Occasionally, Realized Gains Are Not Recognized for Tax Purposes

question 87

Multiple Choice

Occasionally, realized gains are not recognized for tax purposes. These situations occur because
I.certain gains are excluded due to legislative grace.
II.gains are deferred on certain types of property transactions where the wherewithal-to-pay the tax resulting from the transaction is lacking.
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• A)Only statement I is correct.
• B)Only statement II is correct.
• C)Both statements are correct.
• D)Neither statement is correct.

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Definitions:

U.S. Bureau of Labor Statistics

A federal agency that collects and analyzes essential economic information related to labor market activity, working conditions, and price changes in the economy.

American Companies

refer to business enterprises based in the United States, known for their influence on the global economy and innovation in various sectors.

Overseas Companies

Businesses that operate outside their home country, engaging in international trade or services.

Discrimination

Your behavior, or what you do (or intend to do, or are inclined to do) as a result of your stereotypes and prejudice.