C-Corporation distributes rental house (market value $100K, fully depreciated) to sole shareholder and closes the corp. It has a 40K NOL from prior years. Can I say that shareholder buys the house for $100K so as to make use of the 40K NOL. Or can I say the value of the distribution to shareholder is $60K?
Best Answer Click here
This discussion has been locked. No new contributions can be made. You may start a new discussion here
The liquidating distribution of the house is done at FMV
Here is some light reading to help you to say the right thing https://www.thetaxadviser.com/issues/2012/sep/casestudy-sep2012.html
You have clicked a link to a site outside of the Intuit Accountants Community. By clicking "Continue", you will leave the community and be taken to that site instead.