1031 Exchange
Property held for productive use or investment may be exchanged and the tax deferred under Internal Revenue Code Section 1031. A 1031 Like-Kind Property is real property exchanged for any other real property within the United States or possessions used in business, trade or investment purposes.
1031 Property Is
- Commercial,
- Duplexes,
- Rental Home,
- Vacation Homes,
- Apartments,
- Raw Land,
- Condominiums,
- Second Homes
1031 Property Is Not
- Personal Residence
- Vacation Homes that are not used as rental or income properties
International City Escrow, Inc. and an accommodator/qualified intermediary, such as ours, Exchange Enterprises, Inc., aid the taxpayer in the completion of the exchange of one property for another in a format that qualifies under IRS Section 1031. In lieu of paying tax at the time of sale, the tax is deferred. Deferred tax is same as an interest-free loan from the government.