Doug withdrew $50,000 from his 401(k) with his former employer Cabinets r us. Merrill Lynch is the investment company of the 401(k). This amount was reported on a 1099 R in Box 1 and 2 a. It was also noted that this was a Normal distribution in Box 7 (Code 7). In Box 4 it was noted that $5,000 of federal taxes were withheld from the distribution.

He sold Yellow, Inc. stock for $35,000 on March 12, 2019. He had purchased the stock on September 5, 2018, for $50,000. Received an inheritance as the sole beneficiary on January 4, 2019 of $250,000, which is the fair market value of Land, he received from his Uncle Fester who passed away. His Uncle paid $100,000 for the Land in 2000. He also received life insurance of $400,000. Doug used $200,000 of the insurance to purchase Purple, Inc. stock on May 15, 2019, and used the remaining amount of the life insurance to invest $200,000 in Gold, Inc. stock on May 30, 2019. Received Lime, Inc. stock worth $80,000 as a gift from his cousin, Shirley, on June 17, 2017. Her adjusted basis for the stock was $20,000. No gift taxes were paid on the transfer. Shirley had purchased the stock on April 1, 2012. Doug sold the stock on November 1, 2019, for $125,000. On September 15, 2019, Doug sold one-half of the Purple, Inc. stock for $175,000. Doug was notified on August 1, 2019, that Yellow, Inc. stock he purchased from Yellow, Inc. as one of their first investors on September 1, 2017, for $300,000 had become worthless. Total stock outstanding when he originally invested was $995,000. While he perceived that the investment was risky, he did not anticipate that the corporation would declare bankruptcy. He will not receive anything from the bankruptcy proceedings. On August 30, 2019, Doug received a parcel of land in Phoenix worth $205,000 in exchange for a parcel of land he owned in Tucson. Because the Tucson parcel was worth $245,000, he also received $40,000 cash. Dougs adjusted basis for the Tucson parcel was $100,000. He originally purchased it on September 18, 2014. During 2015, he loaned $20,000 to his brother. He executed a note and his brother paid interest and some principal payments on the note. The loan balance was $15,000 with $1,000 unpaid interest when his brother filed for Ch 7 bankruptcy on January 20, 2019. Doug was informed on June 15, 2019 by the bankruptcy court that he would not receive any further principal and interest payments on the note.

On December 31, 2019, Doug sold the inherited land from his uncle. The consideration was $525,000 installment note. The note was to paid in three installments with payments due on December 31, 2019, December 31, 2020 and December 31, 2021. The selling expenses were $25,000. He received the first installment payment on December 31, 2019.

Please help me how to narrative this, so I can do the tax?