Match each statement with the correct term below.
-Third-party exchange
A)Losses are never deferred.
B)Must be real property used for business or as a investment.
C)Not considered like-kind property.
D)A taxpayer can have only one at a time.
E)The maximum amount that can be recognized on a like-kind exchange.
F)This type of exchange must be completed within 180 days of first property transfer.
G)The concept upon which the ability to defer gains on certain nontaxable transactions relies.

Question

Quizplus · Accepted Answer

A third-party exchange, also known as a deferred exchange, must be completed within 180 days of the transfer of the first property to qualify for tax deferral under IRS rules.

Match Each Statement with the Correct Term Below