Eastern Michigan Bank offers 1031 Exchange Services through our wholly owned subsidiary, Eastern Michigan Exchange Services, LLC.
Our 1031 Exchange Service provides individuals and companies with comprehensive, like-kind exchange tax deferral solutions and strategies. Participants can postpone or potentially eliminate taxes owed on the sale of qualifying real estate through a properly executed 1031 exchange.
What is a 1031 Exchange?
The "1031" refers to IRS Code § 1031. When a capital asset is sold, capital gain and recaptured depreciation taxes are triggered. If the taxpayer’s intent is to replace the property sold with like-kind property of equal or greater value or even partial value within 180 calendar days, the tax obligation can be deferred indefinitely or until the replacement property is sold. There is no limit to the number of 1031 exchanges a taxpayer can initiate and the proceeds can be reinvested into a business or invested property anywhere in the United States.
1031 Exchange Examples
Commercial property such as farm land, rental properties, condominiums, buildings, shopping centers, strip malls, timberland and land are all examples of real property eligible for a 1031 exchange.
Why Eastern Michigan Exchange Services?
The proceeds of your property sales are completely secure when you work with Eastern Michigan Exchange Services, LLC:
- Each exchange is held in a unique escrow account. Any movement of funds from the escrow account requires your direction and signature.
- Your deposits are held at an FDIC-insured bank and insured by the FDIC up to $250,000.
- We are able to handle real estate anywhere in the United States.
To discuss your 1031 exchange situation, please call 1.800.397.2504 or send us an email.
Eastern Michigan Exchange Services, LLC, does not offer legal or tax advice. Please consult your attorney and/or accountant with regards to your particular situation.
IRS CIRCULAR 230 DISCLOSURE: To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. tax advice contained in this communication is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties under the Internal Revenue Code.