1031 Exchange Properties in St. Louis, Missouri
A 1031 exchange is a capital gains and recaptured depreciation tax deferral strategy approved by the Internal Revenue Service Code Section 1.1031 given strict adherence to 1031 exchange rules. In St. Louis, Missouri and surrounding communities, 1031 exchanges are used by individual and corporate investors owning real property such as rental property, self storage facilities and shopping centers.
1031 Exchange Properties
When real property is sold a tax triggers federal, state if applicable and a 25% recaptured depreciation tax. The taxes can represent upwards of 40% of the sale. It is prudent tax strategy to determine with your CPA whether a 1031 exchange is of benefit given the tax situation.
Intent and Facts
In addition each 1031 exchange property shares similar intent and facts to support the intent. The intent is to hold as an investment or for use in a business or trade. The facts include a hold time of at least a year and a day to two years and longer, limited personal use and not considered an inventory item given inventory is not eligible for a 1031 exchange.
A partial list of real and personal property eligible for 1031 tax deferred exchanges includes:
Atlas 1031 Exchange meticulously manages each 1031 exchange depositing the exchange proceeds into an interest bearing non commingled account. The account requires a personal identification number known only to the Exchangor and the bank or the use of a Qualified Escrow Account that requires dual signatures with one being the notarized signature of the Exchangor authorizing the disbursement.
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