1031 Exchange Qualified Intermediary

1031 Exchange Workshop in Torrance, California on Wednesday, July 23rd with DRE Credit

2008-07-21T10:05:48Z

1031 Exchange Workshop
It's Not Just Another 1031 Exchange Seminar - It's a Workshop!

See all of our 1031 exchange seminar programs.

Intermediate Level 1031 Exchange Workshop

This is an intermediate level workshop on forward, reverse and improvement (build-to-suit or construction) 1031 exchange transactions pursuant to Section 1031 of the Internal Revenue Code and Section 1.1031 of the Treasury Regulations.

1031 Exchange Workshop Content

The educational workshop will begin with an introduction to various tax-deferral and tax-exclusion strategies, including combining Section 1031 with Section 121. The discussions will focus on the requirements, structures, processes, strategies, and compliance issues necessary to successfully complete a 1031 exchange transaction. We will finish with an explanation of the new fractional ownership opportunities of tenant-in-common property interests (TIC or CORE Interests) used as like-kind replacement property solutions pursuant to Revenue Procedure 2002-22.

There will be plenty of time for open discussions, questions and answers with our 1031 exchange experts. Handout materials will be provided for future reference.

Who Should Attend?

Anyone interested in gaining a more in-depth understanding of the processes and requirements for completing successful 1031 exchange transactions, including investment property owners (taxpayers/investors), accountants, attorneys, corporate officers, certified financial planners and real estate agents and brokers (Realtors©).

Continuing Education Credit (CE Credit)

Two (2) hours of continuing education credit will be provided to:

California real estate agents/brokers
Certified Public Accountants (CPAs)
Certified Financial Planners (CFPs).

Refreshments Provided

Refreshments will be provided compliments of SCI Real Estate Investments.

Speakers

William L. Exeter
President and Chief Executive Officer
Exeter 1031 Exchange Services, LLC

Lewis Savage
Principal
SCI Real Estate Investments

Adam Bryan
Senior Vice President, Regional Director
SCI Real Estate Investments

Sponsor

Kim Englert, MBA
Business Development Officer
Exeter 1031 Exchange Services, LLC
Irvine Branch Office

Date and Time

Wednesday, July 23, 2008
11:20 AM Registration
11:30 AM - 2:30 PM Workshop

Location - Torrance, California

Torrance Marriott Hotel
3635 Fashion Square Way
Torrance, CA 90505

You can visit our website for more complete details.

1031 Exchange Seminar, Torrance, CA on Wednesday, July 23rd

2008-07-19T02:27:23Z

07/23/2008

11:30 AM -
2:30 PM

1031 exchange workshop on the requirements, structures, processes, strategies, and compliance issues necessary to successfully complete a 1031 exchange, including a discussion of Tenant-In-Common (TIC) investment properties as 1031 exchange replacement property solutions. Continuing education credits available for Realtors, CPAs and CFPs.

Learn More

Intermed.
Level

Torrance,
California

Tax Implications from Failed 1031 Exchange When Qualified Intermediary Fails

2008-07-17T21:46:00Z

Exeter News Wire
Media Contact:
William L. Exeter
President and Chief Executive Officer
Exeter 1031 Exchange Services, LLC
(619) 615-4210

FOR IMMEDIATE RELEASE

IRS's Office of Chief Counsel Issues Informational Letter on 1031 Exchange Failures

IRS Letter Discusses Tax Consequences on 1031 Exchanges Failures Due to the QI Failing

June 27, 2008--San Diego, California--The IRS's Office of Chief Counsel issued an informational letter (Letter No. 2008-0021) regarding the income tax consequences of a failed 1031 exchange transaction due to the failure of the Qualified Intermediary also referred to as QI.

The IRS was responding to a inquiry made by Congressman Delahunt of Massachusetts on behalf of his constituents that had lost money through a failed 1031 exchange because their Qualified Intermediary had failed and filed for bankruptcy protection.

You can read the rest of the news release here.

New 1031 Exchange Guide: Not Too Cold, Not Too Hot, But Just Right

2008-07-08T20:24:56Z

New 1031 Exchange Guide

We are very pleased to announce that we have just finished our new 1031 exchange booklet entitled A Guide To 1031 Exchanges. This 24 page booklet on 1031 exchanges will help the beginning as well as the experienced investor keep up-to-date on the important details and requirements for structuring and completing a 1031 exchange transaction.

Not Too Cold; Not Too Hot

We have 1031 exchange sales brochures and we have 1031 exchange summary "rack" brochures just like every other 1031 exchange Qualified Intermediary out there. These type of brochures just do not provide enough information for the consumer and advisors. They are more fluff about the company with a general summary of what services are offered.

