- 6 -
Necessary steps continued until May 21, 1994, so that the
Title Company could remove certain exceptions raised by the title
report and provide title insurance as required by the escrow
instructions. As of May 27, 1994, the Title Company had
determined that it could issue the title policy without the
exceptions, so the escrow closed and the Grant Deed was recorded
on that date.
At some point, AAL issued to the Partnership a 1993 Form
1099-A (undated), Acquisition or Abandonment of Secured Property,
indicating that the Partnership had an outstanding debt in the
amount of $3,218,046.06 secured by the Fitch Property, that the
date of acquisition or abandonment was December 15, 1993, and
that the Fitch Property had an appraised value of $1,915,000.
On October 14, 1994, the Partnership filed an Amended Form
1065 U.S. Partnership Return of Income for taxable year 1993
which included the following:
STATEMENT REGARDING ERRONEOUS REPORTING
OF ABANDONED SECURED PROPERTY
The Partnership, Lowry Wells Investments, received
a form 1099-A for 1993, indicating an abandonment of
real property on December 15, 1993. This reporting is
wholly inaccurate. A deed in lieu of foreclosure was
delivered on May 27, 1994. The lender, Aid Association
for Lutherans, erred in reporting the transaction[s] in
1993. A copy of an escrow statement issued by First
American Title Insurance Company has been attached
which indicates the transfer of title factually
occurred on May 27, 1994.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Next
Last modified: May 25, 2011