In the first space provided, state the basis your client wou…
In the first space provided, state the basis your client would have today (August 7, 2025) in the described asset. In the second space, state the amount of gain recognizable or loss allowable for U.S. tax purposes if he sold the asset today for its fair market value. In the third space, state the character of that gain or loss. You may also provide advice or explanation (including any calculations) to your client. Advice should focus primarily on U.S. tax law, but need not be limited to that and it need not involve merely the current year. e. He has a signed Babe Ruth baseball with authentication papers. He keeps it in the china cabinet in his law office and shows it off to visitors. It is currently valued at $75,000 and is insured for that amount. Unbeknownst to his family and co-workers, he stole the baseball when he was fifteen. He “shoplifted” it from a memorabilia store and was never caught, charged, accused or implicated in the theft. At the time, the baseball was listed for sale for $12,500. He shared this information with you, trusting your confidence, but also feeling ashamed. $ $ Explanation: