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What theory was advanced by Festinger?
Basis
The amount of investment in an asset for tax purposes, used to calculate gain or loss upon sale of the asset.
Related Party
Individuals or entities that have a close connection to a taxpayer that can affect financial transactions and tax reporting, such as family members or entities under common control.
Deductible
An expense that can be subtracted from income for tax purposes, reducing the taxable income.
Substantially Identical Stock
Stocks that are very similar to each other, the purchase of which can affect the tax treatment of sales for loss.
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