In general, is the U.S. federal tax system progressive or regressive? Progressive Regressive You bought 1,000 shares of Tund Corp. stock for $82.35 per share and sold it for $68.12 per share after a few years. How will your gain or loss be treated when you file your taxes? As a capital loss deducted from taxable income in the year that the loss is realized As a capital gain taxed at the current ordinary-income tax rate As a capital loss deducted from current taxable income As a capital gain taxed at the long-term tax rate Suppose you want to invest $10,000. You have two options: (1) Invest in California municipal bonds with an expected rate of return of 7.00%, or (2) invest in J and K Corp.'s bonds with an expected rate of return of 10.50%. Assume that your decision is based on a tax perspective. If everything else is the same for both bonds, at what tax rate would you be indifferent between these two bonds? 28.33%30.00%41.66%33.33% If a taxpayer is liable to pay $8,950 under AMT law but $7,500 according to the regular tax system, the taxpayer will need to pay taxes according to the Which of the following cash outflows cannot be deducted from the operating income to derive the taxable income? Interest paid Dividends paid