Need help computing short-term and long-term gains.
On January 15, Ms. Sack contributed $20,000 cash and investment property (FMV $20,000 and $2,000 basis) to Dylan LLC in exchange for a 10 percent interest. She had acquired the investment property in 1991. On December 3, she sold the interest for $55,500. On the date of sale, Dylan had no hot assets, so Ms. Sack's entire $33,500 gain was capital gain. How much of the gain is short term and how much is long term?© BrainMass Inc. brainmass.com June 3, 2020, 5:15 pm ad1c9bdddf
Short-term gains and losses result when assets are held for one year or less.
Long-term gains and losses result when assets are held for more than one year.
However, the present year is not available ...
The solution assists with computing short term and long term gains in the given scenario question.