Question
In Year 4, Richards parents sold 100 shares of Techno stock to Richard for $55,000. The parents paid $75,000 for the stock in Year 1.
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In Year 4, Richards parents sold 100 shares of Techno stock to Richard for $55,000. The parents paid $75,000 for the stock in Year 1. Subsequently in Year 4, Richard sold the stock to an unrelated third party for $80,000. What amount of gain should Richard report on the Year 4 income tax return?
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$0
-
$5,000
-
$20,000
-
$25,000
In Year 4, Richards parents sold 100 shares of Techno stock to Richard for $55,000. The parents paid $75,000 for the stock in Year 1. Subsequently in Year 4, Richard sold the stock to an unrelated third party for $80,000. What amount of gain should Richard report on the Year 4 income tax return?
$0
$5,000
$20,000
$25,000
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Costing
Authors: Lucey
7th Edition
1844809439, 978-1844809431
