Saturday, September 17, 2011

1031 Exchange Requirements Preplaning

1031 Exchange Requirements: Preliminary Step
While the IRS guidelines list the official 1031 Exchange Requirements the most important unlisted requirement is is careful prior preparation the part of the taxpayer before commencing the exchange process. The preparedness requires meetings with an accountant, attorney, broker, lender as well as a Qualified Intermediary (the legally mandated middle-man who performs the exchange process) to set up the framework for the process..

To begin with, the taxpayer must ensure that the relinquished

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