Exam 14: Property Transactions, capital Gains and Losses, sec1231, and Recapture Provisions

Tan,Inc.,sold a forklift on April 12,2017,for $8,000 (its FMV) to its 100% shareholder,Ashley.Tan's adjusted basis for the forklift was $12,000.Ashley's holding period for the forklift:

(Multiple Choice)

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Question 141

Which of the following creates potential § 1245 depreciation recapture and potential § 1231 gain?

(Multiple Choice)

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Question 142

Ramon is in the business of buying and selling securities.Which of the following is a capital asset for Ramon?

(Multiple Choice)

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Question 143

A personal use property casualty loss is generally deductible only to the extent it exceeds 10% of AGI.

(True/False)

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Question 144

A business machine purchased April 10,2016,for $62,000 was fully depreciated in 2016 using § 179 immediate expensing.On August 15,2017,the sole proprietor who owned the machine gave it to his son.On that date,the machine's fair market value was $57,000.The son did not use the machine in business or hold it as inventory and the machine was sold on November 22,2017,for $53,000.What is the amount and nature of the gain or loss from disposition of the machine? Where is it reported in the son's tax return?

(Essay)

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Question 145

Showing 141 - 145 of 145

Tan,Inc.,sold a forklift on April 12,2017,for $8,000 (its FMV) to its 100% shareholder,Ashley.Tan's adjusted basis for the forklift was $12,000.Ashley's holding period for the forklift:

Which of the following creates potential § 1245 depreciation recapture and potential § 1231 gain?

Ramon is in the business of buying and selling securities.Which of the following is a capital asset for Ramon?

A personal use property casualty loss is generally deductible only to the extent it exceeds 10% of AGI.

An Introduction to Taxation and Understanding the Federal Tax Law

Working With the Tax Law

Computing the Tax

Gross Income: Concepts and Inclusions

Gross Income: Exclusions

Deductions and Losses: in General

Deductions and Losses: Certain Business Expenses and Losses

Depreciation, cost Recovery, amortization, and Depletion

Deductions: Employee and Self-Employed-Related Expenses

Deductions and Losses: Certain Itemized Deductions

Investor Losses

Tax Credits and Payments

Property Transactions: Determination of Gain or Loss, basis Considerations, and Nontaxable Exchanges

Alternative Minimum Tax

Accounting Periods and Methods

Corporations: Introduction and Operating Rules

Corporations: Organization and Capital Structure

Corporations: Distributions Not in Complete Liquidation

Corporations: Distributions in Complete Liquidation and an Overview of Reorganization

Partnerships

S Corporations

Exempt Entities

Multistate Corporate Taxation

Taxation of International Transactions

Tax Practice and Ethics

The Federal Gift and Estate Taxes

Income Taxation of Trusts and Estates

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