The calculator below will show the approximate capital gains tax deferred by an individual taxpayer when performing an IRC Section 1031 exchange.
Net Adjusted Basis Calculation
Capital Gain Amount
Capital Gain Tax Due
(including recapture of depreciation at 25%)
*Collectables held for one year or more are taxed at 28%.
**Add the 3.8% medicare tax on net investment income, if applicable.
The formula above is provided to help determine an approximate gain and the total dollars that may be deferred through an IRC Section 1031 exchange. First American Exchange Company, LLC cannot provide advice regarding specific tax consequences. Taxpayers considering an IRC Section 1031 exchange should consult with their accountant, attorney, or other tax professional to obtain any legal advice.