A 1031 exchange (like-kind exchange) is one of the most significant tax advantages available to a real estate investor selling a property with large realized gains. By implementing this tax strategy, it is possible to defer tax payments on the sale of an investment property indefinitely. While like-kind exchanges are common, there are still many complexities to navigate. Given some of the proposed legislative changes put forth by the Biden administration and members of Congress, it may make sense to accelerate transactions into the 2021 tax year.
Sax LLP has bolstered its real estate team with the addition of a new partner, who returns to the accounting, tax and business advisory firm after starting his career there.
The IRS recently released long awaited guidance on Sec. 1031 (like-kind exchanges) and defines what property qualifies for the deferred tax treatment. With the enactment of Tax Cuts and Jobs Act (TCJA), rules provide that no gain or loss is recognized on the sale or exchange of “real property” held in a trade or business or for investment. Prior to the TCJA, “personal property” (like automobiles, machinery or equipment) applied for the deferral. This change means a real estate investor recognizes gain to the extent of money and personal property ineligible for the tax deferral.
A rendering of an amenity space at Latitude, a two-building, 700,000-square-foot office campus in Parsippany owned by Vision Real Estate Partners and Rubenstein Properties LP — Courtesy: Vision Real Estate Partners/Nelson By Joshua Burd In a region where more than…
Sax LLP is set to move later this year to its new headquarters in Parsippany, where it’s leasing nearly 40,000 square feet within a revitalized office campus.
Sax LLP has entered into a joint venture agreement with a technology company, as it looks to bolster its own capabilities while enhancing services for clients.
One of the state’s top accounting firms will debut its new headquarters this summer, when it moves to a soon-to-be-transformed, two-building office campus in Parsippany.
Office tenants continued their flight to new and improved spaces as 2019 came to a close, furthering the case for landlords to upgrade or redevelop New Jersey’s aging stock of buildings.
Sax LLP has acquired a New York-based accounting firm as part of a move to expand its footprint beyond its home state of New Jersey.
Within the Real Estate world, by now we know that the Tax Cuts and Jobs Act enacted a new opportunity to incentivize real estate investment and development in low-income communities across the country through Qualified Opportunity Zones (“QO Zones”). These designated low-income housing income tracts in the United States (and Puerto Rico) allow investors who previously recognized a taxable gain to defer it by investing the gain proceeds into a Qualified Opportunity Fund (“QO Fund”).