Attached are several situations involving property transactions. REQUIRED: For each of the situations provided, answer the...

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Attached are several situations involving property transactions. REQUIRED: For each of the situations provided, answer the question asked about the property transaction. LIST OF TAXPAYER SITUATIONS INVOLVING PROPERTY TRANSACTIONS (a) Alice is terminally ill and does not expect to live much longer. Pondering the consequences of her estate, she decides how to allocate her property to her nieces. She makes a gift of depreciated property (i.e., adjusted basis greater than fair market value) to Marsha, a gift of appreciated property (i.e., fair market value greater than adjusted basis) to Jan, and leaves appreciated property to Cindy in her will. Each of the properties has the same fair market value. From an income tax perspective, which niece is her favorite? (b) Tricia's office building, which has an adjusted basis of $250,000, is destroyed by fire on April 5, 2020. Insurance proceeds of $350,000 are received on May 1, 2020. She has a new office building constructed for $335,000, which she occupies on March 1, 2021. Assuming Tricia's objective is to minimize her tax liability, calculate her recognized gain or loss and the basis of the new office building. (c) Harold is a head of household, has $24,000 of taxable income in 2020 from noncapital gain or loss sources, and has the following capital gains and losses. TAXPAYER HAROLD CAPITAL GAINS AND LOSSES FOR TAX YEAR 2020 $ 28% long term capital gain 28% long term capital loss 5%/15% long term capital gain Short term capital loss ( 4,300 2,000) 18,000 1,700) What is Harold's taxable income and the tax on that taxable income? (d) On January 1, 2020, June donated business equipment to a qualified charitable organization. June had purchased the equipment on January 1, 2014 for $50,000 and had taken $45,000 of accelerated depreciation on the equipment. At the time of the gift, the property had a fair market value of $65,000. What is the recapture potential and the amount of the charitable contribution deduction? Attached are several situations involving property transactions. REQUIRED: For each of the situations provided, answer the question asked about the property transaction. LIST OF TAXPAYER SITUATIONS INVOLVING PROPERTY TRANSACTIONS (a) Alice is terminally ill and does not expect to live much longer. Pondering the consequences of her estate, she decides how to allocate her property to her nieces. She makes a gift of depreciated property (i.e., adjusted basis greater than fair market value) to Marsha, a gift of appreciated property (i.e., fair market value greater than adjusted basis) to Jan, and leaves appreciated property to Cindy in her will. Each of the properties has the same fair market value. From an income tax perspective, which niece is her favorite? (b) Tricia's office building, which has an adjusted basis of $250,000, is destroyed by fire on April 5, 2020. Insurance proceeds of $350,000 are received on May 1, 2020. She has a new office building constructed for $335,000, which she occupies on March 1, 2021. Assuming Tricia's objective is to minimize her tax liability, calculate her recognized gain or loss and the basis of the new office building. (c) Harold is a head of household, has $24,000 of taxable income in 2020 from noncapital gain or loss sources, and has the following capital gains and losses. TAXPAYER HAROLD CAPITAL GAINS AND LOSSES FOR TAX YEAR 2020 $ 28% long term capital gain 28% long term capital loss 5%/15% long term capital gain Short term capital loss ( 4,300 2,000) 18,000 1,700) What is Harold's taxable income and the tax on that taxable income? (d) On January 1, 2020, June donated business equipment to a qualified charitable organization. June had purchased the equipment on January 1, 2014 for $50,000 and had taken $45,000 of accelerated depreciation on the equipment. At the time of the gift, the property had a fair market value of $65,000. What is the recapture potential and the amount of the charitable contribution deduction?

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a From an income tax perspective Marsha who received depreciated property might be Alices favorite a... View the full answer