When a 1031 Exchange is complete, the Exchanger or their tax advisor will need to include IRS Form 8824 with the Exchanger’s federal tax return for the year the Relinquished Property transferred.
Things to Know for Exchangers
Become a 1031 Exchange Expert: Unleash Your Potential with these Valuable Resources and Educational Videos
Will You Have Taxable 1031 Boot?
Watch this quick tutorial for more information about taxable Boot in a 1031 Exchange.
What IPX1031 Will Need From You Prior to Closing the Replacement Property
Prior to the transfer of the Replacement Property, it is critical that IPX1031 has prepared the proper Replacement Property documentation which will make the Exchanger’s acquisition part of the exchange. Watch this quick tutorial to know what IPX1031 will need prior to close.
Limits on Accessing 1031 Exchange Proceeds
Timing for the Exchanger to access exchange proceeds is regulated by law. Watch the video tutorial here to know when 1031 Exchange funds can be accessed.
Curious About What Qualified Like-Kind Property Is?
Any Tax Deferred 1031 Exchange completed pursuant to Section 1031 needs to involve what is known as Like Kind properties.
Identification Rules in a 1031 Exchange
Replacement Property identification is important in 1031 Tax Deferred exchanges. If an exchange fails, it’s often because of deficiencies or discrepancies in the identification of Replacement Properties. Take a few minutes to make sure you and your client understand how to properly ID your Real Estate Exchange Properties.
Avoiding Some Common 1031 Exchange Pitfalls
To ensure a successful exchange, the exchanger should be aware of these two common 1031 Exchange pitfalls.
Consult With Your Tax/Legal Advisors for Your 1031
Although we are very experienced in facilitating 1031 Exchanges, IPX1031 cannot provide you with tax, legal or financial advice.
Your Relinquished Property Closed – What Happens Now?
Before the Relinquished Property transfers in a 1031 Exchange, the executed exchange documents should be sent to IPX1031. At closing, the exchange proceeds are wire transferred to IPX1031, and the clock starts for the Exchanger’s 180-day exchange and 45-day identification periods.
A Few Convenient IPX1031 Resources For You
For a successful 1031 Exchange, the taxpayer must comply with the 1031 regulations. It is important to remember that IPX1031 is here to help every Exchanger and Advisor through the entire Tax Deferred Exchange process.
A Little Background on 1031 Exchanges
1031 Exchange Process, Things to Know for Exchangers
Whether this is your first exchange or 100th, congratulations! You’ve joined a growing group of long time real estate investors who have used this Tax Deferred Exchange process since 1921. Watch this quick tutorial to learn more.
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