Mrs. Lockhart plans to structure a transaction as a legal sale of a property, although the economic substance of the transaction is a lease of the property. In Mrs.Lockhart's position the tax consequences of a sale are much more favorable than those of a lease. Mrs. Lockhart believes that if her position unexpectedly changes so that she would prefer a lease to a sale, she would be able to ignore the legal formalities and report the transaction as a lease.what is the tax issue and the appropriate questions?