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please answer correct Required information Comprehensive Problem 07-63 (LO 07-1, LO 07-2, LO 07-3, LO 07-4) (Algo) [The following information applies to the questions displayed
please answer correct
Required information Comprehensive Problem 07-63 (LO 07-1, LO 07-2, LO 07-3, LO 07-4) (Algo) [The following information applies to the questions displayed below.] During 2022, your clients, Mr. and Mrs. Howell, owned the following investment assets: No commissions are charged when no-load mutual funds are bought and sold. Because of the downturn in the stock market, Mr. and Mrs. Howell decided to sell most of their stocks and the mutual fund in 2022 and to reinvest in municipal bonds. The following investment assets were sold in 2022: "No commissions are charged when no-load mutual funds are bought ahd sold. The Howells' broker issued them a Form 1099-8 showing the sales proceeds net of the commissions paid. For example. the IBM sales proceeds were reported as $16,100 on the Form 1099-8 they received. In addition to the sales refected in the table above, the Howells provided you with the following additional information concerning 2022: The Howells' broker issued them a Form 1099-B showing the sales proceeds net of the commissions paid. For example, the IBM sales proceeds were reported as $16,100 on the Form 1099-8 they recelved: In addition to the sales reflected in the table above, the Howells provided you with the following additional information concerning 2022: - The Howells recelved a Form 1099-8 from the Vanguard mutual fund reporting a $900 long-term capital gain distribution. This distribution was reinvested in 31 additional Vanguard mutual fund shares on 6/30/2022. - In 2016, Mrs. Howell loaned $8,500 to a friend who was starting a new multilevel marketing company called LD3. The friend declared bankruptcy in 2022, and Mrs. Howell has been notified she will not be recelving any repayment of the loan. - The Howells have a $4,800 short-term capital loss carryover and a $7,300 long-term capital loss carryover from prior years. - The Howells did not instruct their broker to sell any particular lot of IBM stock. - The Howells earned $4,250 in municipal bond interest, $4,250 in interest from corporate bonds, and $6,500 in qualified dividends. - Assume the Howells have $192,500 of wage income during the year. Comprehensive Problem 07-63 Part a-2 (Algo) a-2. Compute the Howells' tax liability for the year (Ignoring the alternative minimum tox and any phase-out provisions) ossuming they file a joint return, they have no dependents, they don't make any special tax elections, and their itemized deductions total $30,000, (Use the tax rate schedules. Dividends and Capital Gains Tax Rates.) Comprehensive Problem 07.63 Part c (Algo) c. Assume the Howells' short-term capital loss carryover from prior years is $84,800 rather than $4,800 as indicated above. If this is the case, how much short-term and long-term copital loss carryover remains to be carried beyond 2022 to future tax years? Note: Leave no cells blank - be certain to enter " O " wherever required Step by Step Solution
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