Justin Macdonald is married to Janine MacDonald Justin owns a business and maintains a variety of investments Janine is a CFO for a mid size company Below, are their realization transactions for 2019 are presented Justin sold his investment in ACME Co for $25,000 He originally invested $165,000 in the company that qualified as a Sec 1244 company He purchased the stock in 2008 and sold it in 2019 Justin sold his investment in Xerox that he bought on June 18,2019 for $5,800 for $12,325 on November 15,2019 On 2 1 19 Justin sold an office building and purchased a new one (shown above) Justin received $195,000 cash and the buyers assumed the remaining $60,000 loan on the building He originally purchased the building for $100,000 in 2009 As of the date of sale, he had taken $25,000 of tax depreciation He also paid the real estate agent 6 of the sales price as a commission (Hint the commission was paid on the total sales price) On 1 15 19, Justin sold his old computer system He was paid $6,500 for the computer Justin originally purchased the computer in 2017 for $20,500 and was able to fully depreciate the asset in the year of acquisition because of bonus depreciation and Section 179 On 3 15 19 Justin and Janine sold their home that they used as their principal residence for 10 years without interruption They sold the home for $755,000 They originally purchased the home for $175,000 in 2009 On 8 4 19 Justin sold his complete ownership in Yahoo Inc He bought the stock for $10,350 in 2005 and sold it for $38,000 In May 2019, Justin sold stock in JAK Inc for $40,000 He acquired this stock from his sister His tax basis in the stock was $30,000 However, his sister sold it to them at a loss of $16,500 Justin has not had any Sec 1231 transactions in the last 5 years In addition to the aforementioned items, Justin and Janine have the following additional information for 2019 Salary Justin $130,000 Salary Janine $475,000 Interest Income from banks $30,000 Qualifying Dividend Income $18,200 Annuity Payment (originally invested $80K, payout 400K) $30,000 Sole Proprietorship Net Income Justin $92,000 Eligible for 199A Partnership Income (active) Janine $112,000 Eligible for 199A S Corporation Income $45,000 Eligible for 199A SEP Contributions $45,000 Self Employed Medical Insurance $15,000 Mortgage Interest (Outstanding Principal $1,250,000 $31,000 (Home acquired in 2015) Property Taxes $16,500 Charitable Contributions $82,000 Investment Interest Expense $57,000 Income Tax Withheld $250,000 Required Create a schedule of all 2019 sales and exchanges of property transactions and label them accordingly (e g , Sec 1231 gains losses, Long term capital, Sec 1245 recapture, etc )

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Justin Macdonald is married to Janine MacDonald. Justin owns a business and maintains a variety of investments. Janine is a CFO for a mid-size company.

Justin Macdonald is married to Janine MacDonald. Justin owns a business and maintains a variety of investments. Janine is a CFO for a mid-size company. Below, are their realization transactions for 2019 are presented.

Justin sold his investment in ACME Co. for $25,000. He originally invested $165,000 in the company that qualified as a Sec. 1244 company. He purchased the stock in 2008 and sold it in 2019.
Justin sold his investment in Xerox that he bought on June 18,2019 for $5,800 for $12,325 on November 15,2019.
On 2/1/19 Justin sold an office building and purchased a new one (shown above). Justin received $195,000 cash and the buyers assumed the remaining $60,000 loan on the building. He originally purchased the building for $100,000 in 2009. As of the date of sale, he had taken $25,000 of tax depreciation. He also paid the real estate agent 6% of the sales price as a commission. (Hint the commission was paid on the total sales price).
On 1/15/19, Justin sold his old computer system. He was paid $6,500 for the computer. Justin originally purchased the computer in 2017 for $20,500 and was able to fully depreciate the asset in the year of acquisition because of bonus depreciation and Section 179.
On 3/15/19 Justin and Janine sold their home that they used as their principal residence for 10 years without interruption. They sold the home for $755,000. They originally purchased the home for $175,000 in 2009
On 8/4/19 Justin sold his complete ownership in Yahoo Inc. He bought the stock for $10,350 in 2005 and sold it for $38,000.
In May 2019, Justin sold stock in JAK Inc. for $40,000. He acquired this stock from his sister. His tax basis in the stock was $30,000. However, his sister sold it to them at a loss of $16,500.
Justin has not had any Sec. 1231 transactions in the last 5 years.

In addition to the aforementioned items, Justin and Janine have the following additional information for 2019

Salary Justin $130,000

Salary Janine $475,000

Interest Income from banks $30,000

Qualifying Dividend Income $18,200

Annuity Payment (originally invested $80K, payout 400K) $30,000

Sole Proprietorship Net Income - Justin $92,000 Eligible for 199A

Partnership Income (active) Janine $112,000 Eligible for 199A

S Corporation Income $45,000 Eligible for 199A

SEP Contributions $45,000

Self-Employed Medical Insurance $15,000

Mortgage Interest (Outstanding Principal $1,250,000 $31,000 (Home acquired in 2015)

Property Taxes $16,500

Charitable Contributions $82,000

Investment Interest Expense $57,000

Income Tax Withheld $250,000

Required

Create a schedule of all 2019 sales and exchanges of property transactions and label them accordingly (e.g., Sec. 1231 gains/losses, Long-term capital, Sec. 1245 recapture, etc.).