On May 9, 2021, Calvin acquired 600 shares of stock in Hobbes Corporation, a new startup company, for $144,000. Calvin acquired the stock directly from Hobbes, and it is classified as § 1244 stock (at the time Calvin acquired his stock, the corporation had $900,000 of paid-in capital). On January 15, 2023, Calvin sold all of his Hobbes stock for $14,400. Assume that Calvin is single. Assuming that Calvin is single, determine his tax consequences as a result of this sale. If an amount is zero, enter "0". As a result of the sale, Calvin has: Ordinary loss: $fill in the blank 1 Short-term capital loss: $fill in the blank 2 Long-term capital loss:
On May 9, 2021, Calvin acquired 600 shares of stock in Hobbes Corporation, a new startup company, for $144,000. Calvin acquired the stock directly from Hobbes, and it is classified as § 1244 stock (at the time Calvin acquired his stock, the corporation had $900,000 of paid-in capital). On January 15, 2023, Calvin sold all of his Hobbes stock for $14,400. Assume that Calvin is single. Assuming that Calvin is single, determine his tax consequences as a result of this sale. If an amount is zero, enter "0". As a result of the sale, Calvin has: Ordinary loss: $fill in the blank 1 Short-term capital loss: $fill in the blank 2 Long-term capital loss:
Chapter7: Deductions And Losses: Certain Business Expenses And Losses
Section: Chapter Questions
Problem 23CE
Related questions
Question
On May 9, 2021, Calvin acquired 600 shares of stock in Hobbes Corporation, a new startup company, for $144,000. Calvin acquired the stock directly from Hobbes, and it is classified as § 1244 stock (at the time Calvin acquired his stock, the corporation had $900,000 of paid-in capital). On January 15, 2023, Calvin sold all of his Hobbes stock for $14,400. Assume that Calvin is single.
Assuming that Calvin is single, determine his tax consequences as a result of this sale.
If an amount is zero, enter "0".
As a result of the sale, Calvin has:
| Ordinary loss: | $fill in the blank 1 |
| Short-term capital loss: | $fill in the blank 2 |
| Long-term capital loss: |
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