Patrick owns a building used in his business with an adjusted basis of $300,000 and a $875,000 FMV. He exchanges the building for a building owned by Danny. Danny​'s building has a $1,000,000 FMV but is subject to a $125,000 liability. Patrick assumes Danny​'s liability and uses the building in his business.   Read the requirements.   Requirement a. What is Patrick​'s realized​ gain?   The realized gain is   Requirement b. What is Patrick​'s recognized​ gain? ​(If there is no recognized​ gain, make sure to enter​ "0" in the appropriate​ cell.)   The recognized gain is    Requirement c. What is Patrick​'s basis for the building​ received?   Patrick's basis for the building received is

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Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.