Internal Revenue Code (IRC) Section 1031(f) establishes the special rules for exchanges between related parties. In addition, the IRS published “Revenue Ruling 2002-83” in November 2002, to clarify the purchase by an exchanger of the replacement property from a related party. IRC Section 1031(f)(1)(C) requires that the property received in a … [Read more...]
NAR Summary x
National Association of Realtors ( NAR) has published an excellent summary of the recent tax bill impact on Homeowners and Real Estate professionals. http://narfocus.com/billdatabase/clientfiles/172/19/3062.pdf Worth the read to understand the impact. XX … [Read more...]
Do You Need to File an On-Time Tax Return Extension for your 1031 Exchange?
If you closed on your 1031 exchange relinquished property in the last quarter of 2017 and still have an active 1031 exchange you may want to file an on-time tax return extension. The IRS 1031 regulations say: “The exchange period begins on the date the taxpayer transfers the relinquished property and ends at midnight on the earlier of the 180th … [Read more...]
Receiving 1031 Escrow Funds in Following Year
The IRS 1031 regulation (§1.1031(k)-1(j)) provides that if an exchanger receives 1031 escrow funds from the qualified intermediary at the end of the exchange, or if the exchanger had a bona fide intent to do an exchange but does not complete the exchange by receiving a replacement property, then the gain on cash received will be reported for the … [Read more...]
Section 1031 like-kind exchanges for real estate preserved
Tax reform bill is signed by the President with Real Estate 1031 like-kind exchanges preserved: Section 1031 like-kind exchanges for real estate are preserved under current law. The role of the Qualified Intermediary is preserved. Exchanges of personal property assets and intangibles are eliminated. Several other provisions, including … [Read more...]
