Donna files as a head of household in 2022 and has taxable income of $110,00 including the sale of a stock held as an investment for two years at a gain of $20,000. Only one asset was sold during the year and Donna does not have any capital loss carryovers. View the 2022 tax rate schedule for the Head of Household filing status. View the Preferential Rates for Adjusted Net Capital Gain (ANCT;) and Qualified Dividends. Read the requirements. Head of Household Tax Rate Schedule Rates for Adjusted Net Capital Gain (ANCG) and Qualified Dividends Capital Gains and Dividends Capital gains and losses are assigned to baskets. Five possible tax rates will apply to most capital gains and losses: - Ordinary income tax rates (up to 37% in 2022) for gains on assets held one year or less - 28% rate on collectibles gains and includible Sec. 1202 gains - Preferential tax rates for gains on assets held for more than one year and qualified dividends based on the taxpayer's taxable income and filing status as shown in the following table: - The corresponding amounts if married filing separately are hatf of the amounts for filing jointly. The preferential rate is zero for taxable income up to $41,675 if married filing separately. a. What is the amount of Donna's tax liability? b. What is the amount of Donna's tax liability if the stock is held for 11 months