Under the Tax Cuts and Jobs Act, Section 1031 now applies only to exchanges of real property and not to exchanges of personal or intangible property.
While there are three basic types of exchanges—simultaneous, reverse and deferred—95 percent are deferred. In a deferred exchange, when selling an investment property, the Internal Revenue Code allows a seller 45 days from the closing of the relinquished property to identify up to three replacement properties), and 180 days to close on the identified properties. The requirements of a 1031 exchange are strict. We take pride in our personal service and quick response. As Qualified Intermediary, we are prohibited from giving specific tax advice. However, we are happy to provide information about 1031 exchanges and to work with your tax advisor to structure your transaction as a 1031 exchange. Please call our office to set up an appointment if you are interested in additional information about our exchange services.