Question
Pursuant to a corporate reorganization, Katie exchanged 1,000 shares in Burton Corp. with a basis of $12,000 and a value of $9,500, for stock in
Pursuant to a corporate reorganization, Katie exchanged 1,000 shares in Burton Corp. with a basis of $12,000 and a value of $9,500, for stock in Mead Corp. worth $9,000 and cash of $500.
What is Katie’s realized and recognized gain or loss from the reorganization?
What is Katie’s tax basis for her Mead Corp. stock?
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Principles Of Taxation For Business And Investment Planning 2019 Edition
Authors: Sally Jones, Shelley C. Rhoades Catanach, Sandra R Callaghan
22nd Edition
9781259917097, 1259917096, 978-1260161472
