DianeW777
Expert Alumni

Investors & landlords

Yes, it makes sense.  The IRS cares about using the QI for a like kind exchange (Section 1031) and would want to see the cash exchange if they were ever to audit or request information about your exchange.  

 

Keep the records with your tax returns until the properties are disposed of in the future through sale.  If another exchange takes place in the future the documents must be kept until the last property is sol.

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