| Course | ACC 330 Federal Taxation I |
|---|---|
| Module | Module 8 |
| Paper type | undergraduate individual tax assignment on property transactions and capital gains |
| Length | About 1,020 words, 6 pages |
| Format | APA 7 student paper |
| School | Southern New Hampshire University |
| Program | BS Accounting |
| Updated | October 2026 |
Free sample paper for ACC 330 Module 8
A House, Some Stock, a Lake Lot and a Coin: Measuring and Netting One Family's Property Sales in 2024
[Student Name]
Southern New Hampshire University
ACC 330: Federal Taxation I
Module Eight Assignment
[Instructor Name]
[Date]
The organization, setting and figures below are a composite written as a model document. No real employer, client, colleague or patient is described.
A House, Some Stock, a Lake Lot and a Coin: Measuring and Netting One Family's Property Sales in 2024
Introduction
Five assets changed hands in the household's 2024 tax year. They moved in June and sold their old home. Jordan sold shares he had held since 2019 and some cryptocurrency bought in January. Elena sold the lakeside lot that came to her through her aunt's estate in February. And they sold Elena's old car privately. Each sale must be measured, amount realized minus adjusted basis, then classified and netted before the result enters the return (Internal Revenue Service, 2024a).
The Old Home
Table 1. Sale of Principal Residence
| Item | Amount |
|---|---|
| Selling price | $412,000 |
| Selling costs (commission, title, transfer tax) | (24,000) |
| Amount realized | $388,000 |
| Purchase price, 2017 | $205,000 |
| Improvements (new roof, kitchen) | 33,000 |
| Adjusted basis | $238,000 |
| Realized gain | $150,000 |
| Excluded under section 121 | (150,000) |
| Recognized gain | $0 |
The couple owned the home and lived in it as their principal residence for seven years, satisfying the requirement of two years of ownership and use in the five years before sale, and neither had excluded gain on another home in the prior two years. The joint exclusion limit is $500,000, so the entire $150,000 gain is excluded (Internal Revenue Service, 2024b). Because Elena used the simplified home office method, there is no depreciation to recapture, a point that would otherwise have created a small taxable gain even within the exclusion.
Research suggests the exclusion matters to behavior as well as tax. Cunningham and Engelhardt (2008) used the 1997 change in home-sale taxation to show that capital gains tax on housing affected how often owners moved, and Shan (2011) found that the change raised sales among owners whose gains fell under the new limits. For this family, the exclusion simply meant that moving across town carried no federal tax cost.
Stock, Lake Lot and Cryptocurrency
Table 2. Investment Property Sales
| Asset | Amount realized | Basis | Gain or loss | Holding period |
|---|---|---|---|---|
| 200 shares, bought March 2019, sold August 2024 | $14,500 | $6,000 | $8,500 gain | Long-term |
| Lake lot, inherited February 2024, sold November 2024 | $49,000 ($51,000 less $2,000 costs) | $48,000, fair value at death | $1,000 gain | Long-term by rule |
| Cryptocurrency, bought January 2024, sold September 2024 | $3,500 | $5,200 | $1,700 loss | Short-term |
The lake lot needs two special rules. Its basis is its fair market value at the aunt's death, $48,000, not the $9,000 she paid in 1988; that step-up erases $39,000 of appreciation that will never be taxed (Internal Revenue Service, 2024a). And although Elena held the lot for only nine months, inherited property is always treated as held long-term. The cryptocurrency is treated as property, not currency, so its sale produces a capital loss; it was held less than a year, so the loss is short-term.
The Car
Elena's 2016 sedan cost $21,000 and sold privately for $6,000. The $15,000 loss is not deductible because the car was personal-use property; a business vehicle would be different, but she used the standard mileage rate for business miles and the car was primarily personal. Had she somehow sold the car above cost, that gain would have been taxable, a one-sided rule that surprises many students.
