Hillary exchanges property (and Bill receives) with an adjusted basis of $250,000 which has a fair market value of $400,000, that is subject to a mortgage of $75,000 that Bill assumes. $300,000. Bill, in return for this property, provides Hillary with property with a fair market value This property has an adjusted basis to Bill of $200,000. Bill also gives Hillary $25,000 Question #1 - What is Hillary's and Bill's "Realized Gain", "Recognized Gain" and "Deferred Gain Hillary Bill Proceeds Tota Proceeds Basis Total Basis Realized Gain or Loss Recognized Gain or Loss Deferred Gain or Loss Question #2 - What is Hillary's and Bill's "new basis" in the property received using both methods. Hilary Internal Revenue Code Method Bill New Basis Hillary Practioners Method Bill New Basis LI New Basis Hillary exchanges property (and Bill receives) with an adjusted basis of $250,000 which has a fair market value of $400,000, that is subject to a mortgage of $75,000 that Bill assumes. $300,000. Bill, in return for this property, provides Hillary with property with a fair market value This property has an adjusted basis to Bill of $200,000. Bill also gives Hillary $25,000 Question #1 - What is Hillary's and Bill's "Realized Gain", "Recognized Gain" and "Deferred Gain Hillary Bill Proceeds Tota Proceeds Basis Total Basis Realized Gain or Loss Recognized Gain or Loss Deferred Gain or Loss Question #2 - What is Hillary's and Bill's "new basis" in the property received using both methods. Hilary Internal Revenue Code Method Bill New Basis Hillary Practioners Method Bill New Basis LI New Basis