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In the current year, Water Corporation uses Fire Corporation's stock to redeem $5,000 of its own stock from its non-corporate shareholders. Water Corporation owns 30%
In the current year, Water Corporation uses Fire Corporation's stock to redeem $5,000 of its own stock from its non-corporate shareholders. Water Corporation owns 30% of Fire Corporation's stock with a basis of $2,000 and a FMV of $18,000. How should Water Corporation treat the redemption for tax purposes?
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For tax purposes Water Corporations redemption of its own stock using Fire Corporations stock ...
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South Western Federal Taxation 2016 Corporations Partnerships Estates And Trusts
Authors: James Boyd, William Hoffman, Raabe, David Maloney, Young
39th Edition
978-1305399884
