Even Though the Parent Corporation in a § 332 Liquidation

question 42

True/False

Even though the parent corporation in a § 332 liquidation uses the carryover basis of the subsidiary as its basis in the assets received, the depreciation recapture rules apply to the subsidiary.

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Definitions:

Tachy-

A prefix meaning "fast" or "swift," used in medical terminology to denote an abnormally rapid state, such as in "tachycardia" for rapid heartbeat.

Pan-

A prefix meaning "all" or "every," indicating inclusiveness or a wide scope in various fields.

Myocarditis

Inflammation of the heart muscle, often due to viral infections, leading to heart dysfunction.

Endocarditis

An infection of the inner lining of the heart chambers and heart valves.