On July 1, 2019, Ted, age 73 and single, sells his personal residence of the last 30 years for $368,000. Ted's basis in his residence is $48,776. The expenses associated with the sale of his home total $22,080. On December 15, 2019, Ted purchases and occupies a new residence at a cost of $175,000. Calculate Ted's realized gain, recognized gain, and the adjusted basis of his new residence. Realized gain $ Recognized gain $ Adjusted basis of the new residence $

Income Tax Fundamentals 2020
38th Edition
ISBN:9780357391129
Author:WHITTENBURG
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Chapter4: Additional Income And The Qualified Business Income Deduction
Section: Chapter Questions
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On July 1, 2019, Ted, age 73 and single, sells his personal residence of the last 30 years for $368,000. Ted's basis in his residence is $48,776. The expenses associated with the sale of his home total $22,080. On December 15, 2019, Ted purchases and occupies a new residence at a cost of $175,000.

Calculate Ted's realized gain, recognized gain, and the adjusted basis of his new residence.

Realized gain $
Recognized gain $
Adjusted basis of the new residence $
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