We also continue to publish our 250 page Section 1031 Tax Deferred Exchange Reference Manual that really sets us apart from our competitors as the go to experts on 1031 exchanges. Our Reference Manual can be overwhelming and intimidating to the novice investor, so its just a little bit too much.

Just Right

So, we decided it was time to produce our 24 page A Guide To 1031 Exchanges for those who wanted more, but not that much more.

Hardcopy

You can contact any of our national branch offices to obtain a hardcopy of any of our brochures, guides or reference manuals.

1031 Exchange Workshop in Torrance, California on Wednesday, July 23rd with DRE Credit

2008-07-08T19:34:14Z

1031 Exchange Workshop
It's Not Just Another 1031 Exchange Seminar - It's a Workshop!

See all of our 1031 exchange seminar programs.

Intermediate Level 1031 Exchange Workshop

1031 Exchange Workshop Content

There will be plenty of time for open discussions, questions and answers with our 1031 exchange experts. Handout materials will be provided for future reference.

Who Should Attend?

Continuing Education Credit (CE Credit)

Two (2) hours of continuing education credit will be provided to:

California real estate agents/brokers
Certified Public Accountants (CPAs)
Certified Financial Planners (CFPs).

Deli Style Lunch Provided

Beverages will be provided compliments of Exeter 1031 Exchange Services, LLC and SCI Real Estate Investments.

Speakers

William L. Exeter
President and Chief Executive Officer
Exeter 1031 Exchange Services, LLC

Lewis Savage
Principal
SCI Real Estate Investments

Adam Bryan
Senior Vice President, Regional Director
SCI Real Estate Investments

Sponsor

Kim Englert, MBA
Business Development Officer
Exeter 1031 Exchange Services, LLC
Irvine Branch Office

Reservations ARE Required

Click here to RSVP for this 1031 exchange workshop.

Tax Policy Humor....

2008-07-08T15:24:59Z

This does a pretty good job explaining the tax code. Bar Stool Economics Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this: The first four men (the poorest) would pay nothing. The fifth would pay $1. The sixth would pay $3. The seventh would pay $7. The eighth would pay $12. The ninth would pay $18. The tenth man (the richest) would pay $59. So, that's what they decided to do. The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve. "Since you are all such good customers," he said, "I'm going to reduce the cost of your daily beer by $20." Drinks for the ten now cost just $80. The group still wanted to pay their bill the way we pay our taxes so the first four men were unaffected. They would still drink for free. But what about the other six men - the paying customers? How could they divide the $20 windfall so that everyone would get his 'fair share?' They realized that $20 divided by six is $3.33. But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer. So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should pay. And so:

The fifth man, like the first four, now paid nothing (100% savings). The sixth now paid $2 instead of $3 (33%savings). The seventh now pay $5 instead of $7 (28%savings). The eighth now paid $9 instead of $12 (25% savings). The ninth now paid $14 instead of $18 (22% savings). The tenth now paid $49 instead of $59 (16% savings). Each of the six was better off than before. And the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings. "I only got a dollar out of the $20," declared the sixth man. He pointed to the tenth man," but he got $10!" "Yeah, that's right," exclaimed the fifth man. "I only saved a dollar, too. It's unfair that he got ten times more than I!" "That's true!!" shouted the seventh man. "Why should he get $10 back when I got only two? The wealthy get all the breaks!" "Wait a minute," yelled the first four men in unison. "We didn't get anything at all. The system exploits the poor!" The nine men surrounded the tenth and beat him up. The next night, the tenth man didn't show up for drinks, so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn't have enough money between all of them for even half of the bill! And that, ladies and gentlemen, journalists and college professors, is how our tax system works. The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier. David R. Kamerschen, Ph.D. Professor of Economics, University of Georgia

Paradise Is Affordable

2008-06-27T20:52:27Z

Everyone wants a piece of paradise, but until now, it was not affordable. The Island state of Hawaii has many unique qualities that make it a desirable location to visit or to live. Its diverse environments, which include nearly all of the world's climate zones, appeal to virtually every taste. Its unparalleled beauty and spirit of aloha welcome people from around the world. Many people even feel that it is a safe haven from terrorism, drug-related crime, and other modern day threats.

These factors contribute to Hawaii growing into an increasingly desirable place to live and vacation. And sharply rising property prices reflected this sentiment. Until 2006, prices were running very high-well in to the high six-digit range for many properties. Luxury and coastal properties were at the seven-digit level. With the small amount of land and rising population level, it seemed as though property prices in Hawaii were going to continue to skyrocket. This phenomenon was happening at a faster and higher level on the Big Island.

