A tax payer is treating real property used solely for business purposes for new real property to be used in his business. The real property originally cost $35,000 and he has taken $18,000 dollars in depreciation. The old real property is currently worth $20,000 dollars and the new real property the taxpayer wants in exchange is only worth $16,500.The other party agrees to get the taxpayer $3500 in addition to the new real property. What is the gain or loss recognized by the taxpayer on this transaction?
A tax payer is treating real property used solely for business purposes for new real property to be used in his business. The real property originally cost $35,000 and he has taken $18,000 dollars in depreciation. The old real property is currently worth $20,000 dollars and the new real property the taxpayer wants in exchange is only worth $16,500.The other party agrees to get the taxpayer $3500 in addition to the new real property. What is the gain or loss recognized by the taxpayer on this transaction?
Chapter13: Property Transact Ions: Determination Of Gain Or Loss, Basis Considerations, And Nontaxable Exchanges
Section: Chapter Questions
Problem 8DQ
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A tax payer is treating real property used solely for business purposes for new real property to be used in his business. The real property originally cost $35,000 and he has taken $18,000 dollars in
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ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT