qi: 1031 EXCHANGES MAY BENEFIT INVESTORS FACING FORECLOSURE - 06/26/08 06:32 PM
I know it sounds weird but it could help an investor in a very specific set of circumstances.
In the last post we examined the options available for taxpayers who had debt forgiven or canceled on their principal residence. But what about those who own investment property who are facing … (6 comments)
|
qi: 1031 Exchanges -- An Exchange May Still Be Necessary, Even in a Declining Market - 06/11/08 04:35 PM
There May Still Be Capital Gain Even If they Are Selling for Less than What They Paid to Purchase It!!!
You ask, "How can that possibly be?"
Well, remember that when a taxpayer engages in a 1031 Tax Deferred Exchange (selling investment property and exchanging into a new investment … (4 comments)
|
qi: 1031 Exchanges - Why Investors May Still Need to Exchange in A Declining Market. - 06/11/08 02:33 PM
There May Still Be Capital Gain Even If they Are Selling for Less than What They Paid to Purchase It!!!
You ask, "How can that possibly be?"
Well, remember that when a taxpayer engages in a 1031 Tax Deferred Exchange (selling investment property and exchanging into a new investment … (6 comments)
|
qi: Has Your Phone Stopped Ringing?? Telephone Series (Part 1) - 05/19/08 05:34 PM
It Might Not Be the Market. . .
Has your phone gone from this. . .
to this . . .
Are you blaming it on the market? Are you sure it's the market and NOT your telephone policy?
Don't miss Part 2 in the series.
Clients and Agents … (6 comments)
|
qi: 1031 Exchanges - Thinking About Investing In Real Estate With Other People? Read this First! - 05/16/08 02:27 PM
Partnerships V. Co-Ownership
Many investors consider asking other investors to join them in the purchase of an investment property. This arrangement can be very beneficial because it gives the parties the opportunity to invest in property they may not have been able to afford on their own and it spreads the … (10 comments)
|
qi: 1031 Exchanges - Can You Convert A Rental Into A Residence? - 05/16/08 12:59 AM
"MANY TAXPAYERS CAN TAKE ADVANTAGE OF TWO TAX CODE SECTIONS"
After the Q & A, I thought I write a summary of the current state of rentals and residences and converting them. Here are some of the issues to review with the tax advisor when considering converting an investment property to a … (8 comments)
|
qi: 1031 Exhanges - REAL LIFE Q & A - RE: How Long Before I Can Move In? - 05/16/08 12:48 AM
REAL LIFE QUESTION AND ANSWERS
Today, I received a question from a reader of my blog. It is a very common question, so I thought I'd give you both the actual question and my answer. All identifying information has been removed. Click here for more formal information regarding converting a rental … (0 comments)
|
qi: 1031 Exchanges - Earthquake Preparedness - 05/10/08 11:05 PM
U.S. Geological Service Issues Report on California
They reported that there is a 99% chance that California will experience a 6.0+ earthquake in the next 30 years. Southern California's has a slightly higher chance for a large scale earthquake than northern California.
What that means is that every family needs to … (2 comments)
|
qi: 1031 Exchanges - LLCs & Partnerships - 05/10/08 10:41 PM
It's Important Who Drafts the Operating Agreement and Partnership Agreement
Recently, I was called by a former client who was concerned because he was the managing member of an LLC that had done a multiple property exchange. One of the other members, an attorney, had drafted the LLC's Operating Agreement (the … (4 comments)
|
qi: 1031 Exchanges - Don't Miss These Posts On Development Rights - 05/05/08 04:07 PM
Exchanging Development Rights
I posted these during a low traffic period this morning. I've been checking on the stats and it looks like they were largely missed. Click here for Post 1 of 2 "Definition of Development Rights" and click here for Post 2 of 2 for the "IRS's Analysis of Transferable Development … (2 comments)
|
qi: 1031 Exchanges - Development Rights - Post 2 of 2 - 05/05/08 01:19 PM
How the IRS Analyzes Whether Transferable Development Rights are Like-Kind
In my previous Post 1 of 2 that addressed the definition of Transferable Development Rights ("TDR") we saw that the IRS, in a PLR* determined that they were like-kind to a fee simple. Below, we will look at the analysis and reasoning the … (2 comments)
|
qi: 1031 Exchanges - Development Rights - Post 1 of 2 - 05/05/08 01:04 PM
Several weeks ago in my blog I discussed different types of property that may or may not qualify as like-kind including leaseholds, oil, gas and mineral rights, water rights, REITS and Timeshares, and easements. In this post we will examine the definition of development rights and in Post 2 we will examine … (4 comments)
|
qi: 1031 Exchanges - Celebrating 40,000 Points - 05/04/08 07:59 PM
New Milestone!!
With each new milestone I achieve on AR, I become more grateful for finding this unique and dynamic community. I've made friends from all over the country. People have contacted me who moved away from the Fresno area and are reconnecting with California's wonderfull Central Valley. The learning opportunities on AR … (12 comments)
|
qi: 1031 Exchanges - Critical Information For Agents - 05/04/08 07:38 PM
1031 tax deferred exchanges provide real estate agents with a tremendous opportunity to increase commissions! Conversely, by not understanding a few key exchange concepts, real estate agents often can unknowingly incur increased liability. I have provided answers to questions frequently asked by real estate agents. Contract law varies from state to … (2 comments)
|
qi: 1031 Exchanges - La Feliz Derby Downs Fundraiser - 05/04/08 06:14 PM
Valley Children's Hospital
Yesterday, I was honored to be invited to the very exclusive La Feliz Derby Downs Fundraiser benefiting Valley Children's Hospital. It is a Kentucky Derby themed day at the Fresno County Fairgrounds. Invitees are encouraged to dress in their best "Derby Wear." They have a contest for the best … (2 comments)
|
qi: 1031 Exchanges - The Odd Ducks - Auctions, Short Sales and REOs - 05/03/08 12:59 PM
Buying an Auction, Short Sale or REO as Replacement Property
TIME SENSITIVITY OF 1031 EXCHANGES
Two of the key requirements under section 1031 are highly time sensitive.
45 Day Identification Period
After closing escrow on the Relinquished Property, the exchanger has 45 Days to Identify up to Three properties ("Three Property Rule"). After passing … (4 comments)
|
qi: 1031 Exchanges - Structuring Reverse and Improvement Exchanges - 05/03/08 02:54 AM
"What Differentiates Asset Preservation's Format"
STRUCTURING COMPLEX EXCHANGES
A number of "Qualified Intermediary" companies offer improvement and reverse exchanges, but the structure varies from company to company. What differentiates Asset Preservation, Inc. from others?
Quite simply, Asset Preservation offers the best exchange structure and most qualified professionals to facilitate these very unique and complex … (2 comments)
|
qi: 1031 Exchange -Five Reasons To Exchange - 05/01/08 11:45 PM
"INVESTORS CAN MEET MANY OBJECTIVES UNDER IRC §1031"
Section 1031 tax deferred exchanges continue to increase in popularity as more investors nationwide discover the wide range of investment objectives that can be easily met through exchanging.
I. PRESERVATION OF EQUITY A properly structured exchange provides real estate investors with the opportunity to defer … (4 comments)
|
qi: 1031 Exchanges - Lending's Role In An Exchange - 05/01/08 11:44 AM
DON'T GET KICKED BY THE UGLY BOOT
Section 1031's purpose is to permit taxpayers to defer the capital gain on the sale of appreciated investment property as long as its rules are followed. One of the primary rules is that the sale property must be exchanged for property of like kind (held … (2 comments)
|
qi: 1031 Exchanges - Held for Resale v. Held for Investment - 04/30/08 05:53 PM
Many investors want to know "How long do I need to hold onto property for it to qualify for 1031 treatment?" This is an area that the Treasury Regulations do not directly address. Instead, the focus is on the intent of the investor at the time of sale of the relinquished property and at the time … (0 comments)
|
qi: 1031 Exchanges and The Serial Flipper - 04/30/08 03:07 PM
To Flip or Not To Flip
This post was inspired by a comment I made on JL's Blog post about flipping property as an investment strategy. As he pointed out many first time real estate investors are entering the market inspired by shows like "Flip This House." What a lot of these shows … (6 comments)
|
qi: 1031 Exchanges - Improvement Exchanges - Important Requirements - 04/24/08 12:50 AM
"IT IS IMPORTANT TO UNDERSTAND THESE ADDITIONAL REQUIREMENTS"
The improvement exchange is a powerful strategy that enables an investor to improve a replacement property. Although this provides tremendous flexibility and opens up a vast array of potential replacement property options, a couple of additional requirements must be followed to obtain full tax … (4 comments)
|
qi: 1031 Exchanges - IMPROVEMENT EXCHANGES - BUILD OR IMPROVE? - 04/24/08 12:46 AM
"BUILD NEW OR IMPROVE AN EXISTING PROPERTY"
… (2 comments)
|
qi: 1031 Exchanges - The Definition of An AR Obsession? - 04/23/08 12:29 PM
Dreaming About AR Posts!
