Discussion Question 14-5 (LO. 1) Taylor is negotiating to buy some land and has two options. Under the first option, Taylor will give Ella $150,000 and assume her mortgage on the land for $100,000. Under the second option, Taylor will give Ella $250,000, and she will immediately pay off the mortgage. Taylor wants his basis for the land to be as high as possible. Given this objective, which option should Taylor select? Taylor's basis in the land under Option 1 is Taylor's basis in the land under Option 2 is Since Taylor's basis in the land under Option 1 is the same as either Option 1 or Option 2 . his basis under Option 2, he should select Chack My Work The term sale or other disposition is defined broadly in the tax law and includes virtually any disposition of property