8 Costly “No No’s” In An Exchange That Can Result In Big Tax Consequences
Understanding taxation is instrumental when advising your client through a 1031 exchange transaction.
“Rules surrounding 1031 exchanges are exacting, and mistakes can result in big tax consequences.” -ThinkAdvisor
Brush-up on these eight common & avoidable mistakes that investors tend to make:
1) Overpaying for replacement properties
2) Choosing the wrong qualified intermediary
3) Improperly setting up a 1031 exchange
4) Buying something that doesn’t make sense
5) Bungling financial statements
6) Believing 1031 exchanges eliminate taxes
7) Running out of time
8) Lack of proper tax planning
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Stephen K. Davis
Safe Harbor Asset Management
167 East Main Street
(631) 421-4341