Ask Question
27 September, 02:15

Jen bought 100 shares of ABC stock at $15 a share on July 14, 2017. On August 7, 2018, she noticed that the stock had increased in value to $20 a share and decided to sell her shares. Jen's marginal tax rate is 22%. How is the revenue from the sale treated on her 2018 income tax return

+2
Answers (1)
  1. 27 September, 02:22
    0
    The revenue from the sale treated as a long term capital gain on her 2018 income tax return

    Explanation:

    capital gain = (100*20) - (100*15)

    = $500

    tax rate on long term capital gain for 22% = 15%

    tax on capital gain = $500*15%

    = $75

    Therefore, The revenue from the sale treated as a long term capital gain on her 2018 income tax return
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Jen bought 100 shares of ABC stock at $15 a share on July 14, 2017. On August 7, 2018, she noticed that the stock had increased in value to ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers