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    Taxation of Individuals
  4. Exam
    Exam 18: Corporate Taxation: Nonliquidating Distributions
  5. Question
    The Recipient of a Tax-Free Stock Distribution Will Have a Zero
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The Recipient of a Tax-Free Stock Distribution Will Have a Zero

Question 12

Question 12

True/False

The recipient of a tax-free stock distribution will have a zero tax basis in the stock received in the distribution.

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