Gary and Tom own 100 shares of Rosa Co. stock. Gary acquired the stock for ($ 60,000)
Question:
Gary and Tom own 100 shares of Rosa Co. stock. Gary acquired the stock for \(\$ 60,000\) from Rosa Co. three years ago when it was formed. Tom acquired the stock two years ago from Julie for \(\$ \$ 45,000\). Gary and Tom are single. Rosa Co. meets all the requirements of Code Sec. 1244. Rosa Co. just went through bankruptcy this year and its stock is completely worthless. What are the tax consequences to Gary and Tom?
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Both Gary and Tom can potentially claim ordinary loss deductions on their worthless Rosa Co stock wi...View the full answer
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Related Book For 
CCH Federal Taxation 2019 Comprehensive Topics
ISBN: 9780808049081
2019 Edition
Authors: Ephraim P. Smith, Philip J. Harmelink, James R. Hasselback
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