 |
| WHAT
IS A TAX DEFERRED EXCHANGE? A tax deferred exchange is a method by which
a property owner trades one property for another without having to pay any
federal income taxes on the transaction. In an ordinary sales transaction,
the property owner is taxed on any gain realized by the sale of the property.
In an exchange, the tax on the transaction is deferred until some time in
the future, for example, if the newly acquired property is sold rather than
exchanged. These exchanges are sometimes called “tax free exchanges,”
because the exchange transaction itself is not taxed. Tax deferred exchanges are authorized by Section 1031 of the Internal Revenue Code. The requirements of Section 1031 and other sections must be carefully met. The transaction must be structured in such a way that it is in fact an exchange of one property for another, rather than the taxable sale of one property and the purchase of another. Today, a sale and a reinvestment in a replacement property are converted into an exchange by means of an exchange agreement and the services of a qualified intermediary like our company team members – a fourth party who helps to ensure that the exchange is structured properly. The IRS’s regulations make exchanging easy, inexpensive, and safe. Click to view IRS Section 1031 here. CLICK FOR : Benefits - Rules & Regulations - - Deferred - Reverse - Build to Suit - TIC - |
|||
|
|
|||
| |||
 |
|||
 |
|||
 |
|||
 |
|||
 |
|||
| EXCHANGES PERFORMED NATIONWIDE : 1 800 500 1031 : LOCAL OFFICES IN SANTA FE : INFO@A1031EXCHANGE.COM |
The information on this website is an educational resource only, and not intended
as legal, accounting, or tax advice of any kind.
It is recommended that you consult with your own attorney or tax advisor for
details before choosing to engage in a 1031 Exchange