Category Archives for 1031 Tax Deferred Exchanges

Many property owners see the values of their properties lower today than in the past few years and are reluctant to sell those properties at declined values. Some investors, however, see today as the time to attack the market. Consider the past for a moment. A few years ago, an investor may have sold an […]

Although tax deferred exchanges under Section 1031 have become quite common, most people outside of the exchange industry are not familiar with the legal requirements surrounding a successful tax deferred exchange. Certain strict timelines apply in every 1031 exchange, including: (i) a 45 day “identification period” and (ii) a 180 day exchange period. Each of […]

Whenever property is sold, it is important to make the distinction between realized gain and recognized gain. Realized gain is defined as the net sale price minus the adjusted tax basis. Recognized gain is the taxable portion of the realized gain. The objective of many 1031 exchanges is disposing of a property with significant realized […]

Investors thinking of exchanging their business often have a variety of assets other than real property associated with that business, including equipment, computers, and other types of personal property. In any exchange transaction involving a business, the investor must examine what exactly is being sold in order to determine: (1) if the particular asset can […]

February 2011 – Although accounting rules usually don’t end up as front page news, there are some recent proposals to change the Financial Accounting Standards Board (FASB) accounting rules that should have a significant impact on the commercial real estate industry.  The rules may make it more likely that companies will choose to own property rather […]

There is a buzz throughout various social media outlets that with the passage of HR 3200, The Health Care and Education Affordability Reconciliation Act of 2010 (the “Health Care Bill”), taxpayers will be paying a 3.8% sales tax when they sell real estate. This is not exactly true.  If you dig a little deeper, you’ll find […]