IRS 1031

TM 1031 Exchange works with investors to match them with properties that will fit their overall investment strategies in connection with 1031 real estate exchanges. 1031 real estate exchanges (named for the provision of the IRS tax code that governs them) allow investors to defer capital gains taxes on the sale of qualifying properties by exchanging them within specified time frames for like-kind properties.

According to IRS rules, property sellers have to identify replacement properties for 1031 exchanges in writing within 45 days from sale of the original property. The acquisition of replacement property must also be completed within a maximum of 180 days from the original sale. In order to comply with IRS requirements that the seller not have actual or constructive use of the property sale proceeds, 1031 exchanges are usually conducted with the help of a Qualified Intermediary.

It should be noted that 1031 exchanges are not tax-free transactions, but tax-deferred transactions. There are a number of different kinds of 1031 real estate exchanges, including delayed, reverse, and build to suit. It is recommended that investors discuss the potential benefits or drawbacks of 1031 exchanges with their legal and financial advisors as part of a comprehensive investment strategy.

TM 1031 Exchange's nationwide database of commercial real estate helps investors find the right properties for their 1031 exchanges within the IRS deadlines. Investors have a number of different property types within our database to choose from. By properly structuring their 1031 exchanges, savvy investors can not only defer taxes, but they can diversify their investment portfolios and better manage risk. For more information on TM 1031 Exchange's services or properties, you may browse this website, call us at 1-877-4TM-1031, or send an email through our info@tm1031exchange.com.