Mobile Home Park Exclusion – EIN Presswire

Senate Bill 269 was passed in the 67and Montana legislative session. The bill increased the amount of the exclusion (from adjusted gross income) for the qualifying sale of a mobile home park. As of tax year 2021, the exclusion is now 100% of the capital gain from a qualifying sale.

Qualifying sales must be made to one of the following:

  • A tenants’ association or a residents’ association of a mobile home park
  • A non-profit organization purchasing on behalf of an association of tenants or residents of a mobile home park
  • A departmental housing authority
  • A municipal housing authority

Eligible sellers include individuals, corporations, partnerships, S corporations, and disregarded entities. If the exclusion is taken by a partnership, S corporation, or disregarded entity, it should be allocated to the respective partners, shareholders, or other owners in the same proportion as shown on the corresponding Montana tax return.

Casey J. Nelson