TREASURY REPORT: LIKE-KIND EXCHANGES REQUIRE OVERSIGHT TO ENSURE TAXPAYER COMPLIANCE, 1031 EXCHANGE,
October 8th, 2007 by amirshahkaramiTREASURY REPORT: LIKE-KIND EXCHANGES REQUIRE OVERSIGHT TO ENSURE TAXPAYER COMPLIANCE
The September 17, 2007 Report ( reference number: 2007-30-172 ) indicates the Treasury is concerned taxpayers performing 1031 exchanges are underreporting gain because there is little IRS oversight of 1031 at the present time. The Report has three recommendations that the IRS has agreed to pursue:
1) The IRS will study compliance and reporting issues involving 1031 tax deferred exchanges from tax returns selected by the National Research Program. As a result of this study, the IRS anticipates recommending target audit areas for exchanges by the end of summer in 2008.
2) By January 2008, the IRS will be revising their information on the IRS website and in a number of IRS forms and publications to provide additional guidance regarding the need for taxpayers performing 1031 exchanges to file Form 8824.
3) The IRS will be offering more guidance on 1031 exchanges of second and vacation homes that are not used exclusively by the taxpayer. The IRS is concerned that some may have been encouraging taxpayers to exchange non-qualifying second or vacation homes.
For instant MLS search click here.
For an automated MLS search click here.
The information being provided is for consumers’ personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.
Popularity: 16% [?]
