1031 Exchange

A 1031 Exchange is a transaction in which a taxpayer is allowed to exchange one investment property for another and defer the tax consequence of the sale. The transaction is authorized by Section 1031 of the IRS Code. The IRS Code reads: “No gain or loss shall be recognized on the exchange of property held for productive use in a trade or business or for investment, if such property is exchanged solely for property of like kind, which is to be held either for productive use in a trade or business or for investment.”

Please contact Cobalt Settlements for more details.