Section 1031 For Clients Summary

©1995-2008. Edmund & Wheeler, Inc. all rights reserved.

The information contained in this presentation is for informational purposes only and does not constitute tax, legal or accounting advice.

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Shhhhh.

Don’t tell anyone.

You are eligible forinterest free loans from the USGovernment…

…for as long as they’d like.

…for as many times as they’d like.

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What’s In It For You?

• Defer 100% of capital gains taxes including:• Federal - 15%• State - 3% to 9% (Depending on State)

• Depreciation Recapture - 24%

• Use the deferred gains to enhance your buying power

• Swap ‘til you Drop – You can exchange over and over again

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What’s In It For You?

• Exchange into passive real estate investments• Tenants - in - Common• Oil & Gas

• Exchange into a security• UPREITs

• Exchange into a guaranteed income• Structured Sale

• Exchange into your dream home• Follow the rules!

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Quickly!Section 1031

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Section 1031 is used in less than 10% of the transactions that it

should be!

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Section 1031 is about Relocation and

Reallocation of Assets without Paying Capital

Gains!!!

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Any Real Property Can Be Exchanged For Any Other

Real Property!

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Section 1031 can be used to dramatically increase the value of

holdings by leveraging Uncle Sam’s money.

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Nearly every tax paying entity qualifies for a

Section 1031 Exchange!

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Personal property can also be Exchanged.

“Like-kind” is literal!

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There are replacement options available for

Section 1031

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Tenants-In-CommonManagement Free Real Estate Investments in Grade A Properties

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UPREITExchange into a Real

Estate Investment Trust

(A Security)

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Oil & GasA timely alternative to

owning real-estate with the same benefits and

flexibility.

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Structured SalesAn annuity based

“Paycheck” for failed exchanges and

business transfers.

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Does Your Situation Qualify?

http://www.section1031.com/qualify/WhatQualifies.htm

This tool can assist you in determining if your particular circumstances could benefit from Section 1031.

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Also…

• Time limits of 45 and 180 days• Properties must be “Like-Kind”• Business or Investment Purpose• Relinquished and Replacement Properties held

by same taxpayer• Exchanges can be done either forward or reverse

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If you are considering an Exchange….

• Contact a professional BEFORE closing on your property:– Your Accountant– Your Attorney– Your Financial Advisor– A Qualified Intermediary

• Do your homework on Section 1031