Basis – What’s the point of gain?

Viewing 1 post (of 1 total)
  • Author
  • #3006804

    In my Roger book it states;

    “If the shareholder receives cash/property in addition to stock, gain is recognized up to the amount of cash/FV or property received.”

    This is the recognized gain that is being added in the shareholder basis equation. This would also be what is subtracted. If we're zeroing it out, what's the point of including it?

    *New to REG and I find all this to be very bizarre and studying slow so any help with regards to basis would be appreciated.

Viewing 1 post (of 1 total)
  • You must be logged in to reply to this topic.