Herman, a single individual, formed a corporation in Year 1 by way of a qualifying Section 351 tax-free asset transfer, in which he transferred property having an adjusted basis of $250,000 and a fair market value of $220,000; Herman received Section 1244 small business corporation stock in exchange. In Year 3, Herman sold all of the stock for $210,000. What is the amount and character of loss that Herman will recognize as a result of selling the stock in Year 3

Juan's investment portfolio was valued at $125,640 at the beginning of the year. during the year, juan received $603 in interest income and $298 in dividend income. juan also sold shares of stock and realized $1,459 in capital gains. juan's portfolio is valued at $142,608 at the end of the year. all income and realized gains were reinvested. no funds were contributed or withdrawn during the year. what is the amount of income juan must declare this year for income tax purposes?