How Long Can You Wait to Do a 1031 Exchange After the Selling of Farmland?
A successful 1031 exchange process requires strict adherence to deadlines and an understanding of regulations. One example is exchanging your relinquished property for a replacement property (or properties) of equal or greater value.
What Type of Properties Benefit from a 1031 Exchange?
As mentioned in previous blogs, the only things certain in life are death and taxes. And what’s certain is that if you sell a real estate property, you’ll have to pay, at the very least, capital gain and depreciation recapture taxes.
What Are Tax Planning Strategies When Your Clients Are Selling a Business?
Selling a business at a profit can generate a large tax bill. Experienced business owners know that successfully navigating the tax code is a critical skill. We’ll expand on three tax planning methods that business owners can employ to limit their tax impact.
How 1031 Exchanges Work with Delaware Statutory Trusts (DSTs)
For real estate investors, managing capital gains taxes is one of the many challenges. It can be a good news/bad news scenario when you enjoy the appreciation of an asset and want to leverage the gain by reinvesting but are constrained by the need to pay capital gains taxes.
What Are the Delaware Statutory Trust (DST) Trustee Requirements?
A Delaware Statutory Trust (DST) is a prepackaged, professionally managed, passive real estate investment option for accredited investors. DSTs often have relatively low minimums, but they are illiquid, with holding periods typically ranging from five to ten years.
What Are The Advantages and Disadvantages of Joint Tenancy With Right of Survivorship?
Joint tenancy is a reasonably regular set-up that involves real estate ownership by two or more parties. Common types of shared interests include tenancy in common, community property, or joint tenancy with right of survivorship. Each of these arrangements carries pros and cons. But joint tenancy with right of survivorship (JTWROS) can be helpful in the event of death.
Do You Recapture Depreciation on an Installment Sale?
In a previous blog, we discussed the benefits of selling real estate assets through installment sales. Offering an installment sale agreement could widen the buyer pool. Additionally, this method can help decrease capital gains taxes.
Do You Pay Taxes On Capital Gains That Are Reinvested?
One reason why people invest is to generate extra money. When investors sell that asset for more than what they paid, they come away with a profit, known as capital gains. The problem is that the capital gains will likely trigger a taxable event.
What is a Triple Net (NNN) DST?
Triple Net (NNN) leases and Delaware Statutory Trusts (DSTs) are essential options when investing in real estate. For this reason, we will briefly define the function of each and then dig into how they work together effectively.
Can Capital Losses Offset Dividend Income?
Capital losses result from the sale of a capital asset for less than the basis. For example, if you buy stock for $1,000 and after holding it for two years you sell the stock for $500, you have incurred a $500 capital loss. In contrast, if you buy the stock for $1,000 and after holding it for two years you sell it for $3,000, you have earned a capital gain of $2,000.
