Darcy borrowed $4,000 in 2013 from her employer to purchase a new computer. She repays $1,000 of
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Darcy borrowed $4,000 in 2013 from her employer to purchase a new computer. She repays $1,000 of the loan plus 6% interest on the unpaid balance in 2013, 2014, and 2015. After closing a big deal in 2016, she receives the original loan agreement stamped ``paid in full'' across the face. Does Darcy have to recognize any income from the cancellation of the loan in 2016? Explain.
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Darcy has obtained a claim of right to the 1000 4000 3000 loan bala...View the full answer
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Related Book For 
Concepts In Federal Taxation 2017
ISBN: 9781305965119
24th Edition
Authors: Kevin E. Murphy, Mark Higgins
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