Purchase Contract for Replacement Property: The contract for purchase should be signed by the taxpayer and include language permitting assignment of the contract to the qualified intermediary
A majority of like-kind exchange transactions require a qualified intermediary
to establish accounts to hold the exchange funds until the transaction is complete.
This qualified intermediary
(QI) is allowed to sell the taxpayer's property, collect the funds from that sale, and then use those funds to acquire a replacement property for the taxpayer.
If a taxpayer buys the exchange Vineyard B before selling Vineyard A, Vineyard B can be "parked" with a qualified intermediary
until Vineyard A is ready to sell, executing the exchange simultaneously.
withholding under the Qualified Intermediary
Moreover, only a qualified intermediary
like a broker-dealer, a crowdfunding site, or a related Web portal will be eligible to sell shares.
"That's where the role of the qualified intermediary
comes in and that's what we do.
A qualified intermediary
is a private firm deputized by U.S.
Instead, Paul arranges for the proceeds to be held by a qualified intermediary
, sometimes known as an accommodator; (The accommodator can't be Pauls agent or relative.
customers, such as the Qualified Intermediary
These rules call for the use of a qualified intermediary
(QI) to hold the funds, use of a qualified trust, use of a security arrangement to secure the exchange proceeds and the payment of interest on the exchange proceeds.
Clearly liable, according to the text [of the 2001 "Qualified Intermediary
" agreement], are active businesses; an American company holding securities in Switzerland, for example.