Question 21 of 30. Leo purchased 200 shares of XYZ stock in 2019 for $1,500, XYZ Company had no earnings and profits for 2019 or 2020. Leo received a $1,000 return of capital in 2019 and a $1,000 return of capital in 2020, For each year, the amount was reported to him as a nondividend distribution in box 3 of Form 1099-DIV. How should Leo report the second distribution on his 2020 return? $500 capital gain $500 dividend income. $1,000 capital gain $1,000 dividend income. mark for followin GM Question 26 of 30 Lool has a mutanding the year, he received in de bons 500 meet them 51. Toto shares of the fund amount of Louised income suject to tax for that year SEO $1,700 $2.200 cum wood.com Question 21 of 30. Leo purchased 200 shares of XYZ stock in 2019 for $1,500, XYZ Company had no earnings and profits for 2019 or 2020. Leo received a $1,000 return of capital in 2019 and a $1,000 return of capital in 2020, For each year, the amount was reported to him as a nondividend distribution in box 3 of Form 1099-DIV. How should Leo report the second distribution on his 2020 return? $500 capital gain $500 dividend income. $1,000 capital gain $1,000 dividend income. mark for followin GM Question 26 of 30 Lool has a mutanding the year, he received in de bons 500 meet them 51. Toto shares of the fund amount of Louised income suject to tax for that year SEO $1,700 $2.200 cum wood.com