The Tax Court erred in Crandall v. Commissioner. The substance-over-form doctrine, not the constructive receipt principle, should have controlled. The cash proceeds from the sale of their Arizona property that were placed into escrow ($66,000) in fact were never received by Mr. & Mrs. Crandall, even momentarily. That fact should have resulted in a decision that they correctly reported the sale and follow-on acquisition of the California property as a good 1031 LKE. Discuss.