Last night I went to sleep very contented. It had been a productive day.
I woke up early this morning around 4 a.m. exclaiming "EEE Gads, I might have a problem."
So, you ask what was it that woke you up at 4 a.m. this morning? Get this, I … (10 comments)
|
qi: 1031 Exchanges - Multiple Property Exchanges - 04/22/08 01:17 AM
"UNDERSTANDING THE REQUIREMENTS IS CRITICAL"
… (5 comments)
|
qi: 1031 Exchanges - Simultaneous Exchanges - What Not to DO! - 04/22/08 01:13 AM
… (0 comments)
|
qi: 1031 Exchanges - Simultaneous Exchanges - Basics - 04/21/08 11:36 PM
"USING A QI IS THE ONLY SAFE HARBOR PROVIDED BY THE REGULATIONS"
Lisa Lambert, Esq. (877) 646-1031 or LisaL@apiexchange.com
Asset Preservation,Inc. 800.282.1031 info@apiexchange.com www.apiexchange.com
… (2 comments)
|
qi: 1031 Exchanges - Why Exchangers Access to Funds Are Restricted - 04/21/08 11:28 PM
… (2 comments)
|
qi: 1031 Exchanges - What Not To Do - 04/21/08 11:19 PM
… (2 comments)
|
qi: 1031 Exchanges - Back to Business - Professional Advisors - 04/21/08 01:54 PM
Clients Professional Advisors Are A Critical Part of the 1031 Process
Last week we went over how to calculate capital gain and estimate the capital gain tax due. We also reviewed what is involved in calculating the Net Adjusted Basis of an investment property. Great! Now that you know how to do … (0 comments)
|
qi: 1031 Exchanges - For Consumers ~ A Tale - 04/17/08 06:45 PM
Dear Consumers:
I want to share the experience of one of my clients that highlights where a lot of misunderstandings occur regarding what specific responsibilities your real estate team (agent/broker, escrow officer, lender, qualified intermediary) has during your transaction.
Once upon a time. . . there was an investor named Igor who owned a condo that he used as … (0 comments)
|
qi: 1031 Exchange - CALCULATING CAPITAL GAIN TAX~Putting It All together - 04/17/08 05:46 PM
SALE v. EXCHANGE
In the example below we bring the previous two posts together to demonstrate the power of a 1031 exchange and how it permits the taxpayer to defer the payment of capital gain tax, so that he/she can use the amount they would have paid the IRS as additional equity in … (0 comments)
|
qi: 1031 Exchanges - Calculating Capital Gain - 04/17/08 05:05 PM
Now that you've seen how to calculate the Net Adjusted Basis, you are ready to begin calculating the capital the seller may recognize on their taxes if they do not do a 1031 exchange.
You will take the current sale price, subtract the net adjusted basis, then subtract the closing costs. This … (0 comments)
|
qi: 1031 Exchanges - WHAT THE HECK IS NET ADJUSTED BASIS? - 04/17/08 04:52 PM
After reading some of the comments from "To Exchange or Not to Exchange? That is the question," I thought it would be helpful to post information about NET ADJUSTED BASIS.
The simplified way of determining whether there is a potential capital gain on the sale of property is to subtract the original … (0 comments)
|
qi: 1031 Exchanges - To Exchange or Not to Exchange? That is the question. POST #2 - 04/17/08 12:55 PM
REASONS NOT TO DO AN EXCHANGE
In the previous post we reviewed why an exchange may still be necessary to defer capital gain taxes even if the value of the investment property has declined. Now we will look at reasons some tax advisors may suggest that their clients NOT DO AN EXCHANGE. … (0 comments)
|
qi: 1031 Exchanges - To Exchange or Not to Exchange? That is the question. - 04/17/08 12:41 PM
AN EXCHANGE MAY STILL BE NECESSARY IN A DECLINING MARKET
IS AN EXCHANGE NECESSARY WHEN PROPERTY PRICES ARE DECLINING?
