49. In 2022 Tom and Alejandro Jackson (married filing jointly) have $200,000 of taxable income before considering the following events:

a) On May 12, 2022, they sold a painting (art) for $110,000 that was inherited from Grandma on July 23, 2020. The fair market value on the date of Grandma's death was $90,000 and Grandma's adjusted basis of the painting was $25,000.

b) They applied a long-term capital loss carryover from 2021 of $10,000.

c) They recognized a $12,000 loss on 11/1/2022 sale of bonds (acquired on 5/12/2012).

d) They recognized a $4,000 gain on 12/12/2022 sale of IBM stock (acquired on 2/5/2022).

e) They recognized a $17,000 gain on the 10/17/2022 sale of rental property (the only 1231 transaction) of which $8,000 is reportable as gain subject to the 25 percent maximum rate and the remaining $9,000 is subject to the 0/15/20 percent maximum rates (the property was acquired on 8/2/2016).

f) They recognized a $12,000 loss on 12/20/2022 sale of bonds (acquired on 1/18/2022).

g) They recognized a $7,000 gain on 6/27/2022 sale of BH stock (acquired on 7/30/2013).

h) They recognized an $11,000 loss on 6/13/2022 sale of QuikCo stock (acquired on 3/20/2015).

i) They received $500 of qualified dividends on 7/15/2022.

Complete the required capital gains netting procedures and calculate the Jacksons 2022 tax liability.

PLEASE EXPLAIN THE NETTING PROCESS AND EXPLAIN WHERE EACH NUMBER COMES FROM WHEN DEDUCTING SHORT TERM ROW

I DO NOT UNDERSTAND WHY WE DEDUCT 8,000 SHORT TERM AND I ALSO DO NOT UNDERSTAND WHY WE DEDUCT 7000 FROM 10,000. PLEASE EXPLAIN THE DEDUCTION PROCESS CLEARLY AND IDIOT PROOF PLEASE (PRAYER HANDS INSERT)