Question
California final form 3840.. Recognized gain on gift?
This is a two part question. I have a client that 1031 exchanged into out of state property she has a California deferred gain of $182K.
She has filed the 3840 every year.
After several years she gifted the property to her son, not a California resident.
Do we now have to report the $182K as California Gain?
How do I reflect this on a final 3840.
Thanks for any help you can give me... I am stumped, maybe I have looked at it too long.
