QUESTION 19In Year 1, Jessica sold an asset used in her business for $300,000. Of this amount,she received $100,000 at closing (i.e., in Year 1) and will receive the remaining$200,000 in four equal installments of $50,000 in each of Years 2 through 5. If herbasis in the asset was $120,000, how much gain or (loss) will Jessica recognize Year 1as a result of this transaction?o $0o $36,000o $50,000o $60,000o $150,000QUESTION 20During 2022, Scott Howell received a salary of $155,000. How much payroll taxshould have been withheld from Scott's salary for 2022?o $21,901o $11,362o $11,246

When the asset is sold, there is a portion of the sale price that is paid up front in year 1. The…

Answered: QUESTION 19 In Year 1, Jessica sold an…

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter14: Property Transactions: Capital Gains And Losses, § 1231, And Recapture Provisions

Section: Chapter Questions

Problem 86P

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77 Week 5 Discussion Forum Umair sold some equipment he used in his business in 8/29/19 that was originally purchased for $65,000 on 11/21/18. The equipment was depreciated using the 7 yr MACRS method for a total of $17,249. Assume there is no additional netting of gains and losses for this taxpayer: Assume Umair sold the equipment for $45,000: 1. What is the amount of realized gain or loss on the sale of equipment? 2. Is the nature of the gain or loss considered ordinary or long term?
Week 8 Homework Included in Mary's gross estate are the following assets. Stock in Orange Corporation Stock in Crimson Corporation Fair Market Value Feedback Date of Death $13,000,000 6,100,000 Six Months Later $13,100,000 5,900,000 If an amount is zero, enter "0". a. How much is included in her gross estate if the alternate valuation date is elected? Because the § 2032 election can ✓ be made, the amount to include is $ 19,000,000. Check My Work The alternate valuation date election was designed as a relief provision to ease the econo decline in value. b. Suppose all of Mary's assets pass to her surviving spouse. How much is included in her gross estate if the alternate valuation date is elected? Because the § 2032 election cannot ✓ be made, the amount to include is $ O X.
QUESTION 3 On September 30 of last year, Rex received some investment land from Holly as a git. Holly's adjusted basis was $50,000 and the land was valued at $40,000 at the time of the git. Holly acquired the land five years ago. What is the amount of Rex's recognized gain (loss) if he sells the land on May 12 this year at $44,000? QUESTION 4 Franco converted a building from personal to business use in May 2017 when the fair market value was $50,000. He purchased the building in July 2014 for $80,000. On December 15 of this year, Franco sells the building for $39.000. On the date of the sale, the accumulated depreciation on the building was $5,565. What is Franco's recognized gain or loss on the sale?
please dont provide answer in image format thank you On September 30 of last year, Rex received some investment land from Holly as a gift. Holly's adjusted basis was $50,000 and the land was valued at $40,000 at the time of the gift. Holly acquired the land five years ago. What are the amount and character of Rex's recognized gain (loss) if he sells the land on May 12 this year at the following prices? Note: Enter NA if a situation is not applicable. Leave no answer blank. Enter zero if applicable. a. Land sold for $32,000
Question 21. During 2023, Henry sold a piece of land held for investment to an unrelated 3rd party. Henry originally purchased the land for $600,000. The sale price was $1,000,000, which the buyer will pay in 5 annual installments of $200,000 each, with the first installment due in 2023. To the extent allowed, Henry will elect the installment method. Which choice accurately reflects the gain Henry will recognize each year? $80,000 in 2023; $80,000 in 2024; $80,000 in 2025; $80,000 in 2026; and $80,000 in 2027 $400,000 in 2023; $0 in 2024; $0 in 2025; $0 in 2026; and $0 in 2027 SO in 2023; $0 in 2024; $0 in 2025; $0 in 2026; and $400,000 in 2027 $240,000 in 2023; $40,000 in 2024; $40,000 in 2025; $40,000 in 2026; and $40,000 in 2027
Vanessa Brown has a RRIF account and turned 70 years old in the current taxation year. Vanessa informs you that the fair market value of her RRIF assets at the beginning of the current taxation year is $475,000. Vanessa is a widow and does not have a common-law partner. What is Vanessa's minimum RRIF withdrawal for the current taxation year? A. $95,000 B. B. $25,000 C. $25,080 D. $23,750 1
QUESTION 30 grandmother. The grandmother did not have any gift taxes due. Two years later. John sold the building for S40,000. What was his gain or (losa) on this transaction O $15,000 Gain O $2,500 Loss O $15,000 Loss O $2,500 Gain O No Gain or Loss
Pedro sells land that he held as an investment with a basis of $40,000 for $50,000. The terms of the sale require the buyer to pay Pedro $10,000 at the closing of the sale and $20,000 per year for the next 2 years with interest at 7% on the unpaid balance. What is the proper amount of gain to be reported from the sale during each year Pedro receives payments? Current Year First Year Second Year а. $10,000 $-0- $-0- b. $2,000 $4,000 $4,000 Oc. $-0- $4,000 $6,000 d. $-0- $-0- $10,000 е. $3,333 $3,333 $3,334 O O
Exercise 14-22 (LO. 3) Juliana purchased land three years ago for $50,000. She made a gift of the land to Tom, her brother, in the current year, when the fair market value was $70,000. No Federal gift tax is paid on the transfer. Tom subsequently sells the property for $63,000. a. Tom's basis in the land is $ and he has a realized of $ on the sale. b. Assume, instead, that the land has a fair market value of $45,000 on the date of the gift, and that Tom sold the land for $43,000. Tom's basis in the land is $ and he has a realized of $ on the sale.

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