Things have changed. Hawaii, like most states in America, is experiencing a decline in real estate prices following the rapid rise in real estate prices during the past few years. For example, property that sold on the Big Island of Hawaii for $600,000 a little more than a year ago is selling for 15 to 20 percent less.

Buyers are waiting on the sidelines for more price declines and sellers are desperately seeking buyers willing to proceed right now. This is a great climate in which to negotiate a purchase of your piece of paradise. What could be a better than low prices and desperate sellers? This is a classic a buyer's market.

Real estate in Hawaii is desirable at any price and market analysts expect the real estate market to rebound and prices to increase. No one knows when this will happen. It may only be a short window of opportunity for buyers. Some analysts speculate that we have already hit the bottom. Why take the chance? We know that sellers are selling into a smaller pool of buyers-at lower prices--because many buyers are waiting for signs that the market has hit the bottom. Baby boomers looking to retire can now add Hawaii to their list of affordable retirement locations. Many have done precisely that. They can purchase investment property now for retirement purposes later.

"This is a great time to buy real estate of the Big Island of Hawaii" said Joanie Lehr, Realtor with Remax Island Surf Realty in Pahoa, Hawaii. "Right now, our inventory of listings is large, so for a buyer wanting to invest or wanting to get that second home or retirement home, the timing couldn't be better" she said. "From an oceanside beachfront estate to a mountain cabin, a golf course condo to a rainforest modest home, buyers can take their pick. We have one acre parcels in the Puna District priced from around $35,000 and new homes on an acre and up now selling for an average of $250,000."

Most of the luxury resorts on the Big Island of Hawaii are located on the west side of the island. Forrest Arnold, Realtor with Kohala Pacific Realty in Hawi on the Big Island says that "in the coastal unique resort properties on the Kohala Coast, there are extremely motivated sellers making aggressive deals at 15 to 20 percent below the asking price and some sellers will discount even below these prices." He continues "it is a very good time to buy now. Don't be the one who looks back and regrets not buying when the time and the price were right."

Buyers paying cash for their property are in a great position to negotiate a sales price with the seller. Sellers understand that a buyer with cash will make the escrow procedure easy and quick. Buyers are using their cash as an incentive to extract additional price reductions and amenities from the sellers such as improvements and furniture. You can find properties with ocean views, mountain views and just views of the beautiful flora and fauna on the Island.

Many sellers of residential real estate desperate to sell their properties are now more open to using the lease/option method to assist buyers to come up with the down payment necessary to purchase the property. Sellers believe that they can lock in a price and a time frame when the property will sell by using the lease/option method. Buyers benefit because they get double duty out of their rent dollar because part or all of their rent payments may be applied to their down payment on the property. It can be a win/win situation for both buyer and seller.

"Buyers are coming from all over the globe today--from Japan, Korea, Canada, Europe (especially Germany and the United Kingdom)" says Joanie Lehr of Remax Realty. She said that "no doubt these buyers are taking advantage of the decline in the value of the U. S. dollar". A buyer purchasing with Euros today gets an automatic 40 percent reduction or more in price because of the strength of the Euro against the U. S. dollar. The strength of other currencies against the U. S. dollar such as the Canadian dollar and the British pound have caused buyers from these countries to have access to price discounts based on the currency alone. Couple the price discounts based on the strength of the currency with the seller's discounted prices and you have a great buyer's market making now the time to buy.

Sitting on the sidelines is not an option for serious buyers wanting a piece of paradise either for themselves or for investment purposes. The window of opportunity is now open to people ready to buy. You can create your own deal with these highly motivated sellers. Forrest Arnold of Kohala Pacific Realty says "The key is to find a property you love---that brings you joy---perhaps the home or land you've always wanted. This is about your dream coming true." The time is now. The place is the Big Island of Hawaii. Whatever your vision of paradise is, you can find it-and now afford it--on the Big Island of Hawaii.

Federal Reserve Leaves Fed Funds Rate at 2.00%

2008-06-25T13:43:19Z

Fed Funds Interest Rate Unchanged

The Federal Reserve left the closely watched Fed Funds interest rate unchanged at 2.00%. This is the first time that the Federal Reserve has not lowered rates since last summer.

Federal Reserve Did Express Concern Over Inflation Worries

Mounting concern was also expressed about inflation and inflation expectations by the Federal Reserve, but there was no hint of an imminent rise in the Fed Funds interest rates at this point in time.

