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How Can I defer paying capital gains taxes on investment real estate?

April 26, 2017can i capital gains defer Investment paying Real Estate tax taxes

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How Can I defer paying capital gains taxes on investment real estate?

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Yes, the IRS code section 1031 (aka 1031 exchange) allows investors to defer real estate capital gains taxes. This section applies only to the exchange of “like-kind” business or investment property but does not apply to exchanges of stocks, bonds, or other securities. Properties are considered like-kind if they are the same in nature, character, or class. Investment real estate is tradeable for investment real estate when doing a 1031 exchange. That means you dont have to pay capital gains taxes on investment real estate if you do a 1031 tax exchange!