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Unformatted text preview: 6) Sam purchases 3-year property and uses MACRS for $2000 on March 6, 2007. He sells it on 8/12/2010 for $1000. How much depreciation does he take in 2007 assuming the half-year convention. 7) Same as above, how much depreciation does he take in 2010? 8) Sal sells a personal residence that she bought on 7/4/2005 for $300,000 to her mother on 8/12/2010 for $250,000. What is the amount of her mothers recognized loss? __________ 9) Same as above. Her mother sells the personal residence to a disinterested third party for $325,000. What is the amount of the mothers recognized gain?___________ 10) When an employer reimburses employees under a(n) __________________________ ________________________ he doesnt have to pay payroll taxes on the payments, and the employees dont have to include the payments in their taxable income....
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- Spring '10