In 2018, an Individual Taxpayer Has $863,000 of Taxable Income

question 22

Multiple Choice

In 2018, an individual taxpayer has $863,000 of taxable income that includes $48,000 of 0%/15%/20% long-term capital gain. Which of the following statements is correct?

• A) All of the LTCG will be taxed at 0%.
• B) All of the LTCG will be taxed at 15%.
• C) All of the LTCG will be taxed at 20%.
• D) Some of the LTCG will be taxed at 15% and some at 20%.
• E) None of the above.

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Definitions:

Last Clear Chance

A doctrine in tort law that allows the plaintiff to recover damages even if they were partly at fault, if the defendant had the last opportunity to avoid the accident.

Emergency Conditions

Situations or conditions that require immediate action or attention due to potential threat or harm.

Reasonable Person Standard

A legal standard used to determine what a typical person would do under certain circumstances.

Workers' Compensation Statutes

Laws that provide financial and medical benefits to employees who are injured or become ill as a direct result of their job.