How many properties can the taxpayer identify?
1. 3-Property Rule: The taxpayer can identify up to 3 properties regardless of the fair market value (FMV). 2. 200% Value Rule: The taxpayer can identify more than 3 properties, but their combined FMV cannot exceed double or 200% of the FMV of the relinquished property. 3. 95% Rule: If the Taxpayer fails to comply with the three-property and 200% identification rules, his identification will be considered valid and any replacement property which is identified within 45 days and received within 180 days will qualify, provided the Taxpayer receives at least 95% of the value of all of the identified properties before the end of the Exchange Period.
