1031 Fun Facts with Tina Colson-Jones
Gotta Minute – Learn A Lot!
Instead of facing taxes of a third or more on your gain with a sale of your investment property, put that money into a new investment with the 1031 Exchange. In 2024, all you need to know are these simple rules… tune into our latest 1031 Exchange fun fact with Tina Colson-Jones to get started today!
Read the Full Transcript
Tina Colson: Hi friends, for today’s 1031 Exchange fact, we’re going to get.
Fly like a G6, well, it may not be as much fun as getting… Fly like a G6, but it is all about the G6 rule. A question often asked is when in a qualified intermediary release funds in an Exchange as a QI, we are required to follow the G6 safe harbor and payment is pursuant upon the written Exchange agreement.
Three things that can happen within that 45-day identification process is one the Exchange or does not find a suitable property to purchase. In this case, the Exchangor can cancel their Exchange on day 45, all proceeds are released back to the Exchange on day 46, and the funds received would be tax is a regular sale.
Second thing that can happen is the Exchange or identifies property and somehow it just falls through within that 45-day window, the Exchangor has the ability to identify new property and submit a new ID for him to the QI by day 45 at midnight.
Last, in worst case scenario, if an Exchangor identifies property and it falls through after day 45, if the QI does not have any other properties identified to close on, the Exchange has now failed, funds cannot be released.
Until the end of the 180-day period, we would release funds than on day 181, and again, it would be a taxable sale. Thank you for joining me and I hope you have an amazing day.
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Whether looking for information on simple to complex 1031 issues, Cost Segregation, Life Insurance Contract Sales, DSTs or even Qualified Opportunity Zones you will find information on our channel.
David and Thomas Moore, the co-founders of Equity Advantage & IRA Advantage
Whether working through a 1031 Exchange with Equity Advantage, acquiring real estate with an IRA through IRA Advantage or listing investment property through our Post 1031 property listing site, we are here to help Investors get where they want to be. Call them today! 503-635-1031.
"WASHINGTON STATE LAW, RCW 19.310.040, REQUIRES AN Exchange FACILITATOR TO EITHER MAINTAIN A FIDELITY BOND IN AN AMOUNT OF NOT LESS THAN ONE MILLION DOLLARS THAT PROTECTS CLIENTS AGAINST LOSSES CAUSED BY CRIMINAL ACTS OF THE Exchange FACILITATOR, OR HOLD ALL CLIENT FUNDS IN A QUALIFIED ESCROW ACCOUNT OR QUALIFIED TRUST." RCW 19.310.040(1)(b) (as amended)
David and Thomas Moore, the co-founders of Equity Advantage & IRA Advantage
