Brienne sells land to her brother,Abe,at a loss.A few years later,Abe sells the land to an unrelated party for a substantial gain.Brienne can recognize her realized loss on the land when Abe sells the land to an unrelated party.

Question

Quizplus · Accepted Answer

Brienne cannot recognize her realized loss when Abe sells the land to an unrelated party because she sold it to him at a loss and is considered a related party. The loss would be treated as a nondeductible personal loss.

Brienne Sells Land to Her Brother,Abe,at a Loss