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Exercise 14-22 (Algorithmic) (LO. 3) Juliana purchased land three years ago for $76,600. She gave the land to Tom, her brother, in the current year,
Exercise 14-22 (Algorithmic) (LO. 3) Juliana purchased land three years ago for $76,600. She gave the land to Tom, her brother, in the current year, when the fair market value was $107,240. No gift tax is paid on the transfer. Tom subsequently sells the property for $96,516. a. Tom's basis in the land is $ and he has a realized of $ on the sale. b. Assume, instead, that the land has a fair market value of $68,940 and that Tom sold the land for $65,493. Tom's basis in the land is $ and he has a realized of $ on the sale
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