Question

In the following 1031 exchanges, calculate the realized gain or loss on the exchange, the recognized gain or loss on the exchange, and the adjusted basis of the like-kind property received. Adj. Basis of Property Boot Traded Given 20,000 30,000 25,000 20,000 20,000 12,500 40,000 FMV of Adj. Basis Property Boot Realized Recognized of Property Received Received Gain(Loss) Gain(Loss) Received 50,000 60,000 24, 000 16,000 17,500 25,000 8,000 In the following 1033 involuntary conversions, calculate the realized gain or loss from the casualty, the recognized gain or loss from the casualty, and the adjusted basis of the replacement property purchased. Adj. Basis Insurance Adj. Basis of Property Proceeds | Amount Realized Recognized of Property Destoyed Received Reinvested Gain(Loss) Gain(Loss) Purchased 200,000 275,000| 425,000 400,000 650,0001 600,000 485, 000 365, 000 500,000

Please assume that all transactions took place during 2019.

Answer 1

1.)

realised gain (loss)	recognised gain(loss)	adj. basis of property received
30,000	-	30,000
5,000	(25,000)	30,000
20,000	16,000	4,000
(5,000)	(2,500)	(2,500)
(7,000)	8,000	(15,000)

realised gain=property recieved - property traded value +boot recieved- boot given

recognised gain =boot recieved, recognised loss= boot given

adjusted basis of property recieved= property recieved - property traded value

2)

realised gain (loss)	recognised gain(loss)	adj. basis of property purchased
(3,50,000)	75,000	2,25,000
(3,50,000)	2,50,000	2,00,000
(6,20,000)	(1,20,000)	15,000

realised gain=insurance proceeds recieved - property destroyed value-reinvested amount

recognised gain =insurance proceeds recieved - property destroyed value

adjusted basis of property purchased= reinvested amount - property destroyed value