Increase in Reverse Exchanges: Bottom Feeders Are Jumping In Using Reverse Exchanges

2008-06-23T02:24:22Z

We have seen the beginnings of an interesting trend in our current market cycle that involves reverse exchange transactions. The real estate bottom feeders are beginning to jump in and search for investment opportunities, which means the creative transactions are right around the corner. However, we have seen an interesting trend that I thought we would share with you.

Increase in Reverse Exchange Transactions

We've seen a marked increase in the number of phone calls, emails and internet questions asking about reverse exchange structures and procedures, and we have seen an increase in the actual number of reverse exchange transactions that we have opened over the last few weeks.

Buy Replacement Property First With A Reverse Exchange

It appears that the real estate bottom feeders are finding suitable investment real estate first and trying to acquire the properties using a reverse exchange before they have even listed their relinquished properties for sale. They are structuring reverse exchange transactions so that they can acquire their replacement property first and then sell their existing relinquished property within the 180 day exchange period required with Revenue Procedure 2000-37.

Call us with any questions regarding reverse exchange transactions. We are always available to assist you. Hope you all had a great weekend.

1031 Exchange Workshop in Irvine, California on Wednesday, June 25, 2008

2008-06-22T17:08:42Z

Intermediate Level 1031 Exchange Seminar

This is an intermediate level workshop on forward, reverse and improvement (build-to-suit or construction) tax-deferred, like-kind exchange transactions pursuant to Section 1031 of the Internal Revenue Code and Section 1.1031 of the Treasury Regulations.

Educational Workshop Content

The educational workshop will begin with an introduction to various tax-deferral and tax-exclusion strategies, including combining Section 1031 with Section 121. The discussions will focus on the requirements, structures, processes, strategies, and compliance issues necessary to successfully complete a tax-deferred, like-kind exchange transaction. We will finish with an explanation of the new fractional ownership opportunities of tenant-in-common property interests (TIC or CORE Interests) used as like-kind replacement property solutions pursuant to Revenue Procedure 2002-22.

There will be plenty of time for open discussions, questions and answers with our 1031 exchange experts. Handout materials will be provided for future reference.

Who Should Attend?

Continuing Education Credit (CE Credit)

Two (2) hours of continuing education credit will be provided to:

California real estate agents/brokers
Certified Public Accountants (CPAs)
Certified Financial Planners (CFPs).

Deli Lunch Provided

A deli lunch and drinks will be provided by Exeter 1031 Exchange Services, LLC.

Speakers

William L. Exeter
President and Chief Executive Officer
Exeter 1031 Exchange Services, LLC

Kim Englert, MBA, Paralegal
Business Development Officer
Exeter 1031 Exchange Services, LLC

RSVPs Required

Visit http://www.exeter1031.com/1031_Exchange_Seminar_Irvine_Orange_County_2.aspx for complete details and to reserve your seat now. Seating is limited to the first 15 who RSVP.

Keep On Keep'n On......The World According to Exeter and Kiplinger.....

2008-06-19T19:40:01Z

Slight Pick-up In 1031 Exchange Volume

We are still seeing signs that we have hit the bottom of the real estate market in terms of transaction volume or activity. The weekly 1031 exchange transaction volume has been slowly increasing (the key word is slowly) in our operation since late February 2008, but at an extremely slow snails pace.

We still think there is 12 to 18 months to go before we have hit the bottom in terms of price or market valuation, but at least the transaction activity has started to pick-up. It has been volatile to say the least and will probably continue to be so for the foreseeable future.

The World According To The Kiplinger Letter

You have probably seen me quoting The Kiplinger Letter before. They are usually pretty dead on when it comes to predicting the economy. There is no media bias there, just the plain facts and simple truth. So, having said that, here is a quote from The Kiplinger Letter dated June 13, 2008:

"There are some glimmers of light in housing as well. Realtors say pending home sales rose in April, though figures are still way below year earlier numbers. Bargain hunters are beginning to enter the markets...especially in the West and Midwest ...the first sign of a turnaround that should have housing sales start to pick up as prices bottom out next year."

We certainly agree with this and it falls in line with what we are seeing and experiencing. The real estate downturn has also cleansed the market with the stronger companies surviving. Those who expected the market cycle were prepared for it and those who did not are not around anymore.

So, what to do? Keep on Keep'n on.....

Help, I Need To Extend My 1031 Exchange ID Deadline

2008-06-19T10:50:01Z

We hear this comment all the time. It is usually more of a plea or in a state of panic than a comment or question. The 45 calendar day deadline to identify your like-kind replacement property is a very short window of time.

1031 Exchange Deadlines Are Law

Unfortunately, there is no way to postpone the 1031 exchange identification or completion deadlines, unless you or one of the subject properties in your 1031 exchange has been affected by a natural disaster such as a fire, flood, hurricane, etc.

