Clients who subdivide land or develop land as condominium units, and then sell
the subdivided and developed land, normally have their entire gain taxed at high ordinary income tax rates, since the client is classified as a "dealer" selling "inventory" in the form of subdivided lots or condominiums.
It argued that Section 10(b) was "designed to encompass the infinite variety of devices by which undue advantage may be taken of investors and others." The SEC thought it was inherently "unfair" for the broker to sell
shares when he knew that the people buying them did not have the same information he had.
A lot of them will set goals for the kids by telling them they need to sell
so many lollipops and so many candy bars Their position of authority enables them to make such demands--which the volunteer-type fund-raising cannot do."
"While it may not be as glamorous as going to review a resort, travel insurance provides better-than-average margins than the sale of travel services, and travel agents will want to sell
it," said Wautier Robyns, spokesman for the Belgian Insurance Companies, a trade association.
The partnership cannot sell
all its assets for a note and use installment reporting.
Insiders will frequently exercise options and then sell
the acquired shares.
The concept continues in section 453(h) of the Internal Revenue Code, which permits the use of the installment method of reporting gain when a corporation sells
property and liquidates.
* Epos Corp., Auburn, Ala., sells
software and hardware for production, process, and SPC monitoring.
Charge an extra 50 cents, sell
a couple hundred, use it as seed money to make another record, to pay postage on mailing it to radio stations around the country so more people can hear it.
Assume, for example, a financial institution has a pool of loans on the books for $10 million and can sell
them for that amount to a buyer who assumes the inherent credit risk.
If a corporation sells
real property to a controlling shareholder at a gain, the gain's character depends on the nature of the property.
Between November 27 and December 27, in fact, many investment clubs sell
stock or mutual funds that have posted losses to offset some of the capital gains other holdings have made.