Which of the following transactions is not a taxable disposition of property?
A)Voluntary transfer of mortgaged property to creditors in satisfaction of a debt
B)Loss of property in a foreclosure sale
C)Transfer of physical property in lieu of cash payments to retire a note
D)Grant of a lien against property to secure a loan

Question

Quizplus · Accepted Answer

Granting a lien against property to secure a loan does not constitute a disposition of the property. It is merely providing a security interest in the property to the lender, and the ownership or possession of the property does not change hands.

Which of the Following Transactions Is Not a Taxable Disposition