Real Estate Exchange Fairness Act of 2021
This bill requires Puerto Rico to be treated as part of the United States for the purpose of determining if an exchange of real property qualifies as a like-kind exchange for tax purposes. (Under current law, real property located in the United States and real property located outside of the United States are not property of a like kind.)
To amend the Internal Revenue Code of 1986 to treat Puerto Rico as part 
of the United States for purposes of determining whether real property 
            qualifies for treatment as a like-kind exchange.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Real Estate Exchange Fairness Act of 
2021''.

SEC. 2. PUERTO RICO TREATED AS PART OF UNITED STATES FOR PURPOSES OF 
              LIKE-KIND EXCHANGES.

    (a) In General.--Section 1031(h) of the Internal Revenue Code of 
1986 is amended by adding at the end the following: ``For purposes of 
the preceding sentence, the term `United States' shall be treated as 
including Puerto Rico.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to exchanges completed after the date of the enactment of this Act.
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Real Estate Exchange Fairness Act of 2021
To amend the Internal Revenue Code of 1986 to treat Puerto Rico as part of the United States for purposes of determining whether real property qualifies for treatment as a like-kind exchange.
Real Estate Exchange Fairness Act of 2021
Resident Commissioner González-Colón, Jenniffer