Generally, if the value of property at the time of sale is lower than the purchase there will not be a capital gain issue and hence, no need for a 1031 exchange to defer … (4 comments)
|
qi: 1031 Exchanges - Ever Wondered How to Discuss Exchanges With Clients? - 04/17/08 01:38 AM
WHAT IS A §1031 EXCHANGE?
Here's a concise way and simple way to describe a 1031 Exchange. . .
… (0 comments)
|
qi: 1031 Exchanges - Know Your QI - Post #2 - 04/17/08 01:29 AM
WHAT DO YOUR QI's CUSTOMERS SAY?
Asset Preservation, Inc. (API) is committed to providing everyone with our top notch customer service. Whether a first time exchanger, repeat client or a large national account, API strives to provide fast, knowledgeable and friendly customer service throughout the entire exchange process. It is rewarding to hear what … (0 comments)
|
qi: 1031 Exchanges - Stages Of A Delayed Exchange - 04/17/08 12:53 AM
"FOLLOW THESE SIMPLE STEPS FOR A SUCCESSFUL TRANSACTION"
… (0 comments)
|
qi: 1031 Exchanges - Choosing An Escrow Officer - 04/16/08 11:54 PM
Your Escrow Officer and 1031 Exchanges
YOUR CHOICE OF ESCROW OFFICER CAN IMPACT YOUR CLIENT'S EXCHANGE
Your choice of escrow officer is important no matter how complex (or straightforward) the transaction. However, when the transaction involves the sale of relinquished property in a 1031 exchange or the purchase of replacement property, your choice … (0 comments)
|
qi: 1031 Exchanges - Time Well Spent? - 04/16/08 01:58 PM
AVERAGE AMERICANS SPENT 26.5 HOURS PREPARING TAXES
It took the average American more than 26.5 hours to prepare their taxes this year. This is an increase from 25.4 hours three years ago. It costs Americans an average of $207 to prepare their taxes, up from $185 three years ago. For more information, … (0 comments)
|
qi: 1031 Exchanges - Developing An Investor Niche - 04/10/08 10:04 PM
Step-By-Step Instructions to Develop An Investor Niche
1. Attend a seminar that teaches you how to analyze small investment properties using Gross Rent Multiplier, Cap Rate and Cash on Cash. It's important to understand what is important to an investor client. . .before and after-tax cash flow.
2. Attend an advanced 1031 exchange … (5 comments)
|
qi: 1031 Exchanges -- How Do Prorations Affect Deferral? - 04/10/08 09:40 PM
CAUTION IS NEEDED WITH SECURITY DEPOSITS, REPAIR COSTS & PREPAID RENT
Security deposits, repair costs and prepaid rent that are allocated among buyer and seller in a purchase and sale contract through a standard prorations clause, can be a source of taxable boot if not handled carefully. The prorations clause works by … (0 comments)
|
qi: 1031 Exchanges - C.A.R. Talking Points for Consumers - 04/10/08 09:25 PM
The California Association of Realtors "Market Matters" Newsletter had mostly rough news. However, it's not all bad. Lenders are having to adjust to higher foreclosure rates leading them to allow defaulting borrowers to remain in their homes. They also noted that 96.4% of mortgage payments were on time. (source Bloomberg.com click here for full story).
This … (0 comments)
|
qi: 1031 Exchanges - House Panel Approves Tax Bill - 04/09/08 03:21 PM
The House of Representatives Ways and Means Committee approved a tax bill meant to address the housing and credit "crisis."
