Safe Harbor Provided for Reporting Gain on Failed Like-Kind Exchange

摘要

The Internal Revenue Service (IRS) has provided a safe harbor for reporting gain on deferred Section 1031 like-kind exchanges when a qualified intermediary (QI) handling the exchange defaults on its obligation to acquire and transfer replacement property to the taxpayer.rnThe IRS outlined the safe harbor in Rev. Proc. 2010-14, which was released on March 5 and is scheduled for publication in the March 22 Internal Revenue Bulletin.