(Solved): Abby, a single taxpayer, purchased 10,000 shares of \( \$ 1244 \) stock several years ago at a cost ...

Abby, a single taxpayer, purchased 10,000 shares of \( \$ 1244 \) stock several years ago at a cost of \( \$ 20 \) per share. In November of the current year, Abby received an offer to sell the stock for \( \$ 12 \) per share. She has the option of either selling all of the stock now or selling half of the stock now and half of the stock in January of next year. Abby will receive a salary of \( \$ 80,000 \) for the current year and \( \$ 90,000 \) next year. Abby will have long-term capital gains of \( \$ 8,000 \) for the current year and \( \$ 10,000 \) next year. If Abby's goal is to minimize her AGI for the two years, determine whether she should sell all of her stock this year or half of her stock this year and half next year. a. Determine Abby's total AGI under both options for the current year and next year. If an amount is zero, enter " 0 ". Net long-term capital loss carryover Next year's AGI Salary Long-term capital gain Less: net long-term capital loss carryover Equals: net long-term capital loss (before limitation) Adjusted gross income Total AGI Current year Next year Total Sell half of the stock this year and half next year: Current year's AGI Salary Ordinary loss Long-term capital gain \( \$ 8,000 \) Less: no capital loss Sell half of the stock this year and half next year: Current year's AGI Salary