[jeff]

Welcome to the Q3 2017 CPA Exam Study Group for REG. 🙂

Introduce yourselves and let your fellow NINJAs know when you plan to take your REG exam.

The Five Steps (NINJA Framework): https://www.another71.com/pass-the-cpa-exam/

[Holly]

@drumstick I hear ya on wanting to get this over. I can't wait to be finished!

BEC - 79
REG - 85
AUD - 5/27/16

[Holly]

@Julia question 1550 does this question have to do with the 80% rule?

BEC - 79
REG - 85
AUD - 5/27/16

[Holly]

Becker people – see updates for R8M3 New Topic

BEC - 79
REG - 85
AUD - 5/27/16

[CPAIn2018]

@Holly Sexton,

What is that? Where did you get it?

Please post the link.

You are one of a kind.

Thanx

[Holly]

Go to Becker and look for the 3.1 updates released 5/9. Be sure to download when asked at the bottom left of your screen. I would copy and paste but I don't know that I can being that it's straight from Becker's book/website.

BEC - 79
REG - 85
AUD - 5/27/16

[Julia]

@ holly. I should have printed the question. I'm not sure. I will look for it. The thing that stumped me was the use of FMV for valuation of property contributed to the corp.

If it is less than 80% control, do u use FMV instead?

[Holly]

@julia I don't have a great handle on this yet but from what I think – when you meet the 80% control test, the transaction isn't taxable = NBV. When the rest isn't met, it's taxable = FMV.

BEC - 79
REG - 85
AUD - 5/27/16

[Julia]

Thanks @holly. You r the best. I feel like all I do is study and go on this forum.
I'm too old to b doing this. Lol. I should have done this when I graduated 12 years ago.

[Julia]

How do u treat a complete corp liquidation if land distributed has liability ?
Do u ignore it and only compare FMV and adj basis – and recognize a gain or loss?

[Justin John]

Hi All, Planning to take REG first week July. My friends told me about another 71. Excited to be part of the group.

[Holly]

@Julia I don't know. I tried to see if I can look ahead but I didn't see anything on that. What chapter are you in? I would think you wouldn't ignore the mortgage. Would you take the basis less the mortgage, then compute the gain or loss?

BEC - 79
REG - 85
AUD - 5/27/16

[Holly]

Welcome @Justin!

Hey all I'm hoping to have a good study day today so let's start getting this forum moving!

BEC - 79
REG - 85
AUD - 5/27/16

[Holly]

I don't know if I'm just confusing myself and making this harder, but I cannot get the answer! Becker R3 Sim 1, Task 3, question 5 – sold 500 shares. Can someone tell me how they got the correct answer?

BEC - 79
REG - 85
AUD - 5/27/16

[robertchapa0719]

@holly sexton So this question deals with a Wash Sale. Losses from a Wash Sale are disallowed up to the amount of purchased stock 30 days before the sale or 30 days after the sale.

Three weeks prior to the sale, within 30 days, they purchased 100 shares.. any loss associated with 100 shares sold is not allowed. Disallowed ONLY on the 100 shares…

Since they only bought 100 shares the other 400 shares do ALLOW a loss. (400 x (Basis $22 – Sold $20) = $800 loss

Hope this helps!

[Holly]

@robertchapa0719 I thought only if the stock was sold at a loss. They were bought at $18 and sold for $20. I'm reading it again and still feel like I'm thinking in circles.
Sold 500 $20
Purchased “these” $22 – I'm to assume 400, I guess
Purchased 100 $18

I was thinking gain on 100, loss on 400.

BEC - 79
REG - 85
AUD - 5/27/16

[Author]

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