You will be sorry if you dont and the IRS audits your return.

Has anyone been audited by the Employment Development Department / DE 231TA?

They then said I had to bring 25k cash to close, and even after a value audit, they only gave me a 145 ARV. 

You will not be able to 1031 the funds into the building of the new property as you already own the land, this is true even if you transfer it to a new entity.This would be better fit for a phone conversation to asses details.The only options I truly see to you are possible long term capital gains dependent upon the nature of the original transaction/property purchased.I think as you talk about it, you'd get hammered in an audit.

This is why I prefer financial statement audits and stay away from tax lol.

The new building was likely larger and even had more of it.I haven't had any clients audited on CSEG or 1031 exchanges nor have I seen any rulings. 

For them, there are red flags that point to a disguised sale, insurance, tax bill changes, new names paying the payments as well as increased loan audits internally.

Record setting college enrollment, 5% average wage increases, record real estate sales, progressive county planning (check out Bozeman 2020 Plan), healthy Bozeman budget audits, beautiful scenery, 3 world class ski resorts, and on top of everything, 22 million acres of contiguous wilderness which includes our nation's first national park...

Since you have been paying late my guess would be no since credit is dingedalready.Secondly if you didn't pay for property insurance the lender has the right to purchase "forced placed insurance " and add it to your mortgage payment total increasing the escrow balance requirements.The forced placed policy is sometimes 2 to 3 times higher in price then your own policy.These are the very basics and you might be best served seeking legal counsel.There are many ways to keep your home and make the bank "take notice" of you.Look into "bankruptcy", "forensic file auditing",etc.

Besides, when you have an Accountant do your taxes, less chances of you being audited.