Financing Real Estate
The original cost basis of property includes the amount of
any mortgage given to secure payment of any por9on of the
purchase price of the property.
LEASES AND THEIR TAX
Percentage rents (Based on sales or prots)
Income to Lessor
Deduc?ble by the Lessee
Net Leases - Expenses of the lessor that may be paid
Required Tax Years
Opera&ng Expenses and Taxes
Partnership Accoun9ng Periods,
Methods, and Tax Elec9ons
Internal Revenue Code generally requires that partnerships, S
corpora&ons, and personal service corpora&ons confo
Decline in Property or default on Mortgage.
A:empt at some compromise or se:lement of the debt at a
This is most likely if a decline in value.
Development, Subdivision, and Sales in the Ordinary Course of Business
Ordinary and Necessary business expenses currently deduc=ble
Capitalized costs recouped as sales are made.
Model Case Brief Template and Sample:
Case: Name of the case, (and year of the decision).
Facts: Who are the parties to the lawsuit, what is their dispute, and how did they get to the Supreme Court? In your
own words, only include the few important facts