The committee is proposing giving first time homebuyers within income limits a refundable $7500 tax credit that they would have to repay to the government over 15 years. The temporary tax bill … (4 comments)
|
qi: 1031 Exchanges - Holding Period Issues - 04/08/08 07:30 PM
DEFINITION OF LIKE KIND PROPERTY
"HOLDING PERIOD" ISSUES
IRC section 1031 states that property "held for productive use in a trade or business or for investment" must be exchanged for like-kind property. A frequently asked question is, "Exactly how lod does a property need to be held to be considered an investment property … (0 comments)
|
qi: 1031 Exchanges -- Intent Matters! - 04/08/08 06:52 PM
Substantiating Investment Intent
The 1031 Code Section
Real Estate held as "stock in trade or other property held primarily for sale" is excluded from the tax benefits of IRC section 1031. Stock in trade describes property which is excluded in the inventory of a dealer ("dealer property") and is held for resale to … (0 comments)
|
qi: 1031 Exchanges - Are You Sure? Post #2 - 04/08/08 06:08 PM
Are You Sure You Understand 1031 Exchanges? PART 2
Commonly Misunderstood Issues in Real Property 1031 Exchanges*
In an effort to dispel 1031 Exchange Myths, I have been posting the most commonly misunderstood aspects of 1031 exchanges. You can find the first post in this series here: 1031 Exchanges - Are you Sure? … (0 comments)
|
qi: 1031 Exchanges - California Association of Realtors - S.W.A.T. - 04/07/08 12:59 PM
The California Association of Realtors has put programs together to assist California Realtors cope with our stabilizing market. The information regarding each area is provided below. Here is the link to the C.A.R. website to see the information below and sign up for the seminars: http://www.realtorswat.com/
REALTOR® S.W.A.T.: Special Weapons and Tactics to Survive a Down … (9 comments)
|
qi: 1031 Exchanges - You Get What You Pay For! - 04/04/08 11:17 AM
Shopping Your QI For Price
YOU GET WHAT YOU PAY FOR
One of the most frustrating aspects of any business that prides itself on exemplary service, exceptional execution and meticulous attention to detail, is the price shopper.
Word to the wise, most reputable QI's charges for a delayed exchange start at $700 (it should … (3 comments)
|
qi: 1031 Exchanges - Are You Sure? Post #1 - 04/02/08 01:09 PM
Are You Sure You Understand 1031 Exchanges?
Commonly Misunderstood Issues in Real Property 1031 Exchanges*
1. Like-Kind Property MYTH: In order for replacement property to be considered like-kind it must be exactly the same type of property as the relinquished property i.e. commercial for commercial, condo for condo, duplex for duplex, bare land … (2 comments)
|
qi: 1031 Exchanges - What is A Qualified Intermediary - 04/01/08 09:51 PM
And Why Do We Need Them?
The Treasury Regulations codified the 1989 section 1031 changes in 1991. Part of those changes created a safe harbor for taxpayers using Qualified Intermediaries ("QI") to facilitate (or accommodate) their exchanges. I know, that still doesn't explain why taxpayers need to use them when they do … (0 comments)
|
qi: 1031 Exchanges - Advisors May Need Updated Information - 04/01/08 09:29 PM
Does Your Advisor Need the Most Up to Date 1031 Information?
Tax advisors like doctors and attorneys frequently have specializations. Some CPAs work primarily with businesses who don't own appreciated property, so they aren't up-to-date about what's happening in the 1031 exchange world. It does not mean they are a bad advisor, … (2 comments)
|
qi: 1031 Exchanges - What's in Your Toolbox? - 04/01/08 09:20 PM
More Tools You Can Use
Have you ever had a client who had a lot of questions about 1031 exchanges? You've been a busy agent marketing and showing properties, so it's been a while since you've been to a 1031 exchange seminar and some of the details are a bit fuzzy. You … (0 comments)
|
qi: 1031 Exchanges-Consult Your Tax Advisor - 04/01/08 08:53 PM
1031 Exchanges And the Tax Advisor
Prior to engaging in an 1031 exchange, it is critical that the taxpayer consult with his tax and/or legal advisors regarding the transaction. There may be very specific reasons why the tax advisor either recommends the exchange or recommends paying the taxes. It is impossible for … (2 comments)
|
qi: 1031 Exchanges - Exchanger Checklist - 04/01/08 08:32 PM
As a result of my previous post, requesting feedback on the type of information that will be useful to the ActiveRain community, I am posting our Exchanger Checklist that gives both agents and investors a concise step-by-step timeline of items to be covered prior to the exchange and during the exchange period. … (5 comments)
|
qi: 1031 Exchanges - How to Use Your Knowledge to Increase Business - 03/26/08 03:51 PM
IRC section 1031 exchanges are used by owners of appreciated investment property to defer the capital gain tax (both state (if applicable) and federal 15% and depreciation recapture) by purchasing another investment property within 180 days. Previous blog posts go into all of the details and rules of the exchange process.
The … (2 comments)
|
qi: 1031 Exchanges - Leti Avila and Lori Anderson New Members!! Please Welcome them. - 03/25/08 05:18 PM
I'd like to introduce two new associates who recently joined Active Rain. Both of these wonderful ladies are experienced Escrow Officers at Stewart Title in Visalia. They are very experienced working with investment property owners and they are well-versed in their role during a 1031 exchange.
http://activerain.com/lavila
http://activerain.com/loria.
