Video Transcript
Today, I will be speaking on 1031 Exchanges in the state of Vermont. Section 1031 is a federal tax code, which means you can complete an exchange to defer the capital gains taxes with property anywhere in the United States.
However, some states do have their own twist on 1031. In Vermont, you should note that if you are not a resident of the state and are selling investment property in that state, they will withhold a certain percentage at closing to be paid towards your state capital gains taxes due that year to the state of Vermont.
The good news is you can apply for the non resident withholding exemption, but it must be submitted and approved prior to your sale closing date. Therefore, I suggest starting this process as soon as you have a signed sales agreement with a buyer.
Understanding the Vermont 1031 Exchange Process
If you have any questions about the Vermont exchange process or any other 1031 Exchange topic, please visit our Vermont IPX 1031 web page at www.ipx1031.com/vermont. We’re happy to help.
Click to visit Vermont 1031 Exchange page