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Tax Margaret Court and the 11th circuit u.
Section 1234 states that whatsoever gain or deprivation resulting from the termination of AN agreement to bargain property will motionless be treated equally capital gain, if the property is a capital plus for the purposes of section 1234a.
Criticisms of the standard's vagueness and techniques for its clearing and implementation ar discussed.
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Is there section 1231 property under section 1234A?
Had Congress intended to cover section 1231 property under section 1234A, Congress could have, and likely would have, used wording parallel to that in sections 1234 and 1234B. The clarity of congressional purpose in restricting the reach of the statute to capital assets is ineluctable.
When did Congress extend the scope of SEC 1234A?
In 1997, Congress extended Sec. 1234A's scope to include all types of property, contemplating the application of Sec. 1234A to circumstances similar to those of U.S. Freight. The legislative history of the extension of Sec. 1234A includes a committee report that stated:
What is the rule under sec.1234a and termination fees?
The Act extends to all types of property that is a capital asset in the hands of the taxpayer [the rule under Sec. 1234A]. . . .
What kind of property is covered by SEC 1234A?
Thus, the extension of . . . section 1234A to all property that is a capital asset in the hands of the taxpayer affects capital assets that are (1) interests in real property and (2) non-actively traded personal property.
Last Update: Oct 2021
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