Bob, age 40 and not blind, filing head of household with 2 dependents, had the f
ID: 2550774 • Letter: B
Question
Bob, age 40 and not blind, filing head of household with 2 dependents, had the following items for 2017:
Salary
$80,250
Casualty loss on long-term business property
(2,400)
Loss on sale of § 1244 small business stock acquired 3 years ago
(50,150)
Long-term capital gain on sale of investment
13,800
Short-term capital gain on sale of investment
900
Stock acquired 2 years ago became worthless during the year
(6,000)
Loss on non-business bad debt that has been held for 5 years
(7,250)
Determine adjusted gross income for 2017.
Salary
$80,250
Casualty loss on long-term business property
(2,400)
Loss on sale of § 1244 small business stock acquired 3 years ago
(50,150)
Long-term capital gain on sale of investment
13,800
Short-term capital gain on sale of investment
900
Stock acquired 2 years ago became worthless during the year
(6,000)
Loss on non-business bad debt that has been held for 5 years
(7,250)
Explanation / Answer
Answer
Adjusted Gross Income:
Particulars Amount Salary 80250 Casualty loss on long-term business property - Loss on sale of § 1244 small business stock acquired 3 years ago (50150) Long-term capital gain on sale of investment 13800 Short-term capital gain on sale of investment 900 Stock acquired 2 years ago became worthless during the year - Loss on non-business bad debt that has been held for 5 years (7250) Adjusted Gross Income 37550