The 1031 exchange deadlines or due dates are actually part of the tax code or law and are not part of the Treasury Regulations (i.e. Section 1031 of the Internal Revenue Code), and as such can not be changed without intervention from Congress. The IRS does not even have the authority or ability to change, alter or postpone the 1031 exchange day deadlines.

Introducing The 1031 Exchange Institute

2008-06-16T00:53:46Z

The 1031 Exchange Institute

Welcome to The 1031 Exchange Institute. We decided that there was a need for a more interactive internet presence that would help educate, provide educational articles, forum discussions and blog posts specifically on 1031 exchange and TIC investment related issues.

So, we rolled out the The 1031 Exchange Institute. It's your online source for 1031 exchange information, resources and 24/7 assistance.

The 1031 Exchange Institute is dedicated to educating and informing real estate investors and their advisors on the benefits of 1031 tax-deferred exchanges so they can make better informed investment decisions.

1031 Exchange of Internet Domain Names

2008-06-12T17:52:29Z

Those who work in the investment real estate world are most likely already familiar with the 1031 exchange income tax strategy where you can sell real property that has been held for rental or investment and defer the payment of your capital gain taxes by acquiring replacement property.

Personal Property 1031 Exchange

What you may not know is that the 1031 exchange strategy also applies to personal property. Personal property that is rented or leased, held for investment or used in your trade or business qualifies for tax-deferred exchange treatment under Section 1031 of the Internal Revenue Code as a personal property 1031 exchange.

1031 Exchange Process Is Virtually The Same

The processes and requirements for a personal property 1031 exchange are virtually the same with some limited exceptions. The most notable exception is the definition of like-kind property when personal property is involved. The like-kind standard is much more restrictive for personal property, so always consult with your 1031 exchange Qualified Intermediary before proceeding with a personal property 1031 exchange.

Unique Personal Property 1031 Exchanges

The ability to 1031 exchange personal property opens the door to some very interesting 1031 exchange transactions. Those of you in agricultural or rural areas may have heard that livestock can be exchanged (as long as it is the same sex), but those in more urban areas may not be very familiar with this.

1031 Exchange Of Internet Domain Names

The one area that I have seen change and grow quite a bit over the last few years is the 1031 exchange of internet domain names that have been used in a trade or business or held for investment. Some internet domain names can become quite valuable for any number of reasons, and the ability to defer the income taxes due on the sale of the internet domain name can be an incredible tool. It allows the owner of the internet domain name to defer the payment of his or her income tax liabilities by acquiring other replacement internet domain names. It allows the owner to improve his or her positions in terms of internet domain names without getting hit with taxes because all of their equity remains invested.

It is important to note that internet domain names that have been acquired and held specifically for sale (i.e. inventory in your business) generally will not qualify for 1031 exchange treatment. The mere generation of profit does not mean that it was held for investment.

San Diego 1031 Exchange Workshop with DRE Credit

2008-06-09T15:05:01Z

It's Not Another 1031 Exchange Seminars, It's a Workshop

1031 exchange workshop on the requirements, structures, processes, strategies, and compliance issues necessary to successfully complete a 1031 exchange. Continuing education credits available for Realtors, CPAs and CFPs. It's NOT just another 1031 exchange seminar.

California DRE Credit Provided to Realtors

2.0 hours of DRE continuing education credits are provided by Exeter 1031 Exchange Services, LLC.

Reservations Required

You can visit http://www.exeter1031.com/1031_exchange_seminar_san_diego_b.html for complete details and to RSVP. Reservations are required, and there are only three (3) spots left. You can also contact Suzanne Davis at (866) 393-8370.

We look forward to seeing you there.

Candidates: How Do They Stack Up on Income Taxes?

2008-06-08T23:18:45Z

The media is actually right this time. This election really will matter. There are significant differences between Senators McCain and Obama when looking at income tax policy.

Changes in income tax policy should be a major concern for all of us since we are all connected to the real estate industry in some form or fashion. The changing of the guard this January may result in some huge changes in income tax policy, so I thought I would help summarize the differences between Senators McCain and Obama.

The biggest changes would result if the Democratic Party wins the White House and achieves further victories in the House and Senate. Senator Obama would govern with a relatively free hand. But, if Senator McCain should win the White House, we will have at least four years of gridlock because the Democratic controlled House and Senate will not permit him to pass his bills.

So, having said that, let's move into the candidates difference on income tax issues.

Income Taxes - General

Senator McCain would ask Congress to make all of Bush's tax cuts permanent. Senator Obama has always favored the middle class and would propose keeping the tax breaks for the middle class and would add some for seniors and low income taxpayers. Senator Obama would raise taxes on families that make over $200,000 per year, although those families face an increase even if Senator McCain wins because Congress will most likely not vote to extend the tax cuts for high income earners anyway.

