In 2020, Julie's business-use equipment was completely destroyed in a casualty. The equipment had a fair...
In 2020, Julie's business-use equipment was completely destroyed in a casualty. The equipment had a fair market value of $100,000 and an adjusted basis of $50,000 at the time of the casualty. Jamie's received insurance proceeds of $100,000. What is the amount of Jamie's casualty loss deduction or her casualty gain in 2020?
Homework Answers
In books of julie the book value/adjusted basis is 50,000
Fair value of 1,00,000 is immaterial (assumption Book Value Method is followed by julie in business)
Insurance proceeds received 1,00,000
Therefore casualty gain is 1,00,000-50,000 = $50,000
If julie follow revaluation method then she revalue asset at 1,00,00 in this case there is a revaluation gain of 50,000 but casualty gain is zero..
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In 2020, Julie's business-use equipment was completely destroyed
in a casualty. The equipment had a fair...
In 2020, Jamie's business-use equipment was completely destroyed in a casualty. The equipment had a fair...
In 2020, Jamie's business-use equipment was completely destroyed in a casualty. The equipment had a fair market value of $100,000 and an adjusted basis of $50,000 at the time of the casualty. Jamie's received insurance proceeds of $40,000. What is the amount of Jamie's casualty loss deduction or her casualty gain in 2020?
In 2020, Jamie's business-use equipment was completely destroyed in a casualty. The equipment had a fair...
In 2020, Jamie's business-use equipment was completely destroyed in a casualty. The equipment had a fair market value of $100,000 and an adjusted basis of $50,000 at the time of the casualty. Jamie's received insurance proceeds of $40,000. What is the amount of Jamie's casualty loss deduction or her casualty gain in 2020? Enter losses as a negative number and gains as a positive number.
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In 2020, Jessie's business-use equipment was damaged in a casualty. The equipment had a fair market value of $100,000 and an adjusted basis of $70,000 before the casualty. After the casualty, the equipment was worth $60,000 Jessie's received no insurance proceeds. What is the amount of Jessie's casualty loss deduction or her casualty gain in 2020?
In 2020, Jessie's business-use equipment was damaged in a casualty. The equipment had a fair market...
In 2020, Jessie's business-use equipment was damaged in a casualty. The equipment had a fair market value of $100,000 and an adjusted basis of $70,000 before the casualty. After the casualty, the equipment was worth $60,000 Jessie's received no insurance proceeds. What is the amount of Jessie's casualty loss deduction or her casualty gain in 2020? Enter losses as a negative number and gains as a positive number.
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Heather owns a two-story building. The building is used 40% for
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Tax Drill - Casualty Loss Deduction Belinda was involved in a boating accident in 2019. Her speedboat, which was used on...
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Problem 7-38 (LO. 3, 4)
Heather owns a two-story building. The building is used 40% for
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major damage to the building and its contents. Heather purchased
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fair market value of $900,000. Immediately after the fire, the fair
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95. Rod had the following loss on business-use property Decrease in fair Adjusted basis Insurance Holding period market value due to reimbursement casualty Rod's storage shed was partially destroyed by fire Calculate the amount and nature of Rod's gain or loss as a result of this casualty. ANSWER: $300 $700 $100 2 years $200 loss. Please explain
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