Posted by Bob on February 28, 2004 at 14:40:23:
I would say no. However, you can have an unrelated third party buy and sell the mobile for a small profit, and have your IRA purchase the note and reap the remainder of the profit. That way your IRA is an investor in discounted notes, not a dealer in mobile homes.
Dealers, IRA’s and UBIT - Posted by Dennie
Posted by Dennie on February 18, 2004 at 17:45:25:
I have researched the archives concerning these issues and find that they have not really been resolved. Can I buy and then sell a mobile home on contract through my IRA without triggering the UBIT? I have an article from George Yeiter indicating that you can defer taxes using a contract for sale where the contract is not completed until the note is paid. If this is true, then apparently the IRA would not be classified as a dealer hence no UBIT?
Any new insight on this issue would be appreciated.
Thanks,
Dennie Robinson