Reference no: EM132969786

Question - Hall, a divorced person and custodian of her 12-year-old child, filed her year 9 income tax return as head of household. She submitted the following information to the CPA who prepared her Year 9 return: In June, Year 9, Hall's mother gifted her 100 shares of a listed stock. The donor's basis for this stock which she bought in Year 1, was $4,000, and market value on the date of the gift was $3,000. Hall sold this stock in July, Year 9 for $3,500. The donor paid no gift tax. What was Hall's reportable gain or loss in Year 9 on the sale of the 100 shares of stock gifted to her?