he explains that she sold one of the properties has been listed the longest in the market. However, both the buyer and the seller are refusing to pay the resulting capital gains tax. Who should shoulder said tax and why? a. The buyer, as the negotiated price normally does not include the tax. b. The seller, as it is a tax on the gain realized by the seller. c. The buyer, given that he is the one to file for the return. d. The seller, as the negotiated price normally includes the tax.
he explains that she sold one of the properties has been listed the longest in the market. However, both the buyer and the seller are refusing to pay the resulting capital gains tax. Who should shoulder said tax and why? a. The buyer, as the negotiated price normally does not include the tax. b. The seller, as it is a tax on the gain realized by the seller. c. The buyer, given that he is the one to file for the return. d. The seller, as the negotiated price normally includes the tax.
Chapter2: Gross Income And Exclusions
Section: Chapter Questions
Problem 8P
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Question
While you are enjoying your meal at a restaurant, your phone rang so loudly that you felt embarrassed when the whole room suddenly looked at you. You then rushed outside to take the call. Jackie, a real estate broker, is the name appearing in your screen. You wanted not to answer it given the embarrassment she just caused. However, since she is your best friend, you decided to take the call.
She explains that she sold one of the properties has been listed the longest in the market. However, both the buyer and the seller are refusing to pay the resulting
Who should shoulder said tax and why?
a. The buyer, as the negotiated price normally does not include the tax.
b. The seller, as it is a tax on the gain realized by the seller.
c. The buyer, given that he is the one to file for the return.
d. The seller, as the negotiated price normally includes the tax.
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