Holding Periods and Their Edges
Holding periods are counted from the day after acquisition through the day of sale, and long-term status requires more than one year. Jordan's stock clearly qualified, but the dates matter in close cases: shares bought on March 14 of one year and sold on March 14 of the next are held exactly one year and are short-term, while a sale one day later is long-term. The crypto was bought on January 9 and sold on September 20, well inside a year. Had Jordan waited until after January 9 of 2025 and sold at the same loss, the loss would have been long-term instead, offsetting long-term gains directly. Here the order of netting produces the same final figure either way, but with larger amounts and gains in the 15 percent range the character of a loss can change the tax.
Netting and Rate
Table 3. Capital Gain and Loss Netting
| Category | Amount |
|---|---|
| Long-term: stock gain | $8,500 |
| Long-term: lake lot gain | 1,000 |
| Net long-term gain | $9,500 |
| Short-term: cryptocurrency loss | (1,700) |
| Net short-term loss | (1,700) |
| Net long-term capital gain after netting | $7,800 |
Short-term and long-term results are netted within each category first, then across categories. The $1,700 short-term loss offsets part of the $9,500 long-term gain, leaving a net long-term capital gain of $7,800. Net long-term capital gain is taxed at 0, 15 or 20 percent depending on taxable income. For joint filers in 2024, gains falling within taxable income up to $94,050 are taxed at zero. The couple's taxable income, including the gain, is $77,834, so the entire $7,800 is taxed at zero, as Project Two shows.
Reporting and a Counterfactual
The sales are reported on Form 8949 and summarized on Schedule D. Jordan's broker reported the stock sale and its basis on Form 1099-B, and the crypto exchange issued a statement of proceeds; the title company issued Form 1099-S for the home sale, so the couple reports that sale and shows the exclusion rather than omitting it. Wash sale rules, which would deny a loss on stock repurchased within thirty days, did not apply to cryptocurrency in 2024, though Jordan did not repurchase in any case.
The step-up on the lake lot was worth a great deal. If the aunt had given Elena the lot during her life instead of leaving it to her, Elena would have taken the aunt's $9,000 basis, and the sale would have produced a $40,000 gain. Added to their other income, that gain would push about $22,800 of it above the zero percent range, costing roughly $3,400 at 15 percent. Timing and form of transfer, not only the sale itself, decided the tax.
Conclusion
Of five sales, only three affect the return. The home sale's $150,000 profit disappears under section 121, and the $15,000 loss on the car is disallowed as a personal loss. The stock and inherited lot produce $9,500 of long-term gain, the cryptocurrency a $1,700 short-term loss, and the netted $7,800 long-term gain falls entirely within the zero percent bracket. The family pays no federal tax on any of its 2024 property sales.
References
Cunningham, C. R., & Engelhardt, G. V. (2008). Housing capital-gains taxation and homeowner mobility: Evidence from the Taxpayer Relief Act of 1997. Journal of Urban Economics, 63(3), 803-815. https://doi.org/10.1016/j.jue.2007.05.002
Internal Revenue Service. (2024a). Basis of assets (Publication 551). U.S. Department of the Treasury.
Internal Revenue Service. (2024b). Selling your home (Publication 523). U.S. Department of the Treasury.
Shan, H. (2011). The effect of capital gains taxation on home sales: Evidence from the Taxpayer Relief Act of 1997. Journal of Public Economics, 95(1-2), 177-188. https://doi.org/10.1016/j.jpubeco.2010.10.006
What the ACC 330 Module 8 instructions ask for
The final ACC 330 assignment usually asks you to compute the tax results of property sales during a year. Expect to determine amount realized, adjusted basis, including special rules for gifted and inherited property, realized and recognized gain or loss, the holding period, and the character of each result as ordinary or capital, short-term or long-term. Many versions include a principal residence sale under section 121, a personal-use asset sold at a loss and a capital loss limitation. Net short-term and long-term results in the required order, apply the correct rate to the net gain and explain each step. A table for each sale and a netting schedule make the work easy to follow and check.
