Last year, aleshia identified $26,200 as a nonbusiness bad debt. in that tax year before considering the tax implications of the nonbusiness bad debt, aleshia had $52,400 of taxable income, of which $5,240 consisted of short-term capital gains. this year, aleshia collected $6,288 of the amount she had previously identified as a bad debt. determine aleshia’s tax treatment of the $6,288 received in the current tax year. aleshia includes $ of the collection as .
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Last year, aleshia identified $26,200 as a nonbusiness bad debt. in that tax year before considering...
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