ITS AN EXAM REVIEW

CHAPTER 4

(1) Know the requirements for Section 351 Transfer (including definitions for Services, Stock and "In Control").

(2) Be able to compute Section 351 Transfer situations (ie. Recognized Gain or Loss to shareholder, Shareholder's Basis In Stock and Corporation's Basis In Properties Received) (including the impact of Section 357(b) and Section 357(c) Debt)

(3) Know the affect of contributions to Regular (C) Corporations by Non-Shareholders (ie. Recognized Gain or Recognized Loss and Basis in property received).

(4) Know the affect on Corporation and shareholders of Debt v. Equity In The Capital Structure.

(5) Be able to compute the total deductions allowed in a Section 1244 Stock situation