Q&A: Disposed Asset

Question: I have a tenant that disposed of an asset for less than fair market value on 8/27/12.  The tenant moved into my property on 9/1/13.  I included it as a disposed asset on the 9/1/2013 Move In.  Should I include it on the 9/1/2014 AR as well since you are supposed to include these for two years? ~ Heather in NV

Answer:  No.  Remember the significance of the dates.  Per Handbook 4350.3, Change 4, Paragraph 5-7 G(8), owners must count assets disposed of for less than fair market value during the two years preceding certification or recertification.  In this case, the two year period preceding the 9/1/2014 certification is 9/1/12 through 8/31/14.  Because the asset was disposed of on 8/27/2012, it does not fall within that two year timeframe.