Taxing Lease Option Money - Posted by Mike (MS)

Posted by Mike (MS) on March 23, 1999 at 22:42:20:

I’m looking for some reference in the Tax Code that states that Option money received on a Lease Option deal is not taxable until either the deal is in default or the property is purchased. Can anyone point me in a direction with this? I’ve seen this mentioned before on this board and I believe its mentioned in Carlton Sheets course. Any help or direction would be appreciated.