South-western Federal Taxation 2018: Individual Income Taxes
41st Edition
ISBN: 9781337385886
Author: William H. Hoffman, James C. Young, William A. Raabe, David M. Maloney, Annette Nellen
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
Chapter 15, Problem 1DQ
To determine
Identify that whether the non-recognition of the realized gain or loss temporary or permanent in most of the nontaxable exchanges.
Expert Solution & Answer
Explanation of Solution
In several nontaxable exchanges, the non-recognition of the realized gain or loss is temporary. The recognition is delayed in anticipation of the property received in the nontaxable exchange is consequently disposed of in a taxable transaction. This is accomplished by conveying a carryover basis to the replacement property.
Want to see more full solutions like this?
Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!
Students have asked these similar questions
Define the following relative to like-kind exchanges:
Boot
Postponed gain or loss
Gain or loss realized
Gain or loss recognized
Why is the goodwill procedure best described as a revaluation procedure?
No plagarism
Is the substituted basis of the qualifying property received in a nontaxable exchange more or less than the cost of that property?
Chapter 15 Solutions
South-western Federal Taxation 2018: Individual Income Taxes
Ch. 15 - Prob. 1DQCh. 15 - Prob. 2DQCh. 15 - Prob. 3DQCh. 15 - Prob. 4DQCh. 15 - LO.2 Melissa owns a residential lot in Spring...Ch. 15 - LO.2 Ross would like to dispose of some land he...Ch. 15 - Prob. 7DQCh. 15 - Prob. 8DQCh. 15 - Prob. 9DQCh. 15 - Prob. 10DQ
Ch. 15 - Prob. 11DQCh. 15 - Prob. 12DQCh. 15 - Prob. 13DQCh. 15 - Prob. 14DQCh. 15 - Prob. 15DQCh. 15 - Prob. 16CECh. 15 - Prob. 17CECh. 15 - Prob. 18CECh. 15 - Prob. 19CECh. 15 - Prob. 20CECh. 15 - LO.3 Camilos property, with an adjusted basis of...Ch. 15 - Prob. 22CECh. 15 - Prob. 23CECh. 15 - Prob. 24CECh. 15 - Prob. 25CECh. 15 - Prob. 26CECh. 15 - Prob. 27PCh. 15 - Prob. 28PCh. 15 - Prob. 29PCh. 15 - Prob. 30PCh. 15 - Prob. 31PCh. 15 - Prob. 32PCh. 15 - Prob. 33PCh. 15 - Ed owns investment land with an adjusted basis of...Ch. 15 - Prob. 35PCh. 15 - Prob. 36PCh. 15 - Prob. 37PCh. 15 - Prob. 38PCh. 15 - Prob. 39PCh. 15 - Prob. 40PCh. 15 - LO.3 Howards roadside vegetable stand (adjusted...Ch. 15 - Prob. 42PCh. 15 - Prob. 43PCh. 15 - Prob. 44PCh. 15 - Prob. 45PCh. 15 - Prob. 46PCh. 15 - What are the maximum postponed gain or loss and...Ch. 15 - Prob. 48PCh. 15 - Prob. 49PCh. 15 - Prob. 50PCh. 15 - Prob. 51PCh. 15 - Prob. 52PCh. 15 - Prob. 53PCh. 15 - Prob. 54PCh. 15 - Prob. 55PCh. 15 - Prob. 56PCh. 15 - Prob. 57CPCh. 15 - Prob. 1RPCh. 15 - Prob. 2RPCh. 15 - Taylor owns a 150-unit motel that was constructed...Ch. 15 - Prob. 5RPCh. 15 - Prob. 1CPACh. 15 - Chad owned an office building that was destroyed...Ch. 15 - Prob. 3CPACh. 15 - Marsha exchanged land used in her business in...Ch. 15 - Prob. 5CPACh. 15 - Prob. 6CPA
Knowledge Booster
Similar questions
- Which of the following statements is correct? A. The receipt of boot in a § 1031 like-kind exchange can result in the recognition of gain B. The receipt of boot in a § 1031 like-kind exchange cannot result in the recognition of loss C. The giving of boot in a § 1031 like-kind exchange can result in the recognition of gain D. Only A, and B E.A, B, and C Please without plagiarism pleasearrow_forwardExplain how to defer gains using the like-kind exchange rules.arrow_forwardIn your own words, briefly explain a 'qualifying asset' and how we report exchange rate differences relating to the acquisition of qualifying assets? Contrast this with the treatment for assets that are not qualifying assetsarrow_forward
- What is the difference between an exchange and a nonexchange transaction?arrow_forwardTemporary differences result in future taxable or deductible amounts when the related asset or liability is recovered or settled. Some differences, though, are not temporary. What events create temporary differences? What events create permanent differences? Please provide examples.arrow_forwardExplain the differences between upstream and downstream intra-entity transfers, as well as how each impacts the calculation of noncontrolling interest balances.arrow_forward
- What exactly are temporary differences? What types of transactions cause these differences?arrow_forwardhow do you determine when goodwill will be written off under the impairment rulesarrow_forwardBriefly explain the differences between U.S. GAAP and IFRS in the measurement of an impairment loss for goodwill.arrow_forward
arrow_back_ios
arrow_forward_ios
Recommended textbooks for you
- Individual Income TaxesAccountingISBN:9780357109731Author:HoffmanPublisher:CENGAGE LEARNING - CONSIGNMENT
- Intermediate Financial Management (MindTap Course...FinanceISBN:9781337395083Author:Eugene F. Brigham, Phillip R. DavesPublisher:Cengage Learning
Individual Income Taxes
Accounting
ISBN:9780357109731
Author:Hoffman
Publisher:CENGAGE LEARNING - CONSIGNMENT
Intermediate Financial Management (MindTap Course...
Finance
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Cengage Learning