My question involves real estate located in the State of: PA
I purchased a worthless vacant residential lot over a year ago -- unknowingly, despite due diligence (I won't bore you with that saga). The property was purchased and remains in my personal name. I'm looking to transfer the property into a new LLC, stop paying the taxes on it, let it go to the County tax sale, and then take a tax loss on it.
My question is, when does my loss for tax purposes become official? When I sell it to an LLC for $1? When it's sold at the tax sale?
Any potential pitfalls with this plan? I've exhausted all other options.

