6 - Property Transactions Flashcards
1
Q
The basis of property acquired in a like-kind exchange is equal to…
A
the adjusted basis of property surrendered, decreased by any boot received and increased by any gain recognized or boot given.
2
Q
Goodwill acquired is not a….while goodwill generated is a…
A
Capital asset
3
Q
What are the requirements for Sec. 1202(a) to exclude 50% of any gain from sale or exchange of qualified business stock?
A
Held for more than 5 years and must be qualified SMALL business stock
4
Q
For property converted into business use, the basis for depreciation is the lesser of what?
A
FMV of the property at the conversion date or the adjusted basis at conversion.