Income Tases - Capital Gain

This category is near and dear to our heart, especially mine, since we administer 1031 exchanges all day long. Senator McCain wants to cap the capital gain rate at 15%. Senator Obama has publicly stated that he favors raising the rate to 20% or higher, but may not get that because the Democratic Party is divided over the issue.

Income Taxes - Corporate

Senator Obama wants to keep the top rate at 35%. Senator McCain would like to lower it to 25%, but the Democratic controller Congress will most likely not cooperate. Senators Obama and McCain would both close certain loopholes.

Income Taxes - Estate

We have to be careful here. There has been lots of talk about getting rid of the estate tax altogether, but that would also mean that we would lose the step-up in basis and our heirs would have to pay capital gain taxes at our cost basis.

Senators Obama and McCain both favor big exemptions as opposed to repealling the estate tax across the board. Senator McCain would propose a maximum exemption of $10 million, but would most likely on get $5 million pushed through a Democratic controlled Congress. Senator Obama favors a more realistic $3.5 million.

The step-up in cost basis should be safe for now given the two candidates positions here.

Other Taxes - Social Security

Senator McCain favors looking in to limited use private retirement accounts of some sort where Senator Obama would prefer to raise the limit on the base wage subject to social security taxes.

Candidates: How Do They Stack Up on Income Taxes?

2008-06-08T23:13:19Z

The media is actually right this time. This election really will matter. There are significant differences between Senators McCain and Obama when looking at income tax policy.

So, having said that, let's move into the candidates difference on income tax issues.

Income Taxes - General

Income Tases - Capital Gain

Income Taxes - Corporate

Income Taxes - Estate

The step-up in cost basis should be safe for now given the two candidates positions here.

Other Taxes - Social Security

Senator McCain favors looking in to limited use private retirement accounts of some sort where Senator Obama would prefer to raise the limit on the base wage subject to social security taxes.

Non-Safe-Harbor Reverse Exchange Strategy Continued ......

2008-06-07T23:58:27Z

I addressed safe harbor reverse exchange structures in my last blog post. I will go into more detail as to how a non-safe-harbor reverse exchange might be structured in today's market.

Deciding On Reverse Exchange Structure

Reverse exchanges structured pursuant to Rev. Proc. 2000-37 must be structured differently from those that are structured using a non-safe-harbor reverse exchagne structure. You must decide up front if you will be able to follow the safe harbor guidelines or if you will most likely not be able to stay within the 180 calendar day deadline and will need to proceed with a non-safe-harbor reverse exchange.

Non-Safe-Harbor Reverse Exchange Structure Quite Different

The non-safe-harbor reverse exchange must be structured quite differently from the safe harbor provisions provided in the Rev. Proc. 2000-37. The structure can not take advantage of any of the non-arms-length safe harbor provisions provided in Rev. Proc. 2000-37 and must be structured such that the Exchange Accommodation Titleholder set-up by the Qualified Intermidiary will be functioning in a principle capacity and not in an agency capacity as with the safe harbor reverse exchange.

Substantially More Risk to the Qualified Intermediary

These non-safe-harbor reverse exchange structures pose a much greater risk to the Qualified Intermediary and related Exchange Accommodation Titleholder, so care must be taken in evaluating prospective non-safe-harbor reverse exchange providers.

Separate Entities Involved

The Qualified Intermediary should not use the same corporate entities for non-safe-harbor reverse exchanges that are used for regular 1031 exchange transactions. There is a greater amount of risk involved, so separate legal entities should be put into place in order to better protect the overall Qualified Intermediary operation and its other clients.

Non-Safe-Harbor Reverse Exchange Strategy

2008-06-07T23:20:51Z

Safe Harbor Reverse Exchanges

I addressed safe harbor reverse exchange structures in my blog post from yesterday. I discussed the fact that a safe harbor reverse exchange will qualify for tax-deferred exchange treatment and will not be challenged by the IRS provided the safe harbor parking arrangements contained within Rev. Proc. 2000-37 are followed.

Safe Harbor Provisions Only

Rev. Proc. 2000-37 merely provides certain safe harbor provisions that you can rely upon when structuring a reverse exchange transaction. Safe harbor provisions essentially mean that the IRS will not challenge the transaction if you follow the safe harbor provisions.

It is possible to structure a reverse exchange that falls outside of the safe harbor provisions and still qualify for tax-deferred exchange treatment. The challenge is that since the transaction is structured outside of the safe harbor provisions or guidelines we may find outselves in uncharted territory because we have no guidance from the IRS.

