1031 Tax Exchange on Real Estate Capital Gains Taxes
1031
Exchange is also known as a tax-deferred
exchange, 1031 exchanges refer to section
1031 of the U.S. Internal Revenue
Code, which allows investors to defer capital
gains taxes when they exchange qualified
real estate for “like kind” properties.
Basically it is used to stave off settling with Uncle
Sam.
There are numerous options including a
delayed exchange, a simultaneous exchange,
and a construction exchange. A 1031
exchange is not tax-free. It simply
defers the taxes until you realize a cash
gain from the sale of your property outside
of any exchange. Eventually you will have
to pay Uncle Sam.
Garth has been working with 1031 exchange
tax experts and attorneys in the Durango
area and helping his clients keep more
of their equity. This enables clients
to increase their buying power and buy
more property.
The website you can go to learn more about
1031 exchanges is www.1031taxinfo.com.
1031 Tax Exchange References on the Web:
- National Association of Realtors Field Guide to 1031 Exchanges
-
IRS Like-Kind Exchanges - Real Estate Tax Tips
For expert advice on buying and selling your property, contact us.
