Discuss the Criteria Used to Determine Whether a Building Is

question 74

Essay

Discuss the criteria used to determine whether a building is residential or nonresidential realty. Also explain the tax consequences resulting from this determination if the property is placed in service in 2018.

---

Definitions:

Fraud

Intentional deception made for personal gain or to damage another individual.

Punitive Damages

Punitive damages are monetary compensations awarded in lawsuits, over and above the actual damages, intended to punish the defendant for egregious misconduct and deter future similar acts.

Innocent Misrepresentation

A false statement made by someone who believes it to be true, leading another to enter into a contract or agreement under false pretenses without the intent to deceive.

Common Law Fraud

A form of fraud that involves misrepresentation, deceit, or concealment of a material fact leading to damage to another party, recognized under common law.