Brent Fullback owned four passive activity interests in 2019: On March 2, 2019, Fullback sold his entire

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Brent Fullback owned four passive activity interests in 2019:

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On March 2, 2019, Fullback sold his entire interest in A-1 for $15,000. His basis in the activity on January 1, 2019, was $11,000.
Compute the following:

a. Gain or loss realized from the sale of A-1

b. Passive loss deduction (against nonpassive income) and type (i.e., ordinary income (loss) or capital income (loss))

c. Suspended losses and how they are allocated

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CCH Federal Taxation Basic Principles 2020

ISBN: 9780808051787

2020 Edition

Authors: Ephraim P. Smith, Philip J. Harmelink, James R. Hasselback

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Question Posted: Feb 18, 2024 07:21 AM

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Brent Fullback owned four passive activity interests in 2019: On March 2, 2019, Fullback sold his entire

Question:

Activity A-1 8-2 C-3 D-4 2019 Allocated Pre-2019 Date Gain/ (Loss) Acquired 11/22/93 14,000 01/25/96 (22,000) 07/03/98 (5,000) 08/01/00 (3.000) Suspended Loss (27,000) (25,000) (8,000) (1,000)

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based on the information provided heres how to compute the gain or loss reali...View the full answer

CCH Federal Taxation Basic Principles 2020

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