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Jill sold the following stocks on December 31, 2021: Stock Sales price Original cost Purchase date ST LT A 100,000 1,000 6/30/07 B 90,000 2,000

Jill sold the following stocks on December 31, 2021:

Stock

Sales price

Original cost

Purchase date

ST

LT

A

100,000

1,000

6/30/07

B

90,000

2,000

7/30/07

C

80,000

3,000

8/30/07

D

70,000

4,000

9/30/07

E

60,000

10,000

10/30/07

F

50,000

20,000

11/30/07

G

40,000

60,000

12/30/07

H

30,000

40,000

1/30/20

I

20,000

50,000

2/30/20

J

10,000

60,000

3/30/20

K

9,000

70,000

4/30/20

L

8,000

80,000

5/30/20

M

7,000

90,000

6/30/20

N

6,000

100,000

7/30/20

She paid brokerage commissions of 5% of the sales price on all of the above sales.

  1. What is the net long term and short term gain or loss from the above_________________________

  1. Jill sold her personal automobile in 2021 for $20,000. She had originally purchased it for $30,000 two years earlier. The tax impact of this transaction is:_________________________

  1. In addition, Jill(who is single) sold her principle residence in December 2021 for $1 million. She had originally purchased it two months earlier for $200,000. Selling expenses were $20,000. She sold it because she had a job transfer out of town. The tax impact of this transaction is:_________________________

  1. She also sold a painting in December for $75,000 which she had originally purchased 5 years ago for $20,000. The tax impact of this transaction is:_________________________

  1. She sold a patent on an invention she created one year ago, for $30,000. She figured it had cost her $5000 in legal fees and other out-of-pocket expenses to create the invention and file paperwork to receive a patent. The tax impact of this transaction is:_________________________

  1. She bought an option to buy Apple stock for $1000. She bought on January 1 2018, and let it lapse on June 30 of 2021. The tax impact of this transaction is:_________________________

  1. Assuming she also had long (short) term capital loss carryovers from the prior year of $1000 ($2,000). compute the overall tax consequences of the above to Jill for 2021. Make columns for capital gains/losses, ordinary gains/losses, and 28% gains/losses_____________________________________________________

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