Allie gifted 100 shares of Fieri stock to Jim. Allie (the donor) had a basis in the stock of $55 per share and had held the stock for more than two years prior to the gift. At the time of the gift, the FMV of each share was $40. What are the tax consequences to Jim if he sells the stock two years after the date of the gift for $48 per share? $700 loss $800 gain $1,500 gain No gain or loss
Allie gifted 100 shares of Fieri stock to Jim. Allie (the donor) had a basis in the stock of $55 per share and had held the stock for more than two years prior to the gift. At the time of the gift, the FMV of each share was $40. What are the tax consequences to Jim if he sells the stock two years after the date of the gift for $48 per share? $700 loss $800 gain $1,500 gain No gain or loss
Chapter11: Property Dispositions
Section: Chapter Questions
Problem 55P
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Question
Allie gifted 100 shares of Fieri stock to Jim. Allie (the donor) had a basis in the stock of $55 per share and had held the stock for more than two years prior to the gift. At the time of the gift, the FMV of each share was $40. What are the tax consequences to Jim if he sells the stock two years after the date of the gift for $48 per share?
$700 loss
$800 gain
$1,500 gain
No gain or loss
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ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT