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AZ Real Estate (ASREB) 5/2017 > A6 > Flashcards

Flashcards in A6 Deck (16)
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1

To qualify for Installment Gain Reporting the seller must

Carry some of all of the financing.

2

Deferring Gain on Real Property

Must be like kind.

3

What is a Boot?

given in exchange to offset disparity in equity or value in property.
Boot is taxed

4

Sole Proprietorship

Min/Max 1 person, solely liable for everything

5

General Partnership

Minimum of 2 people. Max- unlimited. Joint and Several Liability, Pass through taxation.

6

Limited Partnership

Minimum of 2 people. Max- unlimited. Only General Partners are Liable. Pass through taxation.

7

Regular Corporation ( C Corp )

Artificial person. 1 or more (unlimited).
Managed by board with stockholders.
Veil of protection for stockholders.
Double Taxation.

8

S Corportation

1 or more. Max 100.
Articles of INCORPORATION
Max 100 investors.
Veil of Protection
Pass through taxes (no double tax)

9

Limited Liability Companies

1 or more *unlimited"
Veil of Protection
Pass through taxation
Articles of ORGANIZATION

10

S Corporation

1 or more. Max 100.
Articles of INCORPORATION
Max 100 investors.
Veil of Protection
Pass through taxes (no double tax)

11

Short Term capital Gains are taxed at?

Ordinary Income tax rates

12

Short Term capital Gains are taxed at?

Ordinary Income tax rates

13

Security

Allows groups of investors to pool money & invest larger.

14

Adjusted Basis

Purchase Price - Depreciation = Adjusted Basis

15

Capital Gain

Adjusted Sale - Adjusted Basis = Capital Gain

16

How to calculate depreciation per year

Improvement (Home) Value / Economic Life = Depreciation per Year