Related Party Transactions, Including Imputed Interest

Free CPA TCP (Tax Compliance & Planning) lesson in Property Transactions. 16 min read, ~2,414 words.

Related parties include family (spouse, siblings, ancestors, lineal descendants, but NOT in-laws, cousins, aunts, uncles, nieces, or nephews), 50% owned corporations and partnerships, and §318 constructively owned interests. Losses on sales between related parties are permanently disallowed to the seller under §267(a)(1); the buyer does not inherit the loss as...

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What this lesson covers

Content
Example 1
Example 2
Common Mistakes
Check Your Understanding
Exam Shortcuts

Learning objectives

IV.C1

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