1031 Exchange
Hello Gurus We have an LLC with four partners and under that LLC we have a four investment lands we are planning to sell one land with a good gain. Out of four partners one partners want to cash it out and other partners want to do the 1031 exchange, is it even possible? If it dissolve the LLC and make that land as a personal investor can each of the partners get their own share and then decide what to do with that gain correct? And I would like to understand how 1031 exchange work, let's see we bought a landing 100,000 and now we are selling it for $500,000 long term gain and then do the 1031 exchange for whole 500,000, with similar kind land or investment opportunity, and let's say that $500,000 grows in 10 years to 1 million do we pay taxes on just $500,000 gain or $900,000 after 10 years? Thank you very much in advance I appreciate your time and consideration Shetty