… (1 comments)
|
qi: 1031 Exchanges -- FREE ACCREDITED 1031 Advanced Seminar in Fresno - 03/25/08 12:18 AM
I will be offering a free 3-hour accredited seminar for commercial brokers, attorneys, accountants and experienced residential agents. There are still some spaces available.
Advanced 1031 Exchange Seminar at the Fresno Association of Realtors located at 6720 N. West Ave, Fresno, CA.
Time: 12:30 - 3:30
Email: LisaL@apiexchange.com with your name, company and phone number … (6 comments)
|
qi: 1031 Exchanges - Strategies for Selling Appreciated Property - 03/24/08 11:46 PM
… (0 comments)
|
qi: 1031 Exchanges - Vesting Issues #2 - 03/24/08 11:39 PM
This information is provided for educational purposes only. It should not be construed as tax and/or legal advice. Individuals should consult their personal tax and legal advisors regarding the specific circumstances of their individual exchanges.
For more information, please call (877) 646-1031 or email me at LisaL@apiexchange.com or national headquarters (800) 282-1031 … (2 comments)
|
qi: 1031 Exchanges - Vesting Issues - 03/24/08 11:37 PM
… (0 comments)
|
qi: 1031 Exchanges - Restrictions on Exchange Proceeds - 1031(g)(6) - 03/24/08 02:14 PM
… (0 comments)
|
qi: 1031 Exchanges - Partial Exchanges Are VALID - 03/24/08 02:10 PM
… (0 comments)
|
qi: 1031 Exchanges - Rental to Residence Conversion - 5 Yr Holding Period - 03/24/08 02:00 PM
… (0 comments)
|
qi: 1031 Exchanges - Split Treatment Transactions - Sections 121 and 1031 - 03/24/08 01:48 PM
… (0 comments)
|
qi: 1031 Exchanges - Converting a Rental to a Residence - 03/24/08 01:41 PM
(
… (2 comments)
|
qi: 1031 Exchanges - Converting a Residence to a Rental - 03/24/08 01:35 PM
… (0 comments)
|
qi: 1031 Exchanges - Like Kind Continued - Easements - 03/21/08 02:57 PM
… (0 comments)
|
qi: 1031 Exchanges - Like Kind Continued - Timeshares & REITs - 03/21/08 02:54 PM
… (0 comments)
|
qi: 1031 Exchanges - Like Kind Continued - Location, Location, Location! - 03/21/08 02:49 PM
… (0 comments)
|
qi: 1031 Exchanges - Like Kind Continued - Water Rights - 03/21/08 02:39 PM
… (0 comments)
|
qi: 1031 Exchanges - Like Kind Continued - Oil, Gas & Minerals - 03/21/08 02:30 PM
… (0 comments)
|
qi: 1031 Exchanges - Like Kind Continued - Leasehold Interests - 03/21/08 02:27 PM
… (0 comments)
|
qi: 1031 Exchanges - How Long Must I Hold the Property For It To Qualify as "Investment" - 03/20/08 06:03 PM
… (0 comments)
|
qi: 1031 Exchanges - Personal Property Exchanges - "Planes, Trains & Automobiles" - 03/20/08 05:54 PM
… (2 comments)
|
qi: 1031 Exchanges - 1031 Exclusions "Property Held for Resale" - 03/20/08 05:50 PM
… (0 comments)
|
qi: 1031 Exchanges -- Definition of Like Kind Property - 03/20/08 05:47 PM
… (2 comments)
|
qi: 1031 Exchanges -- Post #3 IRC Section 1031 - THE CODE EXPLAINED - 03/13/08 07:44 PM
In the last post, we looked at the title of 1031 and what "nonrecognition" means. Below we will look at the general description of a 1031 exchange as it is outlined in the tax code.
Remember, this is for educational purposes only. This is not tax or legal advice. All specific legal applications should … (0 comments)
|
qi: 1031 Exchanges -- Post #2 IRC Section 1031 - THE CODE EXPLAINED - 03/13/08 07:22 PM
In the last post we actually reviewed the text of IRC Section 1031. In this post we will look at what the provisions of the section mean. We will be looking at the title line first.
