section 1031 for clients summary
TRANSCRIPT
©1995-2008. Edmund & Wheeler, Inc. all rights reserved.
The information contained in this presentation is for informational purposes only and does not constitute tax, legal or accounting advice.
Compliments of…
Shhhhh.
Don’t tell anyone.
You are eligible forinterest free loans from the USGovernment…
…for as long as they’d like.
…for as many times as they’d like.
Compliments of…
What’s In It For You?
• Defer 100% of capital gains taxes including:• Federal - 15%• State - 3% to 9% (Depending on State)
• Depreciation Recapture - 24%
• Use the deferred gains to enhance your buying power
• Swap ‘til you Drop – You can exchange over and over again
Compliments of…
What’s In It For You?
• Exchange into passive real estate investments• Tenants - in - Common• Oil & Gas
• Exchange into a security• UPREITs
• Exchange into a guaranteed income• Structured Sale
• Exchange into your dream home• Follow the rules!
Compliments of…
Quickly!Section 1031
Compliments of…
Section 1031 is used in less than 10% of the transactions that it
should be!
Compliments of…
Section 1031 is about Relocation and
Reallocation of Assets without Paying Capital
Gains!!!
Compliments of…
Any Real Property Can Be Exchanged For Any Other
Real Property!
Compliments of…
Section 1031 can be used to dramatically increase the value of
holdings by leveraging Uncle Sam’s money.
Compliments of…
Nearly every tax paying entity qualifies for a
Section 1031 Exchange!
Compliments of…
Personal property can also be Exchanged.
“Like-kind” is literal!
Compliments of…
There are replacement options available for
Section 1031
Compliments of…
Tenants-In-CommonManagement Free Real Estate Investments in Grade A Properties
Compliments of…
UPREITExchange into a Real
Estate Investment Trust
(A Security)
Compliments of…
Oil & GasA timely alternative to
owning real-estate with the same benefits and
flexibility.
Compliments of…
Structured SalesAn annuity based
“Paycheck” for failed exchanges and
business transfers.
Compliments of…
Does Your Situation Qualify?
http://www.section1031.com/qualify/WhatQualifies.htm
This tool can assist you in determining if your particular circumstances could benefit from Section 1031.
Compliments of…
Also…
• Time limits of 45 and 180 days• Properties must be “Like-Kind”• Business or Investment Purpose• Relinquished and Replacement Properties held
by same taxpayer• Exchanges can be done either forward or reverse
Compliments of…
If you are considering an Exchange….
• Contact a professional BEFORE closing on your property:– Your Accountant– Your Attorney– Your Financial Advisor– A Qualified Intermediary
• Do your homework on Section 1031