Message-ID: <29926355.1075861109230.JavaMail.evans@thyme> Date: Tue, 12 Mar 2002 09:28:57 -0800 (PST) From: sbailey@crusescott.com To: susan.bailey@enron.com Subject: FW: Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Steve Bailey X-To: Bailey, Susan X-cc: X-bcc: X-Folder: \Susan_Bailey_Mar2002\Bailey, Susan\Deleted Items X-Origin: Bailey-S X-FileName: sbaile2 (Non-Privileged).pst -----Original Message----- From: Steve Bailey Sent: Tuesday, March 12, 2002 11:28 AM To: 'Clint Bateman' Subject: Re: Stephen & Susan Bailey 2001 Tax Return Dear Clint, I am sending over to you today our tax organizer and supporting documentation. I am including a copy of this email in the front of the packet. Sorry for the delay but I had some difficulty rounding up documentation on a real estate transaction that needs to be addressed. In any event, we are still going to need an extension to file because Susan is awaiting tax information from Lincoln National Life Insurance as indicated on the enclosed schedule. I also need to discuss with you some issues regarding the sale of some family trust real estate (Washington County property) which probably needs to be characterized as capital gain to me. In particular, I had to purchase an adjoining tract a couple of years ago (The Emmerich Tract) to facilitate the sale of my interest in the entire acreage. The closing papers and related correspondence concerning both the Emmerich Tract purchase and sale of the Washington County property are enclosed. I have assumed that the acquisition costs of the Emmerich tract in 1998 (which was subsequently included in the sale of my interest in the Washington County property in 2001) is subtracted from my portion of the net proceeds from the 2001 sale for capital gains purposes. In any event, assuming the sale is capital gain, we took stock losses that should offset a substantial part of it. By my rough calculation, the net gain on the sale of the real estate (after deducting the acquisition cost of the Emmerich tract) is approximately $26,000 and we had stock sale losses of approximately $19,000. My salary increased somewhat and Susan's stayed about he same during 2001; but we also had a substantially larger share of interest/ taxes on our home which was purchased in mid-2000. So, I'm not sure where we'll come out as compared to last year's taxes but I'd feel comfortable paying what we did last year as an estimate unless you think otherwise. Please let me know and, once again, sorry for the delay in forwarding this to you. Thanks, Steve Bailey P.S. On personal note, I hope you are doing well after such an extraordinary past year. Susan is still at Enron and its been interesting. I've been glad to see 2001 go by the wayside. Talk soon. SRB