Posted by Earl on July 13, 2003 at 05:44:08:
John or anyone, a question on that. Isn’t it true when you sell via 1031 exchange you not only avoid the long term capital gains tax, but you also defer the recapture on depreciation, (which could be a lot) you also avoid placing yourself into a higher tax bracket so you may avoid or defer some ordinary taxable income, and and you may also defer state tax as well? (in some states) so that overall, the capital gains tax may be only a small portion of the taxes you may avoid/defer. All the more reason for doing 1031s’. Do I have that right?
As always, thanks for everyone’s great advice.