1031 exchange - Posted by curt

import · September 23, 2003, 10:29pm

Posted by curt on September 24, 2003 at 18:44:20:

thanks

import · September 23, 2003, 10:29pm

Posted by curt on September 23, 2003 at 22:29:57:

I am currently selling some investment properties that are held in joint ownership with my wife. I want to exchange into a new property that I want to be titled as an LLC. Can I exchange DIRECTLY into an LLC that is owned by my wife and I without incurring any tax consequence?

import · September 24, 2003, 3:32pm

Re: 1031 exchange - Posted by William L Exeter

Posted by William L Exeter on September 24, 2003 at 15:32:41:

There is a recent revenue ruling that allows a husband and wife to sell property owned together and acquire replacement property together in an LLC, as long as they live in a community property state, and it will qualify for 1031 exchange treatment if property structured. The issue is whether the LLC is considered to be a single member LLC and therefore ignore or disregarded for tax purposes. The ruling classifies a H&W LLC as a single member LLC and therefore a disregarded entity if the H&W live in a community property state.

Bill Exeter
Diversified Exchange Corporation