Using current literature, complete the case titled “Small Business-Peachtree” attached above. You will need to down load the case and answer the questions given. Here are some hints that will help you on the case:
I
Discuss the entity choices available to Peachtree. Include some comments about Form 8832.
II
What might be the entity’s intent for not making a §754 election? In your discussion, use the terms duplicate loss and substantial built-in loss.
Consult the “anti-abuse rules” of the regulations to determine which partner(s) can deduct losses from the sale of The Commons.
III
Trace the basis that Toby should assign to the land and building
Prepare a written case study analysis for the above assigned research case, minimum of 3-4 pages. The case analysis must be fully annotated with citations in proper legal form. (See writing guidelines located in Getting Started)
tax Week 5 Research Case
