Can an entity (such as a corporation, partnership, LLC, or trust) do an exchange?
Yes, provided the entity selling the relinquished property is the same as the entity purchasing the replacement property. A partnership interest in one partnership may not be exchanged for a partnership interest in another partnership. A share of stock in one company may not be exchanged for a share of stock in another company. However, legal entities may perform exchanges under 1031.
Related Questions
- My business entity (Corporation, LLC, Partnership, etc) is entirely passive and/or dormant and it is just paying a minimum tax to the Secretary of State. Is it required to get a license?
- My entity’s (corporation, LLC or partnership) status is revoked. What is it and how can I put my company back in good standing?
- Can an entity (such as a corporation, partnership, LLC, or trust) do an exchange?
