Kentucky 1031 Exchange Explained

Kentucky 1031 Exchange Explained

Internal Revenue Code allows a kentucky real estate investor of investment kentucky investment real estate to exchange kentucky investment real estate and defer paying federal and state capital gain taxes (20%+ applicable state taxes) in the event that they purchase a like-kind kentucky investment real estate. A tax-deferred exchange is a method by which a kentucky real estate investor trades one or more relinquished kentucky investment real estate for one or more replacement kentucky investment real estate of like-kind, while deferring the payment of federal income taxes and some state taxes on the transaction. By deferring any applicable taxes, the kentucky real estate investor has more money available to invest in other kentucky investment real estate. In effect, you receive an interest free loan from the federal government in the amount you would have paid in taxes.

When combined with a kentucky 1031 exchange, TIC kentucky investment real estate can be even more attractive. Kentucky 1031 Exchanges allow you to defer capital gains taxes by investing in a like kentucky investment real estate. When using TIC kentucky investment real estate with a kentucky 1031 exchange, you can defer capital gains while diversifying your investments. You can purchase shares of various TIC kentucky investment real estate in different locales with the proceeds of the 1031 sale.

If you are considering the sale of an investment kentucky investment real estate, contact a specialist today to discuss your kentucky 1031 exchange options.