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Answer if 30 mins if possible, thank you On November 15, 2019, Tim a cash basis taxpayer, gave his Daughter Nancy 1000 shares of JP
Answer if 30 mins if possible, thank you
On November 15, 2019, Tim a cash basis taxpayer, gave his Daughter Nancy 1000 shares of JP Morgan common stock, which Tim purchased on June 30, 2015 for $60,000. On the date of the gift the stock was selling on the NY Stock Exchange for $46 per share. On December 03, 2019, the corporation declared a 1 for 1 stock dividend payable on December 10, 2019, to shareholders of record as of November 22, 2019. On January 17, 2020, Nancy sold 1,500 shares of JP Morgan common stock that she received from her father and from the stock dividend for $18 per share. a) What is Nancy's recognized gain or loss on the sale of the 1,500 shares on January 17, 2020? b) What is Nancy's total basis in the remaining shares? Explain your answer and show all calculationStep by Step Solution
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