When encountering the term “related party” or “related person” in a statute, it is always important to check the definition.1 For example, the definitions for the two provisions designed to combat abuse in the installment sales area – the so-called two-year disposition rule2 and the sale of depreciable property rule between related persons3 – have vastly different “related person” rules4 even though they are stabled in the same section of the Internal Revenue Code and deal with similar problems in the abuse area.
Harl, Neil E.
"Related Persons: Always Check the Definition - A Lesson from Like-Kind Exchanges,"
Agricultural Law Digest: Vol. 20
, Article 1.
Available at: http://lib.dr.iastate.edu/aglawdigest/vol20/iss11/1