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Jason and Jessica sold their downtown apartment for $360,000 in 2019. The apartment has been their principal residence for the past 5 years. There is
Jason and Jessica sold their downtown apartment for $360,000 in 2019. The apartment has been their principal residence for the past 5 years. There is no rental use of their home and the tax basis in the apartment is $366,000. Which of the following is true for 2019? A) They can deduct the $6,000 as deduction FOR AGI B) They can deduct the $6,000 loss as deduction FROM AGI C) They can only deduct $3,000 as deduction FROM AGI. The remaining $3,000 may be deducted in 2020. D) They can only deduct $3,000 as deduction FOR AGI. The remaining $3,000 may be deducted in 2020. E) They cannot deduct any loss from the sale of the apartment
A) They can deduct the $6,000 as deduction FOR AGI
B) They can deduct the $6,000 loss as deduction FROM AGI
C) They can only deduct $3,000 as deduction FROM AGI. The remaining $3,000 may be deducted in 2020.
D) They can only deduct $3,000 as deduction FOR AGI. The remaining $3,000 may be deducted in 2020.
E) They cannot deduct any loss from the sale of the apartment
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