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To: John Graybill who wrote (119088)	8/31/2001 1:13:21 PM
From: yard_man	Read Replies (2) \| Respond to of 436258

you need to make it a donation and let him "give" you the house. The problem is that with the IRS they have an absolute yardstick -- the USD -- I'm pretty sure that legally you would be subject to cap gains on the Krugerands -- though in reality its the USD that has lost value. Suppose you bought Deutche Marks or Euros instead and the dollar went down ... You are thinking that absent the actual conversion into USD no taxable event occured? Methinks it won't work, but I am more than ready for gold to hit $375 <g>

To: John Graybill who wrote (119088)	8/31/2001 1:23:43 PM
From: benwood	Read Replies (1) \| Respond to of 436258

I don't think it would work either; otherwise, wouldn't people have requested stock certificates in March of 2000 and plunked them down for mansions and dodged the 28% capital gains. Or wouldn't others have bought with appreciated paintings, classic cars, etc. No, I think you can only swap property for property (within limitations). Somehow the builder has to come up with an accounting for tax purposes and so would have to have a valuation of the "good and valuable consideration" of your payment.