question archive 1)Sue loaned her sister Janice $10,000 three year ago
1)Sue loaned her sister Janice $10,000 three year ago
Subject:BusinessPrice: Bought3
1)Sue loaned her sister Janice $10,000 three year ago. Janice has never made any payments to Sue, and Sue has never tried to collect from Janice. This year, Janice filed for bankruptcy and told Sue that she would not be able to repay any of the $10,000 loans. Determine Sue's tax treatment for the loan for current year.
2)Mable and Jack file a joint return. For the current year, they had the following items:
Salaries $180,000
Loss on sale of section 1244 stock acquired two years ago 95,000
Gain on sale of section 1244 sock acquired six months ago 12,000
Non business bad 16,000
Determine the impact of the above items on Mable and Jack's income for the current year.
