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The 1031 Exchange process starts with your CPA or accountant. The discussion should include the amount of taxes owed if you sold the property outright. The adjusted basis would be determined, and based on this adjusted basis, you can determine what the "normal" capital gains tax liability would be. Also, you can determine the amount of taxes that would be due to depreciation recapture. T...

Although 1031 Exchanges are primarily used to shift our equity from one property to another, there are ways of recovering some of that equity for use as leisure or further investment purposes. There are two ways to recover money from your property - before or after the 1031 Exchange is completed. To keep in line with the 1031 rationale, all of the proceeds from the sale are supposed to pass to ...

The general rule when it comes to 1031 exchanges is that all proceeds from the sale must be reinvested in the replacement property, but as a property investor you likely have experience with the other costs associated with closing on a sale, including your real estate agent's commission, the recording of the deed, and know that some of your proceeds must be put towards these sorts of transactional...

Many investors make the mistake of selling their business or investment property and end up having to pay thousands of dollars to the government in capital gains taxes. What they may not know that there are tax laws that provide them the ability to defer all of the capital gains taxes on the sale of property which has been held as a trade or business - thereby retaining their gain. The taxes ...

If your investments lie in personal property such as collectible cars or other antiques, you may wonder whether the power of section 1031 can somehow be used to your advantage, and rightfully so, as the sale of collectible property incurs a whopping 28% capital gains liability. Luckily, the answer is yes; though not many are aware of the possibility, 1031 can be made on certain types of personal p...