1. What do I get if I use the IRS Form 8824 generator?
2. Is the IRS Form 8824 really that difficult?
3. What if I read the "help" screens and I am still confused? What if I have a difficult tax situation?
4. "Sum of Liabilities" what does that mean?
5. You only list a few categories on the input form. There are lots of entries on my Settlement Statement. What am I supposed to do?
6. With this handle multiple properties?
7. Where is the best place to download (save) the f88242005s_data.fdf (data file)?
8. Why did you build this Form 8824 Generator program?
9. Didn't you get a kick out of making a program to complete a tax form?
10. Why can't my Qualified Intermediary (1031 Exchange Company, like 1031x.com) complete this form for me?
11. Why doesn't my "Back" button work when I am in the input screens?
12. What have you learned from developing the IRS Form 8824 Generator form?
1. What do I get if I use the IRS Form 8824 generator?
The IRS Form 8824 Generator lets you enter the information from your settlement statements, and this information is then used to create the Form 8824. The Form 8824 is in PDF format which can be saved to your personal computer and reviewed/edited and then printed for submission to the IRS.
2. Is the IRS Form 8824 really that difficult?
Frankly, yes. While the concept is simple--buy for equal or greater and defer your taxes--the terms used in the Form 8824 are often ambiguous. We really had to delve into the directions the IRS provides to ensure that the proper questions lead to the right input. Of course, the form is dependent on your input! It is important that you read each "help" screen associated with the question.
3. What if I read the "help" screens and I am still confused? What if I have a difficult tax situation?
Despite our best efforts to simplify things, sometimes life just gets complicated! You can always use our "Tax Service" option and get the personal consultation you need for your tax situation. Let's face it--not many of us file these tax forms everyday!
4. "Sum of Liabilities" what does that mean?
Well, liabilities are essentially defined as debts you have agreed to take on, or that the buyer of your property has agreed to take on for you. For instance, say you owe $2000 in taxes on the property you sell and, in lieu of cash, the buyer agrees to pay that bill. That would be a liability that was "taken over by the buyer" on the sale of your relinquished property.
5. You only list a few categories on the input form. There are lots of entries on my Settlement Statement. What am I supposed to do?
It is impossible to handle all the many different entries on each settlement statement, so they need to be grouped according to their category. If you have both a first and second mortgage on the property--sum them up! If you have a tax bill and a water credit--subtract the water credit from the tax bill and enter the result a "Sum of Liabilities."
6. With this handle multiple properties?
It will handle multiple properties. The IRS still asks you to attach a worksheet which shows the detail information for each property. We hope our detail sheets will provide you with a good summary of information to build these worksheets.
7. Where is the best place to download (save) the f88242005s_data.fdf (data file)?
In most cases, if you save this file on your desktop, at least initially, if will cause the PDF Form 8824 (Step 3) to fill in automatically. Once filled in, you can edit / save the PDF as you please. It is really very flexible. If you have a hard time with that--if you download (save) the f88242005.pdf to the same folder as your data file, when you double-click on the data file--it will automatically fill in the PDF Form 8824, which you can then edit / save. We hope you enjoy this feature--it is really quite neat!
8. Why did you build this Form 8824 Generator program?
Thousands of our clients in the past 12 years have happily completed their 1031 exchanges, only to be frustrated by this seemingly simple two page tax form. While our clients our savvy real estate investors, they don't usually fill out this tax form everyday. Even talented CPAs call us for the occasional "assist" when completing this form. While its concept is fairly straight-forward (buy for equal or greater, and pay taxes on the difference), somehow that gets a little confusing with the IRS wording. We hope that this will be of help to our clients and many others who complete 1031 exchanges each year.
9. Didn't you get a kick out of making a program to complete a tax form?
Are you kidding? As the programmer, Katie says it rivals her Electrical Engineering exams in complexity! (Really!) The IRS terms are subtle and required both experience with exchanges and research (see IRS Publication 544). Thank goodness for Attorney Steve Hickox's ability! It was fun to see it happen, but tax forms, in general, are not described as fun!!!
10. Why can't my Qualified Intermediary (1031 Exchange Company, like 1031x.com) complete this form for me?
Your 1031 Exchange company has only part of the information required to complete this form. You have both the final settlement statements and your tax records showing depreciation, etc. In the final analysis, it is the part of the exchanger's tax form. The qualified intermediary is an third party, and should not be an agent of the exchanger.
11. Why doesn't my "Back" button work when I am in the input screens?
It is disabled because it will double enter the information if you go "back" and then "forward" again. This is not meant to trap you--you can always get back to the home page using the button on the lower left corner of the screen. You also have an opportunity to check / edit each screen before it is entered--and to review all of the information before you pay for the form generation.
12. What have you learned from developing the IRS Form 8824 Generator form?
Lots. It was hard work, but it will save a lot of time (and aggravation) for our clients. (Yeah!) We are using this technology to handle the estate planning questions that our clients have with Castle Estate Planning.com. We have the best clients and it is really exciting to help them build their wealth!