[WSBAPT] Excise tax exemption question

[Rich McEntee]

Good morning 

This is a cross post from another listserve. Hopefully not too many already received it. 

I am looking for a bit of guidance.  

Client (an individual) is 100% owner of ABC corporation. Client is also owns 50% interest in XYZ corporation. 

XYZ corporation owns real estate. XYZ corporation would like to sell/transfer its entire interest in real estate to ABC corporation. ABC corporation will pay fair market value to XYZ as part of the transfer. Is there a partial excise tax exemption available due to the fact that the client has an ownership position in each entity? The client is essentially buying 50% of the real estate from himself.

Thank you, in advance for your guidance.

Rich

RICH McENTEE
McENTEE LAW OFFICE
3800 Bridgeport Way W, Ste A411
University Place, WA 98466
253.227.9894(m)
jrmcentee at gmail.com     
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