Show the amount of matt allowable capital loss deduction

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During 2020, Matt has the following transaction:

Short-term capital loss..................................................................... ($15,000)
Short-term capital gain......................................................................... 12,500
Short-term capital loss carryover from 2 years ago................................... 8,750
Long-term capital gain (0/15/20 percent basket).................................... 23,750
Long-term capital loss (28 percent basket).......................................... (50,000)

Problem 1: Matt files as a single taxpayer and has adjusted gross income (AGI) of $162,500 during 2020 before considering the above transactions. After netting Matt's capital asset transactions, show the amount of Matt's allowable capital loss deduction toward AGI for 2020 and the amount and character of any capital loss carryovers to 2021.

Reference no: EM132830124

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