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ladessa [460]
3 years ago
12

Steve and Holly report the following items for 2020: Dividend income $16,000 Interest income 14,000 Itemized deductions (none of

the amount resulted from a casualty loss) (26,000) Business capital gains 2,000 Business capital losses (10,000) In calculating their net operating loss, and with respect to the above amounts only, what amount must be added back to taxable income (loss)
Business
1 answer:
lana [24]3 years ago
7 0

Answer: ($4000)

Explanation:

Based on the information given in the question, the amount that must be added back to taxable income (loss) in calculating their net operating loss, will be:

Dividend income = $16000

Add: Interest income = $14000

Add: Business capital gain = $2000

Less: Business loss = $10000

Less: Itemized deduction = $26000

Taxable loss = ($16000 + $14000 + $2000) - ($10000 + $26000)

= $32000 - $36000

= - $4000

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brainly.com/question/24432365

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