Federal Taxation II: Property Transactions of Business Owners and Shareholders

This module explores advanced cost recovery concepts in the U.S. federal tax system, including Section 179 and bonus depreciation and the limits on listed property. It also covers amortization of intangible property and depletion of natural resources.

This module examines property dispositions and their tax consequences under U.S. federal tax law. It covers the concept of amount realized, the distinction between realized and recognized gains or losses, and the three primary methods of determining basis: cost, gift, and inheritance.

This module examines property transactions in which gains or losses are deferred, including disallowed losses, like-kind exchanges, boot, and the resulting basis and holding period rules. It also covers involuntary conversions, including timing requirements, direct and indirect conversions, and the functional use and taxpayer use tests.

This module covers nonrecognition rules for the sale of a primary residence and contributions of property to business entities. It also examines wash sale rules, worthless securities, and the tax treatment of certain small business stock gains and losses.

This module examines the character and tax rates of gains and losses on property dispositions, including ordinary, Section 1231, and long-term capital gains. It also explains holding periods, the netting process, and the treatment of Section 1231 assets.

This module explores Section 1245 and Section 1250 assets within in Section 1231, including depreciation recapture, unrecapture, and applicable tax rates. It also covers related-party sales of depreciable property and the netting process.

In this module, you will apply the course's tax rules to hypothetical scenarios by identifying issues and determining the appropriate tax treatment.