reverse exchange

reverse exchange

A tax-deferred exchange in which the taxpayer acquires the replacement property before selling the relinquished property. See 1031 exchange. (It is far more common to sell a property and then begin looking for a replacement property to take advantage of Section 1031 of the Internal Revenue Code.)

References in periodicals archive ?
The sale of this property involved a specialty asset type and a reverse exchange, which required a depth of experience in RV storage properties, resources, and the industry contacts of their team and all parties involved.
According to the Tax Court, DeCleene did not address the circumstances where a third-party exchange facilitator is used from the outset in a reverse exchange.
One method to alleviate the risk is to achieve a safe harbor by following Revenue Procedure 2000-37 and enter into a reverse exchange.
State Department, in partnership with the private sector, will launch the YLAI Professional Fellows Reverse Exchange Program to implement collaborative community projects and strengthen partnerships between companies and organizations in the U.
In a reverse exchange, replacement property is purchased before the sale of relinquished property.
The structure of a typical Reverse Exchange transaction would be as follows:
As one of the BSP's open market operations to influence liquidity, FX swaps are transactions involving the "actual exchange of two currencies on a specific date at a rate agreed on the deal date and a reverse exchange of the same two currencies at a date further in the future at a rate agreed on deal date.
Seller: Reverse Exchange LLC, led by Craig and Elizabeth Stephens Campbell.
A reverse exchange, on the other hand, occurs in 'reverse' order--the replacement property is obtained before the relinquished property is transferred.
The DVD includes the Cello Concerto with soloist Mischa Maisky, and the lynx-eyed will spot principal oboeist Libena Sequardtona, who came to Liverpool to play a Concerto with the RPLO, while our own Jonathan Small did the reverse exchange visit to her orchestra in Prague.
Plans are under way for a reverse exchange in 2008 with Harrisburg students and faculty members traveling to Randers for the first time.
In a deferred like-kind exchange, a taxpayer is bound by certain time limits in which to complete an exchange, including the requirement that the replacement property generally must be received within 180 days of the disposition of the relinquished property or, in the case of a reverse exchange, the "parked" property must be transferred to the taxpayer as replacement property within 180 days after the accommodation party acquires title of the parked property; see Sec.