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Amrit has a long - term capital gain of $ 5 , 0 0 0 and a short - term capital loss of $ 1

Amrit has a long-term capital gain of $5,000 and a short-term capital loss of $10,000. How much, if any, of his capital losses can be used to reduce Amrits taxable income this tax year?
Select answer from the options below
$3,000.
$5,000.
$0.
$2,000.

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