On January 1, 2015, Myron sells stock that has a $50,000 FMV on the date of the

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On January 1, 2015, Myron sells stock that has a $50,000 FMV on the date of the sale (basis $75,000) to his son Vernon. On October 21, 2015, Vernon sells the stock to an unrelated party. In each of the following, determine the tax consequences of these transactions to Myron and Vernon:
a. Vernon sells the stock for $40,000.
b. Vernon sells the stock for $80,000.
c. Vernon sells the stock for $65,000.
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Fundamentals Of Taxation 2016

ISBN: 9781259812774

9th Edition

Authors: Ana Cruz, Michael Deschamps, Frederick Niswander, Debra Prendergast, Dan Schisler, Jinhee Trone

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