The Advantages of Selling Appreciated Assets via a Structured Sale — footnotes

¹For example, sellers have run afoul of disposition rules and, even worse, have found that on default, they are inadequately secured and cannot collect.

²ATG Trust Company founded the structured sale. ATG is a provider of trust, investment and estate planning services through an integrated network of member attorneys and other professionals, many of whom advise clients with real estate and business interests; see www.atgtrust.com.

³See Sec. 453 and Regs. Sec. 15A.453-1(b)(3)(i).

⁴See Sec. 453(c)(3) and Norman S. Caldwell, 114 F2d 995 (3d Cir. 1990)

⁵Id.

⁶Rev. Rul. 75-457, 1975-2 CB 196, amplified by Rev. Rul. 82-122, 1982-1 CB 80.

⁷J.C. Wynne, 47 BTA 731 (1942).

⁸John Cunningham, 44 TC 103 (1965).

⁹Rev. Rul. 75-457, note 6 supra.

¹⁰Technical Advice Memorandum (TAM) 9238005 (6/8/92) and Field Service Advice (FSA) 200125073 (2/21/01).

¹¹Rev. Rul. 82-122, note 6 supra.

¹²See Regs. Sec. 1.451-2(a).

¹³See John E. Reed, 723 F2d 138 (1st Cir. 1983).

¹⁴E.T. Sproull, 16 TC 244 (1951) and Rev. Rul. 60-31, 1960-1 CB 174.

¹⁵See Gregory v. Helvering, 69 F2d 809 (2d Cir. 1934), aff’d, 293 US 465 (1935).