1031 News

The IRS has issued extensions of exchange transactions under the guidelines set forth around federally declared disasters in California, Florida, and Louisiana. Accruit suggests that affected taxpayers consult with their tax and legal professionals as well as confirm on IRS website for any updates.

Filing form 8824 is not simply "another" tax form. It is a critical step to appropriately document that a like-kind exchange has occurred. Once those financial statements are complete, accountants can utilize this information to prepare related tax returns. For owners who have completed a 1031 like-kind exchange, Form 8824 will need to be prepared and filed with the Internal Revenue Service (IRS).

Over the past 100 years, Section 1031 has grown and evolved. Regulations have been added such as creating the function of the Qualified Intermediary, and we've seen the elimination of personal property. In this post, Martin Edwards explores the Exchange Cooperation Clause, once a requirement for 1031 transactions, is now superfluous paperwork.

...that is the question. On a regular basis, we respond to the following scenario: Members of a partnership or LLC want to sell a property and part ways. The question is asked, "Can we do a 1031 exchange1031 exchange ?" The answer is, "it depends." A core piece of the puzzle lies in the holding periodholding period prior to the sale and exchange. There is no clear test of what is an acceptable "drop and swap" 1031 exchange holding period.