Ruth Lewis has adjusted gross income of $100,000 for 2015 and itemizes her deductions. On September 1, 2015, she made a contribution to her church of stock held for investment for two years that cost $10,000 and had a fair market value of $70,000. The church sold the stock for $700,000 on the same date. Assume that Lewis made no other contribution during 2015 and made no special election in regard to this contribution on her 2015 tax return. How much should Lewis claim as a charitable contribution deduction for 2015?
a. $50,000
b. $30,000
c. $20,000
d. $10,000
Answer: B
Tax
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- Income in respect of a cash-basis decedent
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