1. Several years ago, Minjun, who is single, acquired 1244 stock in Blue Corporation at a...
Question:
1. Several years ago, Minjun, who is single, acquired § 1244 stock in Blue Corporation at a cost of $78,800. He sells the Blue stock for $7,880 in the current year.
Determine the amount and nature of Minjun's gain or loss recognized this year.
Minjun's sale of Blue Corporation stock produces a total loss of $fill in the blank 1 of which $fill in the blank 2 is treated as a capital loss
2. Adam transfers property with an adjusted basis of $50,000 (fair market value of $400,000) to Swift Corporation for 90% of the stock. The property is subject to a liability of $60,000, which Swift assumes.
If an amount is zero, enter "0".
a. What is the basis of the Swift stock to Adam?
Adam recognizes a gain of $fill in the blank 27191c026feaf8d_1and the basis of the Swift stock to Adam is $fill in the blank 27191c026feaf8d_2.
b. What is the basis of the property to Swift Corporation?
The basis of the property to Swift Corporation is $fill in the blank 9564b309dfb802d_1.
South Western Federal Taxation 2020 Corporations, Partnerships, Estates and Trusts
ISBN: 9780357109168
43rd edition
Authors: William A. Raabe, James C. Young, William H. Hoffman, Annette Nellen, David M. Maloney