Partial Like Kind exchange in TT

[Stellasgrandpa]

I am trying to enter a Partial Like Kind exchange in TT, but as soon as I fill in the Like Kind section, the taxes due INCREASE over what I would have to pay if I did no exchange at all! Is it possible to handle that type of exchange in TT?

For example,

I’m selling a property and purchasing a like kind property that is less expensive, and taking boot.

Relinquinshed Property
Sale of property	495,000
Basis of sold property	228,409
Depreciation to recapture	100,910
Mortgage paid off	77,411
Gained Property
Cost of property	295,000
Boot from sale	140,000
New Loan	155,000

Entering these figures produces a HIGHER tax than no exchange at all!

[Anonymous_ · Accepted solution]

It is unclear whether or not you assumed a loan on the replacement property but, regardless, since the difference between the value of the relinquished property and the replacement property is $200,000, that figure represents the maximum gain deferral for your transaction.