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Let's say George transfered properties A, B , and C to corporation H in a transaction that qualified for IRC S351. In the exchange George
Let's say George transfered properties A, B , and C to corporation H in a transaction that qualified for IRC S351. In the exchange George received on H stock
Property A:
FMV: $10k
AB: $0
Property B:
FMV: $20k
AB: $25k
Property C:
FMV: $10K
AB: $25k
1) What is George's adj basis in the H stock received?
2) What is George's adj basis for Property B?
3) If you received $4k of cash in the exchange (so you are not receiving H stock): What gain/loss would you receive? Also, What basis would H take in Property A?
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