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- John Peter is aware that there is no Capital Gains tax in Jamaica. He decided to buy a large piece of land. The land was hilly, so he blasted it to make it flatter, installed a soak away so the water does not settle on the land and made several roadways for ease of access. Six months after he purchased the land, he subdivided the area and sold it in lots to 30 separate persons, thereby making a large gain. Required Advise Mr. Peter how these gains would be treated for tax purposes in Jamaica. Appropriate case laws should be included in your answer.John Peter is aware that there is no Capital Gains tax in Barbados. He decided to buy a large piece of land. The land was hilly, so he blasted it to make it flatter, installed a soak away so the water does not settle on the land, and made several roadways for ease of access. After 6 months of purchasing the land, he subdivided the land and sold it to 30 separate persons making a large gain. Advise Mr. Peter whether the gains are taxable in Barbados. Appropriate case laws should be referenced in your assessment.John Peter is aware that there is no Capital Gains tax in Barbados. He decided to buy a large piece of land. The land was hilly, so he blasted it to make it flatter, installed a soakaway so the water does not settle on the land, and made several roadways for ease of access. After 6 months of purchasing the land, he subdivided the land and sold it to 30 separate persons making a large gain. Advise Mr. Peter whether the gains are taxable in Barbados. Appropriate case laws should be referenced in your assessment.
- a. John Peter is aware that there is no Capital Gains tax in Barbados. He decided to buy a large piece of land. The land was hilly, so he blasted it to make it flatter, installed a soakaway so the water does not settle on the land, and made several roadways for ease of access. After 6 months of purchasing the land, he subdivided the land and sold it to 30 separate persons making a large gain. Advise Mr. Peter whether the gains are taxable in Barbados. Appropriate case laws should be referenced in your assessment. b. ABC made the following supplies for sale in January 2020: ABC Juice Limited manufactures and sells juice locally in St. Lucia and in the Caribbean. The business is VAT registered with tax authorities in St. Lucia. The company has recorded the following transactions in January 2020: - Sales to local customers - $1,300,000 (VAT inclusive) - Sales to local customers - $1,000,00 (VAT exclusive) - Sales to customers located abroad - $700,000 - Purchases…Answer in great detail the following John Peter is aware that there is no Capital Gains tax in Jamaica. He decided to buy a large pieceof land. The land was hilly, so he blasted it to make it flatter, installed a soak away so the waterdoes not settle on the land and made several roadways for ease of access. Six months after hepurchased the land, he subdivided the area and sold it in lots to 30 separate persons, therebymaking a large gain.RequiredAdvise Mr. Peter how these gains would be treated for tax purposes in Jamaica. Appropriate caselaws should be included in your answer.Part AJohn Peter is aware that there is no Capital Gains tax in Barbados. He decided to buy a large piece of land. The land was hilly, so he blasted it to make it flatter, installed a soak away so the water does not settle on the land and made several roadways for ease of access. Six months after he purchased the land, he subdivided the area and sold it in lots to 30 separate persons, thereby making a large gain. RequiredAdvise Mr. Peter how these gains would be treated for tax purposes in Barbados.Appropriate case laws should be included in your answer.
- John Peter is aware that there is no Capital Gains tax in Barbados. He decided to buy a large piece of land. The land was hilly, so he blasted it to make it flatter, installed a soakaway so the water does not settle on the land, and made several roadways for ease of access. After 6 months of purchasing the land, he subdivided the land and sold it to 30 separate persons making a large gain. Advise Mr. Peter whether the gains are taxable in Barbados and state the appropriate case laws.Part CJohn Peter is aware that there is no Capital Gains tax in Jamaica. He decided to buy a large piece of land. The land was hilly, so he blasted it to make it flatter, installed a soak away so the water does not settle on the land and made several roadways for ease of access. Six months after he purchased the land, he subdivided the area and sold it in lots to 30 separate persons, thereby making a large gain. RequiredAdvise Mr. Peter how these gains would be treated for tax purposes in Jamaica. Appropriate case laws should be included in your answerSix years ago, Donna purchased land as an investment. The land cost $150,000 and is now worth $480,000. Donna plans to transfer the land to Development Corporation, which will subdivide it and sell individual tracts. Development's income on the land sales will be ordinary in character. Read the requirements. Requirement a. What are the tax consequences of the asset transfer and land sales if Donna contributes the land to Development in exchange for all its stock? on the transfer of land to Development Corporation. Donna recognizes no gain or loss Development's basis in the land will be $ 150,000. All gain on the subsequent sales will be to Development. This alternative results in the pre-contribution gain post-contribution profit earned from subdividing the land ordinary income that accrued prior to Donna's transfer and the being taxed at a 21% tax rate. Requirement b. In what alternative ways can the transaction be structured to achieve more favorable tax results? Assume Donna's…
- There is a parcel of land next to the Playful Paws, Inc. building. Ellen, the owner of this property, approached John to discuss the idea of selling it to him. John is interested. Ellen knows that John owns a vacant lot downtown and his basis on the lot is $82,000. Ellen has proposed an exchange. She told John there may be a tax advantage for John in doing so. The land next to Playful Paws is worth $100,000. In addition to the land, Ellen will pay John $20,000 cash at closing. Assuming they complete the exchange, please let John know: A. His current basis. B. If there are any immediate tax consequences as a result of the sale. C. His basis in the new lot after the exchange.John purchased a house for $300,000. It is now worth $800,000 4 years later. Johns fiancee lived with him for two years but is not on the title. Joe would like to sell the house for a larger home, what might be the tax ramifications?Callie Cooper purchased two pieces of property in 1990: Property Q cost $15,000 and Property R cost $30,000. In 2020, when Callie died, she left the property to her daughter, Christy. At that time, Property Q had appreciated in value to $80,000 while Property R had declined in value, now worth only $10,000. What is Christy’s basis in each piece of property? What are the tax consequences of the changes in value of the properties from the time of original purchase to the death of Callie?
