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Business, 07.04.2020 16:04 zacharynugent
Kenisha and Shawna form the equal KS LLC with a cash contribution of $360,000 from Kenisha and a property contribution (adjusted basis of $380,000, fair market value of $360,000) from Shawna.
a. How much gain or loss, if any, does Shawna realize on the transfer? Does Shawna recognize any gain or loss? If so, how much?
b. What is Kenisha’s basis in her LLC interest?
c. What is Shawna’s basis in her LLC interest?
d. What basis does the LLC take in the property transferred by Shawna?
e. Are there more effective ways to structure the formation? Explain.
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Kenisha and Shawna form the equal KS LLC with a cash contribution of $360,000 from Kenisha and a pro...
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