1040 Exam Prep Module VIII: Transaction in Property

By Norma Wahnon

The 1040 Exam Prep set of study guides is designed to effectively help tax return preparers in their review for the Registered Tax Return Preparer (RTPR) competency examination.
Beginning in the Fall-2011, many of the tax return preparers who are not attorneys and/or certified public accountants, or registered agent must take a competency examination if they want to continue preparing federal tax returns for a fee. It takes time to prepare for any certification exam and usually the preparation process is expensive. Having the right material, the right plan and the right attitude is crucial to pass the exams. It will spare the candidates from going from failure to failure and spending a lot of money.

The 1040 Exam Prep e-book series can help candidates planning to take the RTRP Competency Examination prepare for the exam by providing the material needed to review, in several formats that meet candidates’ unique preferences and convenience.

The 1040 Exam Prep is a comprehensive, effective and practical set of study materials that include e-Books, slide presentations, mind-maps, and mp3 recordings, designed to help RTRP exam candidates review quickly, grasp and retain the concepts they need to know in preparation for the competency exam. The 1040 Exam Prep material:

•Empowers the exam candidates in their review with bite-size manuals and visual aids.
•Builds a strong knowledge foundation, confidence, and stamina to help the candidate succeed in the exam room.
•Allows exam candidates to review no more than what they need to know for the exam. The tax law is huge; candidates don’t want to over-prepare.

Practical, simple and affordable, the 1040 Exam Prep Study Guides for Tax Preparers will require little extra effort on the candidates’ part to search for and analyze complex tax laws and regulations, because we have done that for them and we have summarized what they need to know, to help them pass their exam.

• Language: English
• Publisher: Norma Wahnon
• Release date: Dec 17, 2011
• ISBN: 9781465977755

Norma Wahnon

Author Norma Wahnon integrated her accounting and taxation background and experience to produce the "1040 Exam Prep" e-Book Series to help tax return preparers pass the Registered Tax Return Preparer competency examination. Wahnon was raised in Argentina and after graduating with an Accounting degree from National University of Misiones, in 1989, and running her accounting practice for 10 years she moved to the Canary Islands, Spain for one year to complete a MBA program. In November 2010 she successfully completed all sections of the Uniform Certified Public Accountant Exams in few months of preparation. After working in the tax return industry during several years, currently, she owns TaxBiz Solution, a accounting and tax practice located in Silver Spring, MD USA.

Book preview

MODULE VIII

TRANSACTIONS IN PROPERTY

By Norma Wahnon

Copyright 2012 Norma Wahnon

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A. INTRODUCTION

Property can be classified as real or personal, and as tangible or intangible

1. Real Property

Real property, also referred to as realty or as real estate, includes land and anything attached to land in a relatively permanent manner.

Fixtures affixed to a real property in such a way that they lose their original personal property character, are considered to be part of the real property they are affixed to. Land and the buildings on it are considered one and the same real property. Harvested crops are not part of a real property because the crops are considered separate from the land.

2. Personal Property

Personal property is any property that is not classified as real property or fixture therein. Personal property can be:

– Tangible if it is subject to physical possession; and

– Intangible if it is not subject to physical possession but is subject to legal ownership.

3. Ways to Acquire Personal Property

Personal property can be acquired