Also depreciable basis. Generally a property’s acquisition cost, subject to immediate reductions by costs to place in service and other deductions / credits. This beginning basis serves as a starting point for ongoing reductions through allowances for depreciation. After accounting for depreciation allowances, the tax basis is often referred to as the property’s adjusted tax basis.

(“Exchangor" or "Exchanger") Individual or entity desiring an exchange.

Tenant in common holding is form of property ownership where more than a single entity holds title to the property. This is in contradistinction to an LLC or partnership where multiple parties constitute the LLC or partnership. Whereas tenants in common can go their own way in electing to exchange or not, this is not the case of individual LLC members or partners in a partnership. Rev. Proc. 2002-22 sets forth what attributers a co-ownership arrangement has that will constitute a tenant in common holding.

Any cash paid by way of commission or other expense in an exchange. Qualified transaction costs are deducted in computing the consideration received.