Determine marie and ethans current income and gain

Assignment Help Taxation
Reference no: EM13945794

Marie and Ethan form Roundtree Corporation with the transfer of the following. Marie performs personal services for the corporation with a fair market value of $80,000 in exchange for 400 shares of stock. Ethan contributes an installment note receivable (basis $25,000; fair market value $30,000), land (basis $50,000; fair market value $170,000), and inventory (basis $100,000; fair market value $120,000) in exchange for 1,600 shares. Determine Marie and Ethan's current income, gain, or loss; calculate the basis that each takes in the Roundtree stock.

Reference no: EM13945794

Questions Cloud

Determine the tax consequences on marlene gross income : Marlene, a cash basis taxpayer, invests in Series EE U.S. government savings bonds and bank certificates of deposit (CDs). Determine the tax consequences of the following on her 2015 gross income:
Prepare a multi-step and single-step income statement : At the bottom of one of the income statements you prepare, explain which statement you feel is the most informative for a company? Explain your reasoning. Explain any formulas used.
What could explain fredas willingness to spread her salary : What could explain Freda's willingness to spread her salary over a longer period of time? Did Freda actually or constructively receive $252,000 in 2016?
Can the police officer search your cell phone : Can the police officer legally detain you? Explain why or why not. While you are detained, the officer asks to see your cell phone. Can the police officer search your cell phone? Explain why or why not, citing the appropriate case to support your ..
Determine marie and ethans current income and gain : Marie and Ethan form Roundtree Corporation with the transfer of the following. Determine Marie and Ethan's current income, gain, or loss; calculate the basis that each takes in the Roundtree stock.
What noah expect to happen to percentage of bagels purchased : Why is it that we can assume that the price elasticity of demand for Noah's Bagels is inelastic? If the price pf a plain bagel at Noah's rises from 99 cents to $1.12, what can Noah expect to happen to the percentage of bagels purchased?
Family systems explain in detail : You will write an essay of at least 600 words, drawing information from this course, outside readings, and presentations for that module/week. The essay must be strongly supported with proper citations of 2-3 current, scholarly sources in current ..
What say about value of the price elasticity of demand : If the price of X drops from $1 to 80 cents, and the quantity rises from 2,000 pounds purchased to 3,000 pounds purchased what can we say about the relationship between total revenue from the sale of X and the value of the price elasticity of dema..
Trauma, development, and spirituality explain : You will write an essay of at least 600 words, drawing information from this course, outside readings, and presentations for that module/week. The essay must be strongly supported with proper citations of 2-3 current, scholarly sources in current ..

Reviews

Write a Review

Taxation Questions & Answers

  Tax status using check-the-box regulations

Once a business has elected its tax status using check-the-box regulations, what options are available if it needs to change its tax status? What should a business consider before electing to change its tax status???

  Q the most general end product of a research question is a

q the most general end product of a research question is a research memowhich has five basic parts 1 facts 2 issues 3

  How much taxable income does nikki recognize

Nikki receives a 28 percent discount on jewelry restoration services offered by Shine Company. This year, Nikki had Shine Company repair a set of antique earrings (normal repair cost $600; discounted price $432.00).

  John jones runs a small practice providing accounting and

john jones runs a small practice providing accounting and taxation services to local businesses. during 200910 he

  What strategies help business maximize its current deduction

What strategies will help a business maximize its current depreciation deductions (including $179)? Why might a taxpayer choose not to maximize its current depreciation deductions?

  Ignore the effects of corporate income taxes

Using the data above, develop a mathematical model the controller can use for his calculations. Your model should be capable of calculating the monthly operating cash inflows and outflows for any specified month.

  Calculate of the s corporations ordinary taxable income

Calculate of the S Corporation''s ordinary taxable income and list which items are separately stated for the S Corporation.

  What is the income tax paid by the italian subsidiary

what is the income tax paid by each of the following: (a) the Italian subsidiary, (b) the Irish subsidiary, (c) the U.S. parent company, and (d) the consolidated entity (i.e., worldwide tax paid)?

  How much is sparrows tax liability for 2011

During 2011, Sparrow Corporation, a calendar year C corporation, had operating income of $510,000, operating expenses of $370,000, a short-term capital loss of $25,000, and a long-term capital gain of $80,000. How much is Sparrow's tax liability f..

  What are the tax consequences of the stock redemption

Fred is the sole shareholder of Ponce Corporation, having a basis of $90,000 in 1,000 shares of Ponce common stock. Last year, Ponce (E & P of $500,000) issued a dividend of 2,000 shares of preferred stock to Fred

  Prepare tax file memoranda

What's the result of your research and prepare tax file memoranda to explain you research results.

  Advantages and disadvantages on taxing worldwide income

Please read the article in the link below and discuss the advantages and disadvantages on taxing worldwide income of corporations immediately at a reduced rate versus waiting until the profits are returned to the U. S

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd