Which of the following is true with respect to the related party rules?
a. Bill sells stock to his sister for a $3,000 loss. Bill can deduct the loss on his tax return.
b. A taxpayer's uncle is a related party for purposes of Section 267.
c. A disallowed loss on a related party transaction can be used to offset any future gain when the property is sold to an unrelated party.
d. Under the constructive ownership rules of Section 267, a shareholder owns 10 percent of the stock owned by a corporation in which he or she is a shareholder.
e. None of the above are true.
c
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All of the following are conditions that can result from the comparison of your inputs and outputs to the inputs and outputs of others EXCEPT:
A. a state of equity B. over-reward equity C. under-reward equity D. a state of equity when you have the perception that your inputs are greater than a referent others and you get paid the same. E. None of these
Rimrock Partnership has a fiscal year ending June 30. The partnership's four partners have the following ownership percentages and fiscal years: Marble 30% Owner March 31 Stone 25% Owner December 31 Brick 25% Owner September 30 Quartz 20% Owner September 30 Assuming the partnership does not make a Sec. 444 election and does not establish a business purpose for a different period, what tax year must the partnership use to file its tax return?
A. March 31. B. December 31. C. June 30. D. September 30.