Molly exchanges land (adjusted basis of $85,000; fair market value of $78,000) used in her business and common stock held for investment (adjusted basis of $10,000; fair market value of $15,000) for a single parcel of land (fair market value of $93,000) to be used in her business in a like-kind exchange. What is Molly's basis in the property received?

Molly exchanges land (adjusted basis of $85,000; fair market value of $78,000) used in her business and common stock held for investment (adjusted basis of $10,000; fair market value of $15,000) for a single parcel of land (fair market value of $93,000) to be used in her business in a like-kind exchange. What is Molly's basis in the property received?

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter13: Property Transact Ions: Determination Of Gain Or Loss, Basis Considerations, And Nontaxable Exchanges

Section: Chapter Questions

Problem 77P

See similar textbooks

Similar questions

1. Kelly exchanges land (adjusted basis of $75,000; fair market value of $62,000) used in her business and common stock held for investment (adjusted basis of $8,000; fair market value of $12,000) for a single parcel of land (fair market value of $74,000) to be used in her business in a like-kind exchange. Determine her basis for the land she exchanges.
Theresa Perry exchanged her investment-use real property for a larger piece of investment-use property. At the time of the exchange, the fair market value (FMV) of the property she traded was $55,000, and her adjusted basis in this property was $27,000. She also provided $11,000 cash. In the exchange, she received investment-use property with an FMV of $66,000.What is Theresa's gain realized and the gain recognized on the exchange? $0 and $28,000 $11,000 and $38,000 $28,000 and $0 $38,000 and $11,000
Mr. Andres, VAT-registered real estate dealer, transferred a parcel of land held for sale toCamella Realty Corporation sold the following real properties during 2021 the taxable year3 units of residential house and lot at P2,500,000 each P7,500,0008 residential lots at P1,000,000 each 8,000,0001 commercial lot at P3,000,000 3,000,000How much is the total transactions subject to VAT?a. P6,000,000 c. P11,000,000b. P8,000,000 d. P18,500,000
Problem 13-74 (a) (LO. 6) Rodriquez owns real estate (adjusted basis of $57,000 and fair market value of $65,000), which he uses in his business. Rodriquez sells the real estate for $65,000 to Jones (a dealer) and then purchases a new parcel of land for $65,000 from Franklin (also a dealer). The new parcel of land would normally qualify as like-kind property. a. What are Rodriquez's realized and recognized gain on the sale of the land he sold to Jones? On the sale of real estate, Rodriquez's realized gain is $ and recognized gain is $ b. Rodriquez's basis for the land he purchased from Franklin is $ c. Indicate whether the following statements are "True" or "False" regarding what would motivate Rodriquez to sell his land to Jones and purchase the land from Franklin rather than exchange one parcel of land for the other. • If Rodriquez sells the parcel of land, the sale would have resulted in the realized gain being postponed. • If Rodriquez sells the parcel of land, the recognition of…
Geraldine Berry exchanged her investment use real property for a larger piece of investment use property. At the time of the exchange, the fair market value of the property she traded was $45000 and her adjusted basis in this property was $2400. She also provided $8000 cash. In the exchange, she received investment use property with a fair market value of $53000. What is Geraldines gain realized and the gain recognized on the exchange.
oshua owns undeveloped land that has an adjusted basis of $45,000. He exchanges it for other undeveloped land with an FMV of $70,000. Required: What are his realized and recognized gain or loss on the exchange? Note: If no gain or loss is recognized, select "No gain or loss". What is his basis in the acquired land?
Sarah exchanges a building and land (used in its business) for Tyler's land and building and some equipment (used in its business). The assets have the following characteristics: Adjusted Basis Fair Market Value Sarah's real property $3,600 $9,000 Tyler's real property 1,800 7,200 Equipment 1,620 2,700 a. What are Sarah's recognized gain or loss and basis for the land and building and equipment acquired from Tyler? Her adjusted basis in the land and building she acquired from Tyler is $ Her recognized is $ and her adjusted basis in the equipment is $ b. What are Tyler's recognized gain or loss and basis for the land and building acquired from Sarah? is $ Tyler's recognized and his adjusted basis in the land and building he acquired from Sarah is