3.. Steve has a capital loss carryover in the current year of $30,000. He owns 3,000 shares of stock in Carmine Corporation, which he purchased six years ago for $20 per share. In the current year, Carmine Corporation (E & P of $750,000) redeems all of his shares for $140,000. Steve is in the 32% tax bracket. What is his income tax iability with respect to the corporate distribution if The redemption qualifies for sale or exchange treatment, and Steve has no other transactions in the current vear involving capital assets? Sales Proceeds Cost basis Gain loss realized $60,000 $140,000 ss recognized) in los Capital Loss ca ver (can he use it Total capital Gain (Loss) or dividend Tax Rate Tax liabili The redemption does not qualify for sale or exchange treatment? Sales Proceeds Cost basis Gain loss realized) or dividend Gain (loss recognized) or dividend Capital Loss carryover (can he use it) Total capital Gain (Loss) or dividend Tax Rate Tax liabili