{"id":27294,"date":"2018-12-04T15:29:40","date_gmt":"2018-12-04T20:29:40","guid":{"rendered":"https:\/\/www.affiliated1031.com\/november_18th-_a_very_important_date_for_section_1031_exchanges\/"},"modified":"2018-12-04T15:29:40","modified_gmt":"2018-12-04T20:29:40","slug":"november_18th-_a_very_important_date_for_section_1031_exchanges","status":"publish","type":"post","link":"https:\/\/www.affiliated1031.com\/es\/november_18th-_a_very_important_date_for_section_1031_exchanges\/","title":{"rendered":"November 18th \u2013A VERY IMPORTANT DATE FOR SECTION 1031 EXCHANGES!"},"content":{"rendered":"<div  class=\"tatsu-h6utvh03ge3fov3x tatsu-section  tatsu-bg-overlay   tatsu-clearfix\" data-title=\"\"  data-headerscheme=\"background--dark\"><div class='tatsu-section-pad clearfix' data-padding='{\"d\":\"15px 0px 15px 0px\"}' data-padding-top='15px'><div class=\"tatsu-row-wrap  tatsu-wrap tatsu-row-one-col tatsu-row-has-one-cols tatsu-medium-gutter tatsu-reg-cols  tatsu-clearfix tatsu-h6utvh03jadjst2l\" ><div  class=\"tatsu-row \" ><div  class=\"tatsu-column  tatsu-bg-overlay tatsu-one-col tatsu-column-image-none tatsu-column-effect-none  tatsu-h6utvh03le7q7omy\"  data-parallax-speed=\"0\" style=\"\"><div class=\"tatsu-column-inner \" ><div class=\"tatsu-column-pad-wrap\"><div class=\"tatsu-column-pad\" ><div  class=\"tatsu-module tatsu-text-block-wrap tatsu-h6utvh03ng3fu1dm  \"><div class=\"tatsu-text-inner tatsu-align-center  clearfix\" ><style>.tatsu-h6utvh03ng3fu1dm.tatsu-text-block-wrap .tatsu-text-inner{width: 100%;text-align: left;}<\/style>\n<p style=\"font-weight: 400;\"><em><strong>THE PROBLEM:<\/strong><\/em>\u00a0On a\u00a0<strong>Section 1031 Tax Deferred Exchange,<\/strong>\u00a0the taxpayer has 45 days from the closing of the sale of the relinquished property, to identify possible replacement properties. Should the taxpayer close on the sale of their relinquished property on or after\u00a0<strong>November 18th<\/strong>\u00a0and the taxpayer does not identify replacement property\u00a0by the end of the identification period (the 45th day), the\u00a0<strong>Taxpayer\u2019s Section 1031 exchange will have failed.<\/strong>\u00a0\u00a0The taxpayer will then have the option of paying the taxes due in the year of the sale of the relinquished property or in the year the Section 1031 transaction failed.<\/p>\n<p><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p style=\"font-weight: 400;\"><strong><em>AN EXAMPLE<\/em>:\u00a0<\/strong><strong>\u00a0<\/strong>Taxpayer closes on the sale of their relinquished property on November 19, 2018. \u00a0\u00a0The last day for the taxpayer to identify (the 45th day) ends on January 2, 2019.<\/p>\n<p>Although the taxpayer had a \u201cbona fide intent\u201d to enter into the tax-deferred exchange at the beginning of the exchange period,\u00a0the taxpayer failed to timely identify any possible replacement properties. \u00a0The taxpayer will have a choice of which tax year to pay the taxes due on this property, either tax year 2018 or tax year 2019. \u00a0<strong>IRS Reg. Section 1.1031(k)-1(j)(2).<\/strong><\/p>\n<p>This same rule should apply if the taxpayer had closed on the sale of their relinquished property prior to November 18; properly identified within its 45 day identification period and\u00a0<strong>failed to close on their replacement property within its 180 day period for closing which expired in the next tax year.<\/strong>\u00a0\u00a0The taxpayer would then have the same option of choosing which year to pay the tax that is due\u2014the year the 1031 process began or the year the 1031 transaction failed.<\/p>\n<p>At Liberty 1031, we always recommend that the taxpayer consult with their tax and\/or legal counsel on all matters dealing with the Internal Revenue\u00a0Serice.<\/p>\n<p>For more information on Section 1031 issues go to our website:\u00a0<a href=\"https:\/\/liberty1031.com\/\">www.liberty1031.com<\/a>\u00a0and visit the\u00a0<a href=\"https:\/\/liberty1031.com\/faqs.html\">FAQ section<\/a>.\u00a0 Or call us today\u00a0at 866.903.1031.<\/p>\n<\/div><\/div><\/div><\/div><div class = \"tatsu-column-bg-image-wrap\"><div class = \"tatsu-column-bg-image tatsu-bg-lazyload\" data-src = \"\"><\/div><\/div><div class=\"tatsu-overlay tatsu-column-overlay tatsu-animate-none\" ><\/div><\/div><style>.tatsu-row > .tatsu-h6utvh03le7q7omy.tatsu-column{width: 100%;}.tatsu-h6utvh03le7q7omy.tatsu-column > .tatsu-column-inner > .tatsu-column-overlay{mix-blend-mode: normal;}.tatsu-h6utvh03le7q7omy > .tatsu-column-inner > .tatsu-top-divider{z-index: 9999;}.tatsu-h6utvh03le7q7omy > .tatsu-column-inner > .tatsu-bottom-divider{z-index: 9999;}.tatsu-h6utvh03le7q7omy > .tatsu-column-inner > .tatsu-left-divider{z-index: 9999;}.tatsu-h6utvh03le7q7omy > .tatsu-column-inner > .tatsu-right-divider{z-index: 9999;}<\/style><\/div><\/div><\/div><\/div><div class=\"tatsu-section-background-wrap\"><div class = \"tatsu-section-background tatsu-bg-lazyload\" data-src = \"\"><\/div><\/div><div class=\"tatsu-overlay tatsu-section-overlay\"><\/div><style>.tatsu-h6utvh03ge3fov3x .tatsu-section-pad{padding: 15px 0px 15px 0px;}.tatsu-h6utvh03ge3fov3x > .tatsu-bottom-divider{z-index: 9999;}.tatsu-h6utvh03ge3fov3x > .tatsu-top-divider{z-index: 9999;}.tatsu-h6utvh03ge3fov3x .tatsu-section-overlay{mix-blend-mode: normal;}<\/style><\/div>\n","protected":false},"excerpt":{"rendered":"<p>THE PROBLEM:\u00a0On a\u00a0Section 1031 Tax Deferred Exchange,\u00a0the taxpayer has 45 days from the closing of the sale of the relinquished property, to identify possible replacement properties.<\/p>\n<div><a href=\"https:\/\/www.affiliated1031.com\/es\/november_18th-_a_very_important_date_for_section_1031_exchanges\/\" class=\"exp-read-more exp-read-more-underlined\">Read More<\/a><\/div>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","footnotes":""},"categories":[57],"tags":[58,59,62,60],"class_list":["post-27294","post","type-post","status-publish","format-standard","hentry","category-1031-exchange-basics-es","tag-1031-exchange-es","tag-liberty-1031-es","tag-qualified-intermediary-es","tag-section-1031-exchange-es"],"_links":{"self":[{"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/posts\/27294","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/comments?post=27294"}],"version-history":[{"count":0,"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/posts\/27294\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/media?parent=27294"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/categories?post=27294"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.affiliated1031.com\/es\/wp-json\/wp\/v2\/tags?post=27294"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}