Donald DeCleene and Doris DeCleene - Page 12

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          improved Lawrence Drive property showed that real estate transfer           
          tax of $1,140 had been paid, based on a value of $380,000.3                 
               Although petitioner had a general desire to complete his               
          acquisition of the improved Lawrence Drive property as soon as              
          possible, he didn’t particularly care whether the closing                   
          occurred before or after December 31, 1993.  WLC wished to have             
          the closing occur before December 31, 1993, because it wanted the           
          Lawrence Drive property removed from its books for insurance                
          valuation purposes before the end of the year.                              
               On their 1993 return, petitioners treated the subject                  
          transactions between petitioner and WLC as a sale of the                    
          unimproved Lawrence Drive property and a like-kind exchange of              
          the McDonald Street property for the improved Lawrence Drive                
          property.  Petitioners reported no gain or loss on the                      
          disposition of the McDonald Street property.  They reported a               
          $5,373 short-term capital gain ($142,400 gross "sales price" less           
          $137,027 basis) on their quitclaim transfer of the Lawrence Drive           
          property to WLC, which is described in Schedule D of their return           
          as a sale of “investment land”.                                             

          3 Although these amounts do not computationally coincide in                 
          all respects with the transfer tax figures shown on the buyer’s             
          and seller’s closing statements, those statements confirm that              
          the transfer taxes on the subject transactions were paid by                 

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