Question

1. Marv and Delores, married taxpayers who file a joint return, sell their personal residence on December 1st for $180,000. They lived in the house for the past 52 years. Their adjusted basis in their home was $35,000. Calculate their recognized (taxable) gain on the sale of their personal residence.

2. The following transactions were reported on a 1099-B. The taxpayer, who files as single, had taxable income of $100,000. Calculate the tax owed on the transactions.

Description	No. of Shares	Date Acquired	Date Sold	Proceeds (less commissions)	Cost (Basis)
Rust Corp	100	11/01/2016	12/20/2017	1700	3200
Rio Motors Inc.	150	07/15/2008	06/28/2017	9543	7648
Rider Corporation	65	11/29/2017	11/25/2017	7222	2549
Doors & Floors Org	55	10/01/2016	10/20/2017	5550	5600
Yours-Mine-Ours Corp	75	09/01/2007	01/03/2017	3750	4000
Bagels R Us Corp	63	08/01/2002	12/31/2017	1575	1400

Answer 1

1	Sales of old house	$         180,000
	Less:
	Basis of old house	$           35,000
	Gain from the old house	$         145,000
2		Date Acquired	Date Sold	Proceed	Cost
	Rust Corp	11-01-2016	12/20/2017	1700	3200	-1500	LT
	RIO Motors	07/15/2008	06-28-2017	9543	7648	1895	LT
	Rider Corporation	11/29/2017	11/25/2017	7222	2549	4673	ST
	Doors & Floors Org	10-01-2016	10/20/2017	5550	5600	-50	LT
	Yours-Mine-Ours Corp	09-01-2007	01-03-2017	3750	4000	-250	LT
	Bagels R Us Corp	08/01/2002	12/31/2017	1575	1400	175	LT
	Assume Tax Year 2017		Tax Rate	Tax Owed
	Total Long Term Capital Gains	270	15%	40.5
	Total Short Term Capital Gain	4673	28%	1308.44
	Total Tax Owed on Capital Gains			1348.94