11 Key Elements for Home Sale

Home sale programs must be structured correctly to meet the guidelines for favorable tax treatment. 

When a company is relocating an employee, there can be significant tax liabilities if a home sale transaction is not structured properly. To avoid costly tax consequences, most corporations work with a Relocation Management Company (RMC) to provide a variety of home sale programs that provide more favorable tax treatment.

Through these home sale programs, the RMC will purchase the home from the employee and then sell the home to an outside purchaser. In order for these programs to have the most favorable tax treatment for the employee, the programs should incorporate the 11 Key Steps for Home Sale Programs as recommended by Worldwide ERC®.

These key steps ensure that a Buyer Value Option or Amended Value Sale are executed correctly to ensure compliance.  

Click this link to view the 11 steps on the Worldwide ERC website.