Bob received 900 shares of Alabama Corporation stock from his uncle as a gift on July 20, 2018, when the stock had a $ 225 comma 000 FMV. His uncle paid $ 90 comma 000 for the stock on April 12, 2002. The taxable gift was $ 225 comma 000, because his uncle made another gift to Bob for $ 32 comma 000 in January and used the annual exclusion. The uncle paid a gift tax of $ 11 comma 250. Without considering the transactions below, Bob's AGI is $ 35 comma 000 in 2019. No other transactions involving capital assets occur during the year.

Arguments made against free trade include all of the following exceptdumping is an unfair trade practice that puts domestic producers of substitute goods at a disadvantage that they should be protected against. national defense considerations justify producing certain goods domestically whether the country has a comparative advantage in their production or not. free trade is inflationary and should be restricted in the domestic interest. if foreign governments subsidize their exports, foreign firms that export are given an unfair advantage that domestic producers should be protected against. infant industries should be protected from free trade so that they may have time to develop and compete on an even basis with older, more established foreign industries.