When a tax-exempt entity starts acting like and competing with tax-paying business, UBIT applies. 

These kinds of the transaction go against Economic Substance Doctrine.A transaction has economic substance if: (1) the transaction changes in a meaningful way (apart from Federal income tax effects) the taxpayer’s economic position; and (2) the taxpayer has a substantial purpose (apart from Federal income tax effects) for entering into such transaction.There is no change in your economic position by transferring your primary residence into a LLC, You do not have a substantial purpose for entering into such transaction other than to simply avoid paying federal income taxes.Hope that helps. 

In NYC, tax payments are set up via autopay, and so is the water bills.

Since the sale transaction took place in 2017 it is considered a 2017 transaction and therefore we recommend that taxpayers file an extension OR complete their 1031 exchange prior to April 15th.

In that event you are actually the tax payer regardless of which name is on deed. 

Umesh,The only time husband and wife can exchange property held in their individual names and acquire property in an LLC is if they live in a community property state, and unfortunately , NC is not a community property state.Since you and your wife are the underlying taxpayers, you need to remain the underlying taxpayers on the replacement property, so buying in a MM LLC (partnership for tax purposes) does not work.Here is a solution:See if your lender will allow you to take title using two (2) LLCs.

The IRS gives most taxpayers one get out of jail free card.

If you file the 3115 at any other time the tax benefits are credited against future taxes which would likely lower or eliminate the next few quarterly tax payments.

Almost all taxpayers are impacted in some way by the new tax law introduced as the Tax Cuts and Jobs Act of 2017 (TCJA).

Federally, capital gains receive preferential tax treatment, but California generally taxes capital gains at the taxpayer's regular marginal rate.