- -wrongful coduct-civil wrong-not criminal wrong-not arising from a breach of contract
- an act so reprehensible that it is considered a wrong against society as a whole-as well as against the individual victim-
- civil action in which one person brings a personal suit against another to obtain compensation -or other relief for the harm suffered
- through ____-society compensates those who have suffered injuries as a result of the wrongful conduct of others
- recognizes that some acts are wrong-they cause injuries to others-not only type of wrong that exist in the law( also crime)
- provides remedies for invasion of protected interest e.g.-personal privacy-family relations-reputation-dignity
- Within EU law, environmental impact assessment is employed in 2 important directives:
- The tax basis of stock received in a tax-deferred Section 351 transaction is typically a(n) basis (that is, it is the same basis as the property transferred).
- True or false: A corporation that receives property in exchange for its stock in a Section 351 transfer recognizes gain or loss realized on the transfer.
- Milly transfers a building worth $100,000 (adjusted basis = $80,000) and land worth $50,000 (adjusted basis = $10,000) to EE Corp. in exchange for EE Corp. stock worth $126,000 and $24,000 cash in a Section 351 transaction. What is EE Corp.'s depreciable basis for the building that that it received from Milly? What is the depreciable basis of the land?
- Under an exception to the general rule, a liability transferred to a corporation in a Section 351 transaction will NOT be treated as boot unless the purpose of the transaction is____________ ____________ . (Enter one word per blank)
- Alberto transfers all of the assets of his proprietorship, including a building with a basis of $135,000 and a value of $200,000 to form Fonseca Corp. in exchange for 40 shares of stock in a tax-deferred 351 transaction. Fonseca assumed the $50,000 mortgage against the building. How much gain will Alberto recognize?
- Andre receives 50 shares of stock with a fair market value of $200,000 plus $50,000 cash in exchange for his contribution of machinery, land and inventory valued at $40,000, $150,000 and $60,000, respectively. How does Andre allocate the boot for purposes of calculating gain recognized?
- Joshua receives Dee Corp. stock worth $135,000 and $15,000 cash in a Section 351 transaction where he transfers property worth $150,000 (adjusted basis = $170,000). What is Dee Corp.'s basis in the property received?
- When the basis of property contributed carries over to the corporation in a tax-deferred 351 transaction, the depreciation schedule:
- Jon, Stewart, and Stephen decide to form Daily, Inc. Jon and Stewart both contribute cash and property in exchange for a total 67% of the voting stock of the corporation. Stephen contributes services in exchange for the remaining 33%. All three make the contribution at the same time. Which shareholder's contributions will qualify for deferral under Section 351?
- Eddie contributes property worth $50,000 (adjusted basis = $30,000) to Lindy Corp. Eddie is already the sole shareholder of Lindy and receives nothing in return for his transfer. What is Lindy's basis in the property?
- Sadek contributes cash of $10,000, land with a value of $400,000 (basis = $200,000), and equipment with a value of $20,000 (basis = $0) to a corporation in a tax-defered Section 351 transaction. What is Sadek's basis in the new corporation stock?
- If a transfer of property or cash in exchange for corporate stock does not meet the requirements of Section 351, the taxpayer must any gain on the transfer.
- Shirin contributes cash of $10,000, a computer with a market value of $1,000 (her basis is $500), and land with a market value of $80,000 (her basis is $20,000) to a corporation in exchange for stock that qualifies under Section 351. How much gain or loss did Shirin realized and recognize?