The upcoming deadline to make a “capital achieve rollover” funding right into a “certified alternative fund” with respect to sure 2020 pass-through good points is September 10, 2021. Mostly, this deadline applies to capital good points reported on a 2020 Schedule Ok-1 obtained from a calendar-year partnership if the partnership itself didn’t make a rollover election for such good points.
We’ve develop into conscious that a number of on-line sources, together with many who come up first in a web-based search, are asserting that the deadline to make these capital achieve rollovers is September 11, 2021. That is incorrect, and a purported capital achieve rollover of any 2020 good points on this date will fail to be well timed. The implications of a missed deadline could be devastating – the distinction between full tax and no tax on exit.
We consider this misinformation spreading on the Web is attributable to a distinction within the counting methodology specified within the statute and laws vs. what’s utilized by the vast majority of on-line date calculator companies.