Rental Property Investor · Member since 2021 · 23 posts · 5 votes
I completed a 1031 exchange in 2023. I understand that PA finally conforms to Fed IRC 1031 eff 1/1/2023. I'm filing my taxes using TurboTax and completed form 8824 for Fed purposes. When I get to PA taxes, I see the deferred gain in Schedule D of PA-40 which is recognizable and producing a tax liability. It has my deferred gain amount as "Gross sales price less expenses of sale" for some reason. But the bigger question is how do I let PA know it was done properly as a 1031 exchange and the gain should be deferred? Nowhere on the form does it even mention deferred gains or like-kind exchanges! I looked up the most recent form online and visited the state's website and it does mention that starting in 2023, PA conforms to Fed IRC 1031 but it does not say HOW to report it.
I completed a 1031 exchange in 2023. I understand that PA finally conforms to Fed IRC 1031 eff 1/1/2023. I'm filing my taxes using TurboTax and completed form 8824 for Fed purposes. When I get to PA taxes, I see the deferred gain in Schedule D of PA-40 which is recognizable and producing a tax liability. It has my deferred gain amount as "Gross sales price less expenses of sale" for some reason. But the bigger question is how do I let PA know it was done properly as a 1031 exchange and the gain should be deferred? Nowhere on the form does it even mention deferred gains or like-kind exchanges! I looked up the most recent form online and visited the state's website and it does mention that starting in 2023, PA conforms to Fed IRC 1031 but it does not say HOW to report it.
Can someone PLEASE HELP?! THANK YOU IN ADVANCE!
This is why God invented CPAs. Ask one. I know I handled matters one way.