How this ACC 330 Module 8 property transactions assignment example is built
The sample computes five sales. The old home sold for $412,000 less $24,000 of selling costs against a $238,000 basis, a $150,000 gain fully excluded under the $500,000 joint limit. Stock bought in 2019 for $6,000 sold for $14,500, an $8,500 long-term gain. A lake lot inherited in February with a fair value of $48,000 sold in November for $51,000 less $2,000 of costs, a $1,000 gain treated as long-term because inherited property always is. Cryptocurrency bought in January for $5,200 sold in September for $3,500, a $1,700 short-term loss. A personal car sold at a loss produces no deduction. Netting leaves a $7,800 net long-term gain taxed at zero percent.
Where the ACC 330 Module 8 rubric puts the points
Rubrics for the ACC 330 property assignment generally score amount realized and basis for each sale, recognized gain or loss after exclusions and limits, holding period and character, netting, the rate applied and explanations. Top papers apply the stepped-up basis to inherited property and treat it as long-term regardless of holding time, apply the section 121 ownership and use tests explicitly, net within each holding category before netting across them and recognize that losses on personal-use property are not deductible. Graders reward explaining why a net gain falls in the zero percent bracket. Common deductions include using a decedent's original basis and deducting a loss on a personal car.
ACC 330 Module 8 help: the mistakes that cost points
Property problems usually go wrong on basis: using the decedent's purchase price for inherited property, forgetting selling costs in amount realized or omitting improvements from a home's basis. Others treat a short holding period for inherited property as short-term or deduct losses on personal-use assets. If your problem includes gifted property with a loss, a like-kind exchange, an installment sale or depreciation recapture, the same measurement steps apply and we can compute each one from your figures. Building one small table per sale, amount realized, basis, gain or loss, holding period, keeps the netting simple and is what graders look for first, especially when one sale is excluded.
Get ACC 330 Module 8 written to your instructions
Send the ACC 330 Module 8 transactions and instructions. The paper will compute amount realized and basis for each sale, classify the holding period, apply any exclusion, net short- and long-term results and find the rate that applies. No charge applies to your first one, and two days is the usual wait. The paper above is an original model document written by our desk, not a submitted student paper and not an official Southern New Hampshire University document.
More ACC 330 papers and related BS Accounting samples
- ACC 330 Module 1 Discussion: Who Should Pay, and How We Know
- ACC 330 Module 2 Filing Status and Dependents Assignment: Four People and One Return
- ACC 330 Module 3 Gross Income and Exclusions Assignment: What Counts and What Does Not
- ACC 330 Module 4 Project One: Is the Pottery a Business or a Hobby?
- ACC 330 Module 5 Business Deductions Assignment: Schedule C, Self-Employment Tax and QBI
- ACC 330 Module 6 Discussion: Why This Family No Longer Itemizes
- ACC 330 Module 7 Project Two: The Complete 2024 Return
- FIN 320 Module 1 Financial Manager Discussion
- ACC 318 Module 3 Lease Accounting Assignment: A Building Lease and an Equipment Lease Under ASC 842
- ACC 202 Module 4 Project Milestone Two
- PSY 365 Module 5 Contingency Leadership Memo
ACC 330 Module 8 questions, answered
Where can I find a free ACC 330 Module 8 property transactions sample?
This page includes a full ACC 330 Module 8 assignment covering a home sale exclusion, inherited property, capital loss netting and the zero percent rate for 2024.
How much gain on a home sale can a married couple exclude?
Up to $500,000 on a joint return, if either spouse owned the home and both used it as a principal residence for at least two of the five years before the sale.
What is the basis of inherited property?
Generally its fair market value on the date of the decedent's death, and the holding period is treated as long-term regardless of how long the heir holds it.
Can a loss on selling a personal car be deducted?
No. Losses on personal-use property such as a family car or furniture are not deductible, though gains on such property are taxable.
How are short-term and long-term capital gains and losses netted?
Net short-term gains and losses together and long-term gains and losses together, then net the two results. A net long-term gain may qualify for preferential rates.