In a § 351 Transaction, If a Transferor Receives Consideration

question 41

True/False

In a § 351 transaction, if a transferor receives consideration other than stock, the transaction can be taxable.

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Definitions:

Ganglia

Clusters of nerve cell bodies, often acting as relay points, located outside the central nervous system.

Cell Membrane

A biological membrane that separates the interior of all cells from the outside environment, controlling the movement of substances in and out of cells.

Cell Body

The part of a neuron containing the nucleus, responsible for maintaining the life of the cell.

Neuron

A cell specialized in the transmission of nerve impulses, commonly called a nerve cell.