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
1031 Property Is Not
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.