Choosing the right QI can help taxpayers save thousands of dollars in the exchange of their investment properties. Tax Deferred Exchange benefits have been around for quite some time, first introduced in the Internal Revenue Code in 1921. However, at that time, the guidelines provided for simultaneous exchanges – direct swapping of properties taking place at exactly the same time. In today’s market, the timing for these transactions are typically delayed, with one transaction happening at one time and the concluding transaction happening at another. Over the years, there have been several iterations to the Internal Revenue Code that provide for delayed exchanges – exchanges other than direct simultaneous swapping of property. The IRS Tax Code Section 1031 provides safe harbor guidelines for these delayed exchanges that result in the need for a third party entity, independent of the taxpayer’s control, to manage receipt and disbursement of funds and/or property. "Independent of the taxpayer" is the clause that often precludes attorneys, CPAs, and real estate brokers, that have provided professional services to the taxpayer within two years of the transaction, to serve as a Qualified Intermediary.
So what does qualify an intermediary to do business competently in the highly complex area of tax deferred exchanges? With well over 20 years experience in the 1031 Exchange business, Statewide Title Exchange Corporation knows that it starts with:
Contact STEC today for more information!
WASHINGTON STATE LAW REQUIRES CERTAIN DISCLOSURES ON THIS WEBSITE
FOR ALL EXCHANGES OF RELINQUISHED PROPERTY LOCATED IN THE STATE OF WASHINGTON
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