accommodating party

accommodating party

A third party who holds money or other property for a short period of time in order to facilitate a tax-free exchange under Section 1031 of the IRS Code.The third party is called a qualified intermediary in the tax regulations.

Example: Jack sells his office building to Jill for $400,000. Jill pays the money to Larry Lawyer, who keeps it in his escrow account. Larry is the accommodating party. When Jack meets the timing requirements of Section 1031 and wants to buy an apartment building for $1,000,000, Larry will write a check to the seller for $400,000 and Jack will pay the remaining $600,000. In common language, Jack can't have his fingerprints on the money, so an accommodating party is necessary.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
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He described the PDP as a big and accommodating party that all residents of the state should belong.
Oyo lawmaker joins PDP, says he has returned to promised land
On September 15, 2000, the Internal Revenue Service released Revenue Procedure 2000-37 that provided guidelines for structuring reverse exchanges (a transaction in which replacement property is acquired by an accommodating party before the sale of the relinquished property and held as replacement property to complete the exchange).
A replacement property may be acquired and held (sometimes called "parked") by the accommodating party for up to 180 calendar days.
Do you want 360 days to exchange? Here's how
To effect these transactions, shelter promoters in the for-profit sector are moving over to tax-exempt organizations to serve as "accommodating parties." Tax shelters require both taxpayers looking for a benefit and, as a minimum, one accommodating party that will act along with the taxpayer to structure a transaction to meet certain criteria.
Abusive tax transactions involving exempt organizations
But among unionists, David Trimble's more accommodating party is in a fierce electoral fight to the finish with Ian Paisley's totally uncompromising party.
Let voters sort out the Stormont squabblers; FORMER NORTHERN IRELAND SECRETARY PETER MANDELSON ON THE CRISIS THREATENING PEACE
provides taxpayers with a means of qualifying their transactions by allowing them to treat the accommodating party in certain ''parking transactions'' as the owner of the property.
SAFE HARBOR RULES FOR REVERSE EXCHANGES

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