Which of the Following Scenarios Would Be Appropriate for a Section

question 1

Multiple Choice

Which of the following scenarios would be appropriate for a section 85 rollover?

• A) A shareholder of a corporation wishes to transfer his vehicle to his corporation. The vehicle originally cost $20,000 and has a market value of $12,000.
• B) A corporation wishes to convert land owned by the company into a parking lot.
• C) A taxpayer wishes to transfer property worth $200,000, with an ACB of $90,000, to her corporation.
• D) A corporation is selling its equipment to another corporation and does not wish to own shares in the other corporation.

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Definitions:

Plessy v. Ferguson

A landmark 1896 U.S. Supreme Court case that upheld the constitutionality of racial segregation under the "separate but equal" doctrine.

Racial Segregation

The enforced separation of different racial groups in a country, community, or establishment, leading to inequality and discrimination.

Civil Rights

Rights ensuring personal freedom and equality, protected by law from unjust governmental or other interference, specifically focusing on preventing discrimination.

Plessy v. Ferguson

A landmark 1896 Supreme Court case that upheld state-imposed racial segregation based on the "separate but equal" doctrine.