A6

Question 1

To qualify for Installment Gain Reporting the seller must

Answer 1

Carry some of all of the financing.

Question 2

Deferring Gain on Real Property

Answer 2

Must be like kind.

Question 3

What is a Boot?

Answer 3

given in exchange to offset disparity in equity or value in property.
Boot is taxed

Question 4

Sole Proprietorship

Answer 4

Min/Max 1 person, solely liable for everything

Question 5

General Partnership

Answer 5

Minimum of 2 people. Max- unlimited. Joint and Several Liability, Pass through taxation.

Question 6

Limited Partnership

Answer 6

Minimum of 2 people. Max- unlimited. Only General Partners are Liable. Pass through taxation.

Question 7

Regular Corporation ( C Corp )

Answer 7

Artificial person. 1 or more (unlimited).
Managed by board with stockholders.
Veil of protection for stockholders.
Double Taxation.

Question 8

S Corportation

Answer 8

1 or more. Max 100. 
Articles of INCORPORATION
Max 100 investors. 
Veil of Protection
Pass through taxes (no double tax)

Question 9

Limited Liability Companies

Answer 9

1 or more *unlimited”
Veil of Protection
Pass through taxation
Articles of ORGANIZATION

Question 10

S Corporation

Answer 10

1 or more. Max 100. 
Articles of INCORPORATION
Max 100 investors. 
Veil of Protection
Pass through taxes (no double tax)

Question 11

Short Term capital Gains are taxed at?

Answer 11

Ordinary Income tax rates

Question 12

Short Term capital Gains are taxed at?

Answer 12

Ordinary Income tax rates

Question 13

Security

Answer 13

Allows groups of investors to pool money & invest larger.

Question 14

Adjusted Basis

Answer 14

Purchase Price - Depreciation = Adjusted Basis

Question 15

Capital Gain

Answer 15

Adjusted Sale - Adjusted Basis = Capital Gain

Question 16

How to calculate depreciation per year

Answer 16

Improvement (Home) Value / Economic Life = Depreciation per Year