Remember, this is for educational purposes only. Any specific circumstances regarding an individual exchange should … (0 comments)
|
qi: 1031 Exchanges -- Is 1031 a "Loophole?" IRC Section 1031 - THE CODE - 03/12/08 09:53 PM
Many people misunderstand section 1031. They think it sounds too good to be true. Why would the IRS let us defer our capital gain tax on the sale of our investment property? It must be a loophole and all those people out there are getting away with something.
Section 1031 is not a loophole. … (0 comments)
|
qi: 1031 Exchanges - Terminology Part II - What Does an "Upleg" Have to Do With Investment Property? - 03/12/08 09:46 PM
LIKE-KIND PROPERTY: Any property used for productive use in trade or business or held for investment; both the relinquished and replacement properties must be considered "like-kind" to qualify for tax deferral.
MORTGAGE BOOT: This occurs when the Exchanger does not acquire debt that is equal to or greater than the debt that … (0 comments)
|
qi: 1031 Exchanges - TAX AND LEGAL REFERENCE AVAILABLE - 03/12/08 09:32 PM
Are you working with accountant and other tax and legal professionals who are looking for a comprehensive body of research that covers all aspects of 1031 exchanges and related transactions?
Their search has ended! Asset Preservation, Inc. is proud to introduce after investing substantial time and research by our in-house tax and legal counsel, … (0 comments)
|
qi: 1031 Exchanges - BEWARE - Is Your Qualified Intermediary Giving You Tax or Legal Advice? - 03/12/08 09:19 PM
It is important to understand that Qualified Intermediaries "QI" are specifically disqualified under the tax code from giving taxpayers tax and legal advice regarding their potential exchange transaction.
So What Constitutes Tax or Legal Advice?
Any time an agent or a QI tells a client they should or should not do an exchange could be … (0 comments)
|
qi: 1031 Exchanges - Important Questions to Ask RE: Security of Funds - 03/12/08 08:55 PM
It's important to understand that currently the Qualified Intermediary "QI" industry is unregulated in most states. I have compiled some important subject areas you should explore when considering using a particular QI. It is critical that you ask the HARD questions of the business who is going to be holding your client's … (0 comments)
|
qi: 1031 Exchanges -- NEW CALIFORNIA DRE Requirements for Accredited Seminars - 03/11/08 07:38 PM
The California DRE has issued new requirements for real estate agents to receive qualifying continuing education credit.
1. Attendees must present valid identification immediately before admittance to a live presentation, or immediately before the administration of the final examination. Valid forms of identification include the following:
a. A Valid California driver's license.
b. A Current … (2 comments)
|
qi: 1031 Exchanges -- NEW VACATION HOME UPDATE - Rev. Proc. 2008-16 Safe Harbor - 02/21/08 01:38 PM
Revenue Procedure 2008-16 (the "Procedure") creates a safe harbor definition of investment property applicable to exchange transactions closing after March 10, 2008 that involve the transfer of property consisting of a dwelling unit (defined below) and/or the acquisition of a dwelling unit as replacement property. In short, the IRS will not … (0 comments)
|
qi: 1031 Exchanges - Partial Exchanges - 02/20/08 12:04 AM
… (0 comments)
|
qi: 1031 Exchanges -- Building Your Team - POST #1 in a series - 02/13/08 12:18 PM
It behooves you to begin building a team who understands 1031 exchanges whether you are an agent or an investor. Although, the basic principles of an IRC 1031 Exchange are fairly straightforward, each sale of relinquished property and purchase of replacement contains a variety of issues that must be analyzed by … (2 comments)
|
qi: 1031 Exchanges -- 1031 WEBINAR - Learn the Basics Fast - 02/13/08 11:47 AM
Agents Knowledgeable In IRC Section 1031 Exchanges Make More Money
As an agent are you looking for a way to increase the volume of your sales?
By learning and understanding the tax deferral mechanisms under section 1031, you can increase your income because the investor selling the relinquished property you listed will need assistance in … (0 comments)
|
qi: 1031 Exchanges - How Long to Hold - Qualified Use Test - 02/12/08 08:28 PM
… (0 comments)
|
qi: 1031 Exchanges - Requirements for Full Deferral - 02/12/08 08:18 PM
… (0 comments)
|
qi: 1031 Exchanges - Security of Funds - KNOW YOUR QI - 02/12/08 04:45 PM
… (0 comments)
|
;)
Links;)
Archives
