Who pays capital gains tax on a gift? If you gift someone a property, you will usually have to pay Capital Gains Tax (CGT)if it increased in value since you bought it. It's as if you sold the property for a profit, then took that money and gave it to them as a gift instead. ...
On 2 March 2016, the income tax department came out with a circularallowing an individual to decide either show his stock investments as capital gains or as a business income (trading) irrespective of the period of holding the listed shares and securities. Once the choice is made, the taxpaye...
Answer to: Distinguish between asset expansion and asset replacement projects. How does this distinction affect the capital expenditure analysis...
During the period from about 1935 until the Tax Reform Act of 1986, corporations generally did not recognize gains on certain distributions of appreciated assets to their shareholders or on certain liquidating sales of property. The policy was based on a doctrine established inGeneral Utilities & ...
While the examination of a federal tax valuation matter can be a challenging exercise laden with complexity, past examination experience also provides opportunities to focus on the fundamentals of the valuation process that underlie a quality valuation. Adherence to the concepts presented in this article...
Another benefit of gifting appreciated assets is a possible capital gains tax advantage. Capital gains tax is enforced on the amount that the value of the asset increases from its original value. For example, if a stock was bought for $2,000 and then gifted when it was worth $2,500, ...