1031 Exchange Disclaimer Explained
Today we're going to talk about a 1031 Exchange disclaimer. Why do we care about a disclaimer? Because here's the problem: The 1031 Exchange disclaimer that we'll talk about has a lot of big words and words that we will need to know in the process of our 1031 Exchange. Here's what it says:
"An Exchanger should always consult with competent, independent legal and/or tax advisors to determine the applicability of any IRC 1031 tax deferred exchange benefits. The gain, not the profit or equity, from the transfer of investment property is subject to the combination of federal and state capital gain taxes and the federal taxes on the gain due to the depreciation taken on the property. Remember, it is possible to have little or no equity in the investment property being transferred and still owe taxes!"
READ MORE ABOUT THIS:
Read This Disclaimer Before Doing A 1031 Exchange
https://1031exchangelady.com/read-thi...
🏠 Find out more about 1031 Exchanges: https://1031ExchangeLady.com
▶️ Watch my latest video:
• Videos
🙋♀️ Please say hi in the comments so I know you were here! - Maxine
CHAPTERS
00:00 Intro
00:46 What is an Exchanger?
01:01 When? Always.
01:11 Competent and independent
01:47 Legal and/or tax advisors
02:04 1031 Exchange applicability for you
02:31 Gain, not the profit or equity
02:43 Transfer, not sale.
03:07 Property, meaning real property.
03:16 Federal and state capital gains taxes.
03:22 Depreciation taken.
WHY DO A 1031 EXCHANGE?
Somebody may have told you that you should do a 1031 Exchange, and here's why. If you don't do a 1031 Exchange when you sell your rental property, you may have substantial taxes in four categories (Capital Gains Taxes, Depreciation Recapture Taxes, NIIT Taxes, and relevant State Taxes). Real quick, a 1031 Exchange is when you sell one property held for investment, and buy another property held for investment, with specific rules and timelines.
IRS PDF DOWNLOADS:
Here are the links to IRS form 8824 and instructions, which your accountant would submit for you when you do a 1031 exchange:
Form 8824 Instructions: (PDF) https://www.irs.gov/pub/irs-pdf/i8824...
Form 8824 to Download: (PDF) https://www.irs.gov/pub/irs-pdf/f8824...
ABOUT ME:
If we haven't met, my name is Maxine Golden. I'm a long-time real estate broker, and your 1031 Exchange Lady. I started this channel for small investors like you, so that you can save money on your taxes like the big boys do, under the 1031 Exchange law. The 1031 Exchange has been around for more than a century. It's a bit nuanced, so I started this channel to help you do it more easily.
HOW I HELP YOU:
I specialize in helping rental property owners like yourself in cities across America find qualified experienced real estate agents who can help them with their 1031 exchanges and to defer their taxes.
FOLLOW ME:
Subscribe on YouTube: https://youtube.com/@1031exchange?sub...
LinkedIn: / maxinegolden
LET'S CONNECT:
Text Me: (949) 279-4618
Email: [email protected]
Book a call: https://1031exchangelady.com/book-a-c...
MAXINE GOLDEN
Realtor | Real Estate Agent | Real Estate Broker
Accredited Buyer Representative
Certified Residential Specialist
California Broker license No. 00426234
Oregon Principal Broker license No. 201225449