Like-kind Exchanges
The purpose of this template is to determine the tax gain to be recognized from a like- kind exchange transaction, compute the basis of the property received, and produce the tax-adjusting entry to properly record the transaction.
Entering Information
All of the information needed to determine the tax gain is entered on the Input worksheet. The yellow highlighted cells are calculated fields, and no data should be entered in these cells. Gray cells are not calculated fields, but data should not be entered in these cells.
Enter the following information:
- Date of the exchange
- Description of properties surrendered and received
- Fair market value of like-kind property received
- Liabilities (mortgage) surrendered and received
- Adjusted basis of like-kind property surrendered
- Accumulated depreciation of property surrendered
- Cash exchanged
- Exchange expenses
- Fair market value of non-like-kind property exchanged