Reverse Exchange Structure Must Be Decided Upfront

Reverse exchanges structured pursuant to Rev. Proc. 2000-37 must be structured very different from those that are structured using a non-safe-harbor structure, so you must decide up front if you will be able to follow the safe harbor guidelines or if you will most likely not be able to do so.

Those reverse exchanges that can be completed within the required reverse exchange deadlines will be structured as safe harbor reverse exchanges, and those where it is obvious that the transaction will take significantly longer than the required 180 calendar day deadline under the safe-harbor provisions must be structured as non-safe harbor reverse exchanges from the very beginning.

Real estate exchanges that will involve building or constructing building from the ground up are typical examples where the non-safe-harbor reverse exchange structure may be needed because the construction can take well over 18 to 24 months and be well outside of the standard reverse exchange deadlines.

There is considerable risk that the IRS would disqualify your reverse exchange if you structure your reverse exchange under the safe harbor provisions and then change the structure toward the end of the 180 calendar day deadline.

Non-Safe-Harbor Reverse Exchanges

Stay tuned for the structure and mechanics involved with a non-safe-harbor reverse exchange.

1031 Exchange Quick Facts Sheet: Your 1031 Exchange Checklist

2008-06-07T18:19:51Z

1031 exchanges can be extremely complicated tax deferred strategies for the sale of investment property and subsequent purchase of like-kind replacement real property. There are so many details that must be followed in order to ensure that the real estate investor's 1031 exchange qualifies under Section 1031 of the Internal Revenue Code and Section 1.1031 of the Treasury Regulations that it can be extremely confusing for the investor and his or her advisors alike.

1031 Exchange Quick Facts: Your 1031 Exchange Checklist

So, we decided it was time to create the 1031 exchange Quick Facts Sheet that helps you quickly identify the major issues that need to be addressed and reviewed as part of a 1031 exchange transaction. This will help you ensure that your client has met the 1031 exchange requirements.

1031 Exchange Help 24/7

And, as always, the senior 1031 exchange advisors with Exeter 1031 Exchange Services, LLC are always available 24 hours a day, 7 days a week, to assist you with the planning and implementation of your 1031 exchange transaction.

How can we help you and your client?

1031 Exchange and TIC Investment Property Seminar in Fresno, California

2008-06-07T14:20:48Z

1031 Exchange and TIC Investment Property Seminar in Fresno, California

We are rolling out a 1031 exchange and TIC investment property seminar on Friday, June 13, 2008 in Fresno, California from 11:30 AM to 2:00 PM.

Speaker

You can learn the basics of 1031 exchanges from Steve Monk, vice president and regional manager, EXETER 1031 Exchange Services, LLC. There will also be a registered securities representative presenting 1031 TIC investment properties and more.

Lunch Provided

Lunch will be served. Attendees must be accredited investors. RSVPs are required.

Learn more about TICs.

Here is a recent interview conducted with a number of industry professionals regarding the state of the TIC investment property market: http://www.exeter1031.com/pdfs/California_RE_Journal_TIC_roundtable_2006.pdf

Learn More About TIC Investment Properties and 1031 Exchanges: Bakersfield, CA

2008-06-07T14:17:08Z

1031 Exchange and TIC Investment Property Seminar in Bakersfield, California

We are rolling out a 1031 exchange and TIC investment property seminar on Thursday, June 12, 2008 in Bakersfield, California from 6:30 PM to 9:00 PM.

Speaker

Dinner Provided

Dinner will be served. Attendees must be accredited investors. RSVPs are required.

Learn more about TICs.

1031 Exchange Workshop in Fresno, California with DRE Credit

2008-06-07T01:03:18Z

1031 Exchange Workshop - NOT Just Another 1031 Exchange Seminar

See all of our 1031 exchange seminar programs.

Intermediate Level 1031 Exchange Seminar

1031 Exchange Workshop Content

The 1031 exchange educational workshop will begin with an introduction to various tax-deferral and tax-exclusion strategies, including combining Section 1031 with Section 121. The discussions will focus on the requirements, structures, processes, strategies, and compliance issues necessary to successfully complete a 1031 exchange transaction. We will finish with an explanation of the new fractional ownership opportunities of tenant-in-common property interests (TIC or CORE Interests) used as like-kind replacement property solutions pursuant to Revenue Procedure 2002-22.

There will be plenty of time for open discussions, questions and answers with our 1031 exchange experts. Handout materials will be provided for future reference.

Who Should Attend?

