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    Federal Taxation
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    Exam 20: Corporations: Distributions in Complete Liquidation and an Overview of Reorganizations
  5. Question
    Individual Shareholders Would Prefer to Have a Gain on a Corporate
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Individual Shareholders Would Prefer to Have a Gain on a Corporate

Question 23

Question 23

True/False

Individual shareholders would prefer to have a gain on a corporate reorganization treated as a capital gain rather than as a dividend, because they can reduce the amount taxable by their basis in the stock involved.

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