Individual A owns 80 of the 100 shares of stock of X Corporation and 50 of the
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- Individual A owns 80 of the 100 shares of stock of X Corporation and 50 of the 100 shares of stock of Y Corporation. Each share of X Corporation stock has a basis of $1 and each share of Y Corporation stock has a basis of $2. X Corporation has earnings and profits of $90, and Y Corporation has earnings and profits of $40. A sells 40 shares of X Corporation stock to Y Corporation for $300. What are the tax consequences to A and to the corporations?
Related Book For
Canadian Income Taxation planning and decision making
ISBN: 9781259094330
17th edition 2014-2015 version
Authors: Joan Kitunen, William Buckwold
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