TimberCut Corporation transferred all the rights to timber growing on its land located in Spokane County, Washington,

Question:

TimberCut transferred all the rights to timber growing on its land located in Spokane County, Washington, to its wholly owned subsidiary, PineCo. The Department of Revenue has imposed a real estate excise tax on TimberCut because PineCo. transferred $ 1 million cash to TimberCut. Is TimberCut’s transfer a sale of timber land subject to the taxes imposed? Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...