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Can a taxpayer complete a 1031 transaction with a related party?

April 26, 2017COMPLETE party taxpayer transaction

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Can a taxpayer complete a 1031 transaction with a related party?

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You can use a 1031 exchange to buyer property from or sell property to a related party, but the related party must then own that property for at least two years before selling or exchanging it. Otherwise, the exchange is invalidated adn you may owe capital gains taxes. Under IRS rules, parents, spouses, siblings and children – anyone related by blood – are considered related parties. I am ready to help you! Internet Savvy – You save time by starting your home search online right here, communicate with me by email or phone, and I will email you new listings as they come on the market.