Dave receives a duplex as a gift from his uncle. The uncle's basis for the duplex and land is $190,000. At the time of the gift, the land and building have fair market values (FMVs) of $51,000 and $119,000, respectively. No gift tax is paid by Dave's uncle at the time of the gift. Read the requirements. Requirement a. To determine gain, what is Dave's basis for the land? (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar.) To determine gain, Dave's (the donee's) basis for the land is Requirement b. To determine gain, what is Dave's basis for the building? (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar.) To determine gain, (the donee's) basis for the building is Requirement c. Will the basis of the land and building be the same as in Parts a and b for purposes of determining a loss? the basis of the land and building the same as in Parts a and b for purposes of determining a loss because
Dave receives a duplex as a gift from his uncle. The uncle's basis for the duplex and land is $190,000. At the time of the gift, the land and building have fair market values (FMVs) of $51,000 and $119,000, respectively. No gift tax is paid by Dave's uncle at the time of the gift. Read the requirements. Requirement a. To determine gain, what is Dave's basis for the land? (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar.) To determine gain, Dave's (the donee's) basis for the land is Requirement b. To determine gain, what is Dave's basis for the building? (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar.) To determine gain, (the donee's) basis for the building is Requirement c. Will the basis of the land and building be the same as in Parts a and b for purposes of determining a loss? the basis of the land and building the same as in Parts a and b for purposes of determining a loss because
Chapter15: Property Transactions: Nontaxable Exchanges
Section: Chapter Questions
Problem 36P
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Transcribed Image Text:Dave receives a duplex as a gift from his uncle. The uncle's basis for the duplex and land is $190,000. At the time of the gift, the
land and building have fair market values (FMVs) of $51,000 and $119,000, respectively. No gift tax is paid by Dave's uncle at
the time of the gift.
Read the requirements.
Requirement a. To determine gain, what is Dave's basis for the land? (Do not round intermediary calculations. Only round the
amount you input in the cell to the nearest dollar.)
To determine gain, Dave's (the donee's) basis for the land is
Requirement b. To determine gain, what is Dave's basis for the building? (Do not round intermediary calculations. Only round
the amount you input in the cell to the nearest dollar.)
To determine gain, Dave's (the donee's) basis for the building is
Requirement c. Will the basis of the land and building be the same as in Parts a and b for purposes of determining a loss?
the basis of the land and building
the same as in Parts a and b for purposes of determining a loss because
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