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Individual W purchased 100 shares of (public) L stock for investment in 2018 for $10/share. On March 1, 2022, W enters into a short sale

Individual W purchased 100 shares of (public) L stock for investment in 2018 for $10/share. On March 1, 2022, W enters into a short sale arrangement for 100 shares of L stock, at a time when L shares are valued at $12/share. On February 1, 2023, when X shares are valued at $11/share, W settles W's short sale arrangement by delivering W's 100 shares. 


What is W's taxable income in respect of L stock dealings for tax year ending 12/31/2022 under IRC 1259?

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