Question

Case	Adjusted basis of Proproperty Given Up	FMV of Property Received	Cash received	Cash paid	Gain or Loss recognized	Basis of Property Received
1	70,000	59,000	6,000	-
2	40,000	36,000	5,000	-
3	30,000	25,000	-	-
4	40,000	60,000	10,000	-
5	30,000	32,000	2,000	-
6	50,000	50,000	-	10,000
7	50,000	40,000	25,000	-
Assume that all of these properties qualify for Sec. 1031 like-kind exchange treatement. For each of the inidivdual cases above, determine the gain or loss recgonized and the basis of the property received.

Answer 1

1. Loss of 5000 to be recognised.

2. Gain of 1000 to be recognised

3. Loss of 5000 to be recognised.

4. Gain of 30,000 to be recognised

5. Gain of 2000 to be recognised

6. Loss of 10,000 to be recognised.

7. Gain of 15,000 to be recognised