- boot
-
boot n [obsolete or dialect boot compensation, from Old English bōt advantage, compensation]: additional money or property received to make up the difference in an exchange of business or investment property that is of like kind but unequal in value◇ Under Internal Revenue Code section 1031, no tax liability results from an exchange solely of like-kind property used in a business or trade or held for investment. If the exchange includes boot, however, under section 1245 the boot will be treated as ordinary income.
Merriam-Webster’s Dictionary of Law. Merriam-Webster. 1996.
- boot
-
n.Taxable cash or property exchanged during an otherwise nontaxable exchange; cash or property given by one party to equal the value of items exchanged.
The Essential Law Dictionary. — Sphinx Publishing, An imprint of Sourcebooks, Inc. Amy Hackney Blackwell. 2008.
- boot
-
In a 1031 exchange, any property, liabilities, or money received that does not qualify for the exchange and is taxed. For example, if a taxpayer sells a relinquished property with a $100,000 gain and buys a replacement property for $10,000 less than the sales price of the relinquished property, he has $10,000 boot.Category: Real Estate & Rental Property
Nolo’s Plain-English Law Dictionary. Gerald N. Hill, Kathleen Thompson Hill. 2009.
- BOOT
-
Build-Own-Operate-Transfer (BOOT)USAA type of public private partnership often used in project financing in which a government entity sells a concession to a private entity giving it the right to finance, design, construct, own and operate a project for a specified number of years. Depending on the project and its revenue stream, the concession term may range from ten to 99 years. At the end of the concession term, the project is typically sold to the government entity at fair market value or a pre-agreed price. Under this structure:• The government receives an operational project that still has some residual value without incurring the expense associated with its design and construction. The government also received funds from the sale of the concession itself.• The private entity recoups the price it paid for the concession, the project's financing costs plus a profit element through the fees it earns from operating the project during the concession period.The BOOT structure is often used to build power stations, water treatment facilities and sewage facilities.
Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010.
- boot
-
n.1 In tax law, the extra money, unrelated or non-like-kind property, or assumption of liabilities included in an otherwise like-kind nontaxable exchange of property. The boot is subject to income tax.2 In commercial law, money or property given or received to balance or equalize an exchange property.
Webster's New World Law Dictionary. Susan Ellis Wild. 2000.
