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:

Strike Conditions

Refers to the specific terms or situations under which a strike may legally occur, typically within the context of labor relations.

Collective Agreement

A written contract negotiated between an employer and a union representing the employees, outlining the terms and conditions of employment.

Union Dues

Fees paid by members to a labor union to support its operations and activities.

Bargaining Agent

A body certified to act on behalf of a group of employees or employers.