Summer Bay LV 1099-S

[JoeMO]

I received a 1099-S from the title company that did the transfer. It shows a Gross Proceeds amount of $1,769.70. I think everyone will get one.

I don't remember being told that this would be a taxable event? I am no tax expert but I am 99% sure we will have to pay taxes on this. Please tell me if I am wrong.

I called the title company and they said to talk to Victor at Summer Bay. He was out when I called. I think he is a board member. I am not complaining, just surprised when I got this.

Joe

 

[Fern Modena]

Besides being a board member, Victor is the manager of Summer Bay, as far as I know.

Fern

 

[roadtriper]

I got 4:annoyed: I remeber filling out or signing some tax form durring the deed transfer paperwork, but I'm not sure what the $1769.70 represents? the Clark County records of the deeds shows $1500 as the transaction value on all the new deeds. maybe it's that plus the value of the of the deed work??? anyway... it shows as income and I'm sure we'll get to pay taxes on it! if you get an answer as to what exactly it represents let us know.
RT

 

[JoeMO]

1099

I talked to a lady in the business office of SBLV and she said the amount represents the increase in worth from when we received the improvements on the new property. The $30 mil , or whatever it was, that the casino gave us was allocated to each member and that is how they came up with the figure on the 1099.

Joe

 

[Art4th]

So what if the property went up in value? If my home goes up in value, I don't pay taxes on that until I sell it. I'm not an accountant or an attorney, but I see no reason for any part of this deed transfer to be taxable.

 

[Art4th]

Here's a link to for 1099-S: http://www.irs.gov/pub/irs-pdf/f1099s.pdf

Here's a quote from the instructions. The part in red may apply to us:

For sales or exchanges of certain real estate, the person responsible
for closing a real estate transaction must report the real estate
proceeds to the Internal Revenue Service and must furnish this
statement to you. To determine if you have to report the sale or
exchange of your main home on your tax return, see the instructions
for Schedule D (Form 1040), Capital Gains and Losses. If the real
estate was not your main home, report the transaction on Form
4797, Sales of Business Property; Form 6252, Installment Sale
Income; and/or Schedule D (Form 1040). If box 4 is checked and you received or will receive like-kind property, you must file Form 8824, Like-Kind Exchanges.

Here's a link to form 8824: http://www.irs.gov/pub/irs-pdf/f8824.pdf

 

[spatenfloot]

So what if the property went up in value? If my home goes up in value, I don't pay taxes on that until I sell it. I'm not an accountant or an attorney, but I see no reason for any part of this deed transfer to be taxable.

It is required for all real estate exchange transactions. If you don't want to pay it, just apply for a cabinet position.

 

[GeorgeJ.]

It sounds like this is being treated as a real estate exchange..

You owned a unit in the old resort, and it was exchanged for a unit in the new resort that was determined to be worth $1769 more than your old unit.

Since you're not being asked to pay $1769, it still sounds like a good deal considering that you got a new unit and some even got upgraded to better units. Since the owners paid no out-of-pocket expenses for this new resort, you got a hell of a deal no matter what.

Like another unnamed timeshare in California (The Blue Whale) that wanted the owners to fork over $5000-8000 per unit to build a new building back in 2001...that was defeated soundly by the owners, of course.

 

[roadtriper]

Still Cponfused

SO... has anyone delt with this 1099 issue with their Tax Profesional/Accountant yet? I met with my accountant to do my taxes this week and he wasn't total sure how to procede. not knowing any more that what was on the 1099. he was asking values of what I paid, as compared to what I got in exchange etc. at this point the value of what we got in exchange is pretty much subjective!? going by current Ebay sales compared to what I paid on Ebay a couple years ago, It may show a loss.
the Clark County recorders office shows the Value of each deed exchange as $1500 on the recorded deed for the new property?
also if anybody has used the form 8824, what dates do we use on line 5 "date like-kind property you recieved was identified by written notice to another party" and line 6 "Date you actually recieved the Like-Kind property from the other party" ??? I still do not have my deeds in hand?
anyway My tax guy thought it would be good to have some consistancy with what other owners did on their returns, but with 25,000 +/- owners, I'm sure this will be handled/mis-handled every which way that it possably can. any more thoughts on the thing? RT

 

[roadtriper]

More info

I was just on the Summer bay website and found this www.summerbayresort.com/vegastax.html
RT

 

[Art4th]

I have two units there and haven't received a 1099 for either of them.

 

[mikejt]

Summerbay LV 1099-S

Any more information out there on this? I am also an owner at Summerbay LV and received the 1099-S. I have checked with my tax advisor about this and mentioned the form 8824 for Like-Kind exchanges and he said I don't have the needed information to fill out this form. I also don't yet have my deed for the new location in Las Vegas.

Any help would be appreciated.

Michael