Sally owns real property for which the annual property taxes are $9,000. 5 he sells the property to Kate on March 9,2022, for $550,000. Kate pays the real property taxes for the entire year on October 1,2022. Assume a 365 -day year. Round any division to four decimal places. Round your final answers to the nearest dollar. a. How much of the property taxes can be deducted by Sally and how much by Kate? Sally can deduct 5 and Kate can deduct & of the property taxes. Feedback Theck My Work The term sale or other disposition is defined broadly in the tax law and includes virtually any disposition of property. Reahized gain or los: difference between the amount realized from the sale or other disposition of property and the property's adjusted basis on the date of di The amount realized from a sale or other disposition of property is a measure of the economic value received for the property given up. b. What effect does the property tax apportionment have on Kate's adjusted basis in the property? Kate's adjusted basis for the property is by the 5 she paid that is apportioned to Sally. c. What effect does the apportionment have on Sally's amount realized from the sale? Sally paid none of the feal property taxes and reatrited is permitted to deduct the apportioned share of 5 X2 Her amourt by this amourt. * Chedk Mr Wen Raitialy cortect 4. How would the anwwers in parts (b) and (c) differ af Fally paid the taxes? If Sally paid the toxes, Sally's armeant reactaed would be 5 Katr's adfinted hasis woukl be