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It is quite common, and in some cases even necessary, for the seller of real estate to finance the deal on his own. If it results in a substantial gain, serious consideration should be given to qualifying the transaction for the installment method of reporting the gain.
Generally, a gain is reportable for tax purposes in the year of the sale. If the seller has accepted notes or other obligations of the buyer, payment of income taxes could be a considerable financial burden since the seller has not yet collected the cash from the sale. To overcome this dilemma, a properly structured transaction could qualify
TUI nil. Illinr-w
87.2%