Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

Client has1031 deferred gain from years ago. Its time to covert (recognize) the deferred gain to retained earnings. What form is used to convert the deferred gain?

raheadrick51
Level 2
 
0 Cheers

This discussion has been locked. No new contributions can be made. You may start a new discussion here

1 Best Answer

Accepted Solutions
TaxMonkey
Level 8

What even has triggered this?

View solution in original post

0 Cheers
4 Comments 4
TaxMonkey
Level 8

What even has triggered this?

0 Cheers
raheadrick51
Level 2
The time period to hold the deferred gain has passed. The gain should not be taxed due to the deferred gain being held (by not selling the 1031 property) the required period of time. Now, it seems to me, the gain needs to be recognized (e.g. added to shareholder basis).
0 Cheers
TaxGuyBill
Level 15
What time period?  The deferred gain doesn't just expire.
0 Cheers
TaxMonkey
Level 8
What time period are you using to defer gains?  Are you perhaps talking about a 1033 exchange?
0 Cheers