is there a transfer tax on realty during a 1031 tax exchange?
the exchange was not completed. However the state is charging transfer tax on property held by intermediary when deed was conveyed back to me.
Bummer. Transfer taxes are up to the authority that imposes it. If your transaction was taxable then you will have to pay.
Normally the only transactions that are exempt are those between family members, and sometimes only when due to an inheritance. The conveyancing to the intermediary for a 1031 exchange normally isn’t exempt, nor is the re-conveyancing when it’s returned to you if the exchange falls through.
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June 18th, 2010 at 1:04 pm
Bummer. Transfer taxes are up to the authority that imposes it. If your transaction was taxable then you will have to pay.
Normally the only transactions that are exempt are those between family members, and sometimes only when due to an inheritance. The conveyancing to the intermediary for a 1031 exchange normally isn’t exempt, nor is the re-conveyancing when it’s returned to you if the exchange falls through.
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June 18th, 2010 at 1:09 pm
but the administration of the transfer was probably done therefore a tax had to be paid even tho the property was returned to you
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