Capital Gain/Loss on property sold outside US

[Ganesh Iyer]

For computing the cost and sale value of a property, do we have to adopt the US exchange rate on the date of Purchase ( the investment was made by few remittance to the country outside US in say year 1 at various exchange rates) .

The property was sold after 3 years - in which case do we have to take the spot rate on the date of sale for conversion to USD ? Can we adopt the IRS Forex rates published for the respective years ?

Also if the sale resulted in a small Capital Loss , and not shown in US returns , should this be regularized by filing a return for the year of sale ( 5 years back).

The Issue is that the client has money remitted this year.
--

Ganesh K Iyer

[Lee Reams]

Seems to me you are making this a lot harder than it is. It is what was paid for it at the time of purchase in equivalent U.S.Dollars and what it was sold for at the time of sale in equivalent U.S.Dollars.

Lee

--
You are subscribed to the ClientWhysConnect group.
Post Address: clientwh...@googlegroups.com
Unsubscribe Address: clientwhysconn...@googlegroups.com
For more options, visit this group at
http://groups.google.com/group/clientwhysconnect?hl=en?hl=en
 
Disclaimer --- You use the information shared on ClientWhysConnect.com at your own risk. The information is based upon unsubstantiated member opinions and if you have concerns about the validity of the information you should research the issue thoroughly yourself and arrive at your own conclusions. We will never share any of the information you’ve provided to the ClientWhysConnect.com list with anyone.
---
You received this message because you are subscribed to the Google Groups "ClientWhysConnect" group.
To unsubscribe from this group and stop receiving emails from it, send an email to clientwhysconn...@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/CAC2hQezYkArQhggLOdQi1xs-3C-QC7x_SN3hNBTkCOcDTAiQZg%40mail.gmail.com.

 

	Lee Reams Sr., BSME, EA Chief Content Officer CountingWorks Pro | CountingWorks | TaxBuzz | TaxCPE p: 1.800.442.2477 x240 w: www.countingworkspro.com/  e: lee....@countingworks.com
See how CountingWorks can grow your practice.