Property Received in a Corporate Liquidation by a Noncorporate Shareholder

question 61

Multiple Choice

Property received in a corporate liquidation by a noncorporate shareholder has

• A)a basis equal to its basis on the liquidating corporation's books increased by any gain recognized by the shareholder upon receipt of the property. Its holding period includes the holding period of the shareholder's stock.
• B)a basis equal to its basis on the liquidating corporation's books increased by any gain recognized by the shareholder upon receipt of the property. Its holding period commences on the day after the distribution date.
• C)a basis equal to its FMV reduced by any liabilities assumed by the shareholder. Its holding period commences on the day after the distribution date.
• D)a basis equal to its FMV. Its holding period commences on the day after the distribution date.

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Definitions:

Antisocial Parents

Parents who exhibit behaviors that are hostile, disruptive, or violating societal norms, potentially influencing their children's behavior negatively.

Substance Use Disorder

Recurrent substance use that results in significant adverse consequences in social or occupational functioning, or use of a substance that impairs one’s performance in hazardous situations, for example drinking and driving.

ADHD

Attention Deficit Hyperactivity Disorder, a neurodevelopmental disorder characterized by problems with focus, hyperactivity, and impulsiveness.

Depression

A common mental disorder characterized by persistent sadness, loss of interest or pleasure, feelings of guilt or low self-worth, disturbances in sleep or appetite, low energy, and poor concentration.