We wanted to give you information on something that may prove useful to you in the coming year. Have you ever heard of a 1031 exchange? Under Section 1031 of the Internal Revenue Code, a taxpayer may defer recognition of capital gains and related federal income tax liability on the exchange of certain types of property. This process is known as a 1031 exchange. In 1979, this treatment was expanded by the courts to include non-simultaneous sale and purchase of real estate.
Take a look at the following information provided by 1031 CORP., a Qualified Intermediary that can be used to facilitate a 1031 exchange transaction. If you have questions or are interested in talking about the possibility of engaging in a transaction like this, let us know.