| Course Project Solutions |
| Description | | Proceeds | | Cost Basis | | Gain (Loss) | | Short-Term | | Long-Term | | Comments |
| Inherited Stock | | 35,000 | | 29,000 | | | | | | | | Inherited - so date of death FMV |
| Stock | | 3,200 | | 6,000 |
| Land (1) | | 147,000 | | | | | | | | | | You have to calculate the cost basis - see 1 and 1a below |
| Stock | | 1,725 | | 1,350 |
| Stock | | 9,200 | | 10,000 |
| Bond (2) | | 95,949 | | | | | | | | | | You have to calculate the basis, see 2 below |
| (1) |
| Amount realized |
| Minus: basis (1a) |
| Gain Realized | | - 0 |
| [1a] |
| $85,000 | | Original purchase price of property, paid by James's Uncle |
| $5,000 | | Gift tax paid at time of gift | | | | Include all of the gift tax to get your basis |
| $125,000 | | FMV of property at time of gift |
| $115,000 | | Amount of gift (equals the FMV of property less the exclusion amount. |
| (2) |
| | | Interest | | Amortization | | Interest | | Basis of |
| | | Received | | of OID | | Income | | Bond |
| 1/1/09 | | | | | | | | 92,777 |
| 6/30/09 |
| 12/31/09 |
| 6/30/10 |
| Look at my OID example spreadsheet for assistance on how to calculate this. |
| Complete this section after you have finished the top section. |
| Net Short-Term Capital Gain |
| Net Long-Term Capital Gain |
| Short-term Capital Loss Carryforward | | | | 8,000 | | (Carried forward from prior year) |
| Capital Gain to be Reported |
| Capital Loss Carryforward | | | | 0 |
smai20
pro.xlsx
