Form 8824 - Life Kind Exchanges

In a like-kind exchange, taxpayers can defer the recognition of capital gains tax that would normally be due upon the sale of an appreciated asset, such as real estate or equipment, as long as they reinvest the proceeds into a similar or "like-kind" property. Form 8824 is used to report details of the exchange, including the description of the relinquished property, the description of the replacement property, and the calculation of any gain or loss deferred.