In 20Y1, Ms

question 43

Multiple Choice

In 20Y1, Ms. Graves transferred appreciated property to KL Partnership in exchange for an ownership interest in the partnership. She deliberated waited until 20Y3 before taking cash out of the partnership. Ms. Graves may have been trying to prevent the IRS from applying the:

• A) Business purpose doctrine
• B) Economic substance doctrine
• C) Substance over form doctrine
• D) Step transaction doctrine

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Definitions:

Suprachiasmatic Nucleus

A small region of the brain in the hypothalamus responsible for controlling circadian rhythms.

Peribrachial Area

Cholinergic nucleus in the dorsal brainstem having a role in R-sleep behaviors; projects to medial pontine reticular formation.

Microsleep

Brief sleep period lasting a second or so.

Sporadic Napping

The act of taking short, unplanned periods of sleep at irregular intervals.