Eileen transfers property worth $200,000 (basis of $190,000) to goldfinch corporation. in return, she receives 80% of the stock in goldfinch corporation (fair market value of $180,000) and a long-term note (fair market value of $20,000) executed by goldfinch and made payable to eileen. eileen recognizes gain on the transfer of:

Eileen recognizes gain on the transfer is $10000

Explanation:

given data

transfers property = $200,000

basis = $190,000

return = 80%

fair market value = $180,000

long term fair market value = $20,000

to find out

Eileen recognizes gain on the transfer

solution

we can say here that Eileen recognizes gain on the transfer is $10000

because Eileen  received is  property worth - basis = $200,000 - $190,000 = $10000

and no gain no loss is recognized for contribution of getting interest in company so here

gain in boot amount is $10000

so that Eileen recognizes gain on the transfer is $10000

the answer is: c.that person might be arrested and deported

filling w-4 form incorrectly usually would rise suspicions from government's auditors. when they notice such mistakes, they would send their teams to investigate the situation further.

if those investigation teams believe that the incorrectness is done on purpose (with malicious intent), that person can be arrested or deported

answer; 33,000;