Larry L. Beeler and Cynthia J. Beeler - Page 2

                                                - 2 -                                                   

            as respondent contends.  Our decision on this issue depends on                              
            whether we decide, as respondent contends, that petitioners                                 
            exchanged, in addition to real estate, assets which do not                                  
            qualify under section 1031, such as property held for sale (i.e.,                           
            sand), certain business operating permits, goodwill, and going-                             
            concern value, or whether we decide, as petitioners contend, that                           
            petitioners exchanged only property that qualifies under section                            
            1031.1  We agree with petitioners, and hold that all of the gain                            
            they received in the exchange qualifies under section 1031.                                 
                  Section references are to the Internal Revenue Code as in                             
            effect for the relevant periods.  Rule references are to the Tax                            
            Court Rules of Practice and Procedure.                                                      
                                          FINDINGS OF FACT                                              
                  Some of the facts have been stipulated and are so found.                              
            A.    Petitioners                                                                           
                  Petitioners are married and lived in Port Richey, Florida,                            
            when they filed the petition in this case.                                                  
            B.    The Real Property                                                                     
                  Petitioners owned a mobile home park called Brentwood                                 
            Estates in Pasco County, Florida.  On April 25, 1984, they paid                             
            $766,808.78 to buy about 76.5 acres of vacant land zoned for a                              

                  1Respondent determined in the notice of deficiency that                               
            petitioners could not defer any gain under sec. 1031 for their                              
            exchange of property in 1991.  Respondent conceded at trial and                             
            in the posttrial brief that the land qualifies for like-kind                                
            exchange treatment.                                                                         

Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011