Tina and Tom Talley purchased a home in 2003 for ($ 450,000). Over the years, they made

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Tina and Tom Talley purchased a home in 2003 for $\$ 450,000$. Over the years, they made substantial improvements, totaling $\$ 100,000$. In 2017 , the couple was divorced.

As part of the settlement, the house was transferred to Tina. In 2018, Tina sold the house for $\$ 850,000$.

a. What is Tina's realized gain on the transaction?

b. What is her recognized gain?

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CCH Federal Taxation 2019 Comprehensive Topics

ISBN: 9780808049081

2019 Edition

Authors: Ephraim P. Smith, Philip J. Harmelink, James R. Hasselback

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Question Posted: Feb 27, 2024 04:01 AM

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Tina and Tom Talley purchased a home in 2003 for ($ 450,000). Over the years, they made

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a Tinas realized gain is the difference between the sales price ...View the full answer

CCH Federal Taxation 2019 Comprehensive Topics

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