The Realized Team’s Picks
When Can I Move Into a 1031 Exchange Property?
One of the most important covenants of a 1031 exchange is that the newly acquired property must be held as an investment or for business use.
How Are Capital Gains Taxed If You Move?
Moving to another state can bring logistical, interpersonal, and even financial challenges.
Inheritance Tax: What It Is And How It Works
In 2022 alone, the IRS collected an estimated $33 billion in revenue from inheritance tax. So, what is inheritance tax? And why should it be a critical consideration for people who are estate planning? Realized 1031 has shared a comprehensive guide about inheritance tax and everything you should know about it.
Can I Sell Two Properties and Buy One In a 1031 Exchange?
When participating in a 1031 exchange, you have the option of “swapping” the relinquished property into replacement properties under the Three-Property Rule, the 200% Rule, or the 95% Rule. This means that if your investment stars are in alignment, you could exchange a single relinquished property for multiple replacement properties.
Do I Have to Pay Tax on Stocks If I Sell and Reinvest?
Earning returns is the primary motivation for investing in stocks. Investors may also seek income through dividends, among other goals, but typically buy stocks hoping the value will increase. Early investors in successful businesses can gain substantially by buying stock and selling it when the share price is high.
What is a Section 897 Capital Gain?
In 1980, Congress enacted the Foreign Investment in Real Property Tax Act (FIRPTA) to address concerns about increasing foreign land ownership in the US. The Act implemented a requirement for withholding taxes on foreign entities' sale of US properties. What’s interesting about the withholding requirement is that the property buyer is responsible for ensuring the amount is withheld and transferred to the IRS.
Can Net Operating Losses Offset Capital Gains?
Anytime your business’s losses and allowable deductions exceed its income for a given tax year, you’ll be left with a net operating loss (NOL).
How is Rental Income Taxed When You Have a Mortgage?
Owning rental property has positive benefits. One of those benefits could be potential cash flow from tenant payments. However, most incomes are subject to some kind of tax, and rental income is no different. But if you took out a mortgage to buy or refinance your rental property, how is your rental income taxed?
Using a 1031 Exchange For a Lower-Priced Property: What You Need to Consider
We’ve written many blogs about 1031 exchanges. And the one point we continue to stress in these blogs is that the IRS has specific rules if you want to potentially defer capital gains and depreciation recapture taxes through a like-kind exchange.
