Longterm vs Shorier Martin Gary Lavern Wonder 1. Marlin Jordan inherited property owned by Mikael Jordan his grandfather who died in January 2019 when the FMV of the property was $5.8 million. Six months after the date of death, the property had a $5.95 million FMV. The property is distributed to Marlin Jordan in November. Kevon Garnet makes a gift of property owned for 2 years with a basis of $535,000 to Gary Peyton, it FMV on that day was $542,500 FMV. If Gary Peyton sells the property for $600,000, he has a realized gain because the FMV of the property at the time of the gift is more than the donor's basis, the donee's basis for determining both gain and loss. 3 Laverne purchases an asset by paying cash of $40,000 and signs a note payable to the Shirley for $60,000. She also assumes a $2,000 lien against the property. 4. Wonder owns land held for 5 years with a basis of $200,000. Using eminent domain the land is taken by the city Wonder receives a payment of $300,000 for the land. Longterm vs Shorier Martin Gary Lavern Wonder 1. Marlin Jordan inherited property owned by Mikael Jordan his grandfather who died in January 2019 when the FMV of the property was $5.8 million. Six months after the date of death, the property had a $5.95 million FMV. The property is distributed to Marlin Jordan in November. Kevon Garnet makes a gift of property owned for 2 years with a basis of $535,000 to Gary Peyton, it FMV on that day was $542,500 FMV. If Gary Peyton sells the property for $600,000, he has a realized gain because the FMV of the property at the time of the gift is more than the donor's basis, the donee's basis for determining both gain and loss. 3 Laverne purchases an asset by paying cash of $40,000 and signs a note payable to the Shirley for $60,000. She also assumes a $2,000 lien against the property. 4. Wonder owns land held for 5 years with a basis of $200,000. Using eminent domain the land is taken by the city Wonder receives a payment of $300,000 for the land