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21 February, 17:28

Kevin bought 290 shares of Intel stock on January 1, 2019, for $86 per share, with a brokerage fee of $190. Then, Kevin sells all 290 shares for $93 per share on December 12, 2019. The brokerage fee on the sale was $240. What is the amount of the gain/loss Kevin must report on his 2019 tax return?

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  1. 21 February, 17:59
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    Gain $1,600

    Explanation:

    Amount Realized = (290 shares * $93) - $240

    =$26,970-$240

    = $26,730

    Adjusted Basis = (290 shares * $86) + $190

    =$24,940+$190

    = $25,130

    Gain = $26,730 - $25,130

    = $1,600

    Therefore the amount of the gain/loss Kevin must report on his 2019 tax return will be $1,600
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