"Condemnation and Property Transaction Tax Challenges" Please respond to the following:
Imagine the client owns an asset that was condemned by the state. Using the tax rules for condemned property, recommend the tax treatment of any potential gains or losses incurred to your client. Justify your response.
Choose at least two (2) elements of property transactions that the IRS is most likely to challenge. Propose one (1) strategy to avoid an IRS audit of these two (2) elements. Provide a rationale to support your proposal.