rule 1031

[mooseski54]

What is the name of your state? Texas
If a partnership owns real estate and sells said real estate, then the patnership dissolves. Can the individual partners defer captiol gains tax under rule 1031?

[tdavidl]

i don't believe so. i believe the properties must have the same owner, so if the owner of the r/e being given up is owned by a partnership & then an individual owns the property to be received, that doesn;t qualify.

if you disssovled the prtnrshp before selling the r/e so you are now owner of 50% of the r/e you may be able to use code sec 1031 for your half.

you should consult with a tax professional to clarify this. code sec 1031 sounds simply, however, if you don't dot the I's and cross the T's then the gain won't qualify for tax deferral.

[Snipes5]

You need a 1031 Facilitator. Worth their weight in gold.

You must set up the 1031 BEFORE you sell the property.

Snipes

[mooseski54]

What is a 1031 facilitator? Who do you use for that job?

[Snipes5]

A Real Estate or Tax Attorney in your area should be able to refer you.

A 1031 facilitator is someone who arranges 1031 exchanges and handles the paperwork, which is complicated.

Snipes