Anyone interested in gaining a more in-depth understanding of the processes and requirements for completing successful 1031 exchange transactions, including investment property owners, accountants, attorneys, corporate officers, certified financial planners and real estate agents and brokers (Realtors©).

Continuing Education Credit (CE Credit)

Two (2) hours of DRE credit are available for licensed California real estate agents/brokers
Two (2) hours of CE credit will be provided to licensed California Certified Public Accountants (CPAs)
Two (2) hours of CE credit will be provided to licensed Certified Financial Planners (CFPs).

Deli Lunch Provided

A deli lunch and drinks will be provided by Exeter 1031 Exchange Services, LLC

Speakers

Steven W. Monk
Vice President and Regional Manager
Exeter 1031 Exchange Services, LLC

Date and Time

Wednesday, July 16, 2008
11:20 AM Registration
11:30 AM - 2:00 PM Workshop

You can learn more at http://www.exeter1031.com/1031_exchange_seminar_fresno.html.

1031 Exchange Workshop in San Diego, California with DRE Credit

2008-06-05T22:10:28Z

1031 Exchange Webinar

See all of our 1031 exchange seminar programs.

Intermediate Level 1031 Exchange Seminar

This is a basic to intermediate level workshop on forward, reverse and improvement (build-to-suit or construction) tax-deferred, like-kind exchange transactions pursuant to Section 1031 of the Internal Revenue Code and Section 1.1031 of the Treasury Regulations.

Educational Workshop Content

The educational workshop will begin with an introduction to various tax-deferral and tax-exclusion strategies, including combining Section 1031 with Section 121. The discussions will focus on the requirements, structures, processes, strategies, and compliance issues necessary to successfully complete a tax-deferred, like-kind exchange transaction. We will finish with an explanation of the new fractional ownership opportunities of tenant-in-common property interests (TIC or CORE Interests) used as like-kind replacement property solutions pursuant to Revenue Procedure 2002-22.

There will be plenty of time for open discussions, questions and answers with our 1031 exchange experts. Handout materials will be provided for future reference, including a 250 page Section 1031 Tax Deferred Exchange Reference Manual.

Who Should Attend?

Continuing Education Credit (CE Credit)

Two (2) hours of continuing education credit will be provided to:

California real estate agents/brokers
Certified Public Accountants (CPAs)
Certified Financial Planners (CFPs).

Deli Lunch Provided

A deli lunch and drinks will be provided compliments of Exeter 1031 Exchange Services, LLC.

Speakers

William L. Exeter
President and Chief Executive Officer
Exeter 1031 Exchange Services, LLC

Gary Wildeson
Director, San Diego Region
TREC Investment Realty

Date and Time

Tuesday, June 10, 2008
11:20 AM Registration
11:30 AM - 2:00 PM Workshop

You can visit our web page at http://www.exeter1031.com/1031_exchange_seminar_san_diego_b.html for complete details and information on reserving a place for you.

IRS Grants Tax and Disaster Relief for Various Storm, Tornado and Disaster Victims

2008-06-02T23:10:18Z

Exeter News Wire

Media Contact:
William L. Exeter
President and Chief Executive Officer
Exeter 1031 Exchange Services, LLC
(619) 615-4210
Email Mr. Exeter

FOR IMMEDIATE RELEASE

IRS Grants Disaster Relief to Storm and Tornado Victims

1031 Exchange 45 and 180 Day Deadlines Extended for Affected Taxpayers

June 2, 2008--San Diego, California--The IRS announced various tax and disaster relief assistance and programs that are available to storm, tornado and other disaster victims. The following is a summary list of the recent IRS announcements with links to the various IRS news releases regarding each ruling, including the extension of the 45 calendar day identification period and the 180 calendar day 1031 exchange period.

Recent Tax and Disaster Relief

Relief for Mississippi storm and tornado victims see News Release
Relief for iowa storm and tornado victims see News Release
Relief for Georgia storm, flood victims see News Release
Relief for Missouri storm, tornado victims, see News Release
Relief for Colorado storm, tornado victims, see News Release
Relief for Oklahoma tornado, flood victims, see News Release
Relief for Maine storm, flood victims, see News Release
Relief for Mississippi storm, flood victims, see News Release
Relief for Arkansas storm, flooding victims, see News Release
Relief for Missouri storm victims, see News Release
Relief for Georgia storm, tornado victims, see News Release

Don't See What You're Looking For? Around the Nation contains links to previously issued disaster relief. You can also contact Exeter 1031 Exchange Services, LLC for assistance in understanding what the rulings provide regarding your 1031 exchange transaction.

You can also visit http://www.exeterco.com/news_irs_disaster_relief_2008_06.aspx for more complete details and links for disaster related assistance.