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posted Jul 13, 2022 11:50:10 PM

form 1031

Recently, I sold some property including minerals and surface that was gifted to me several years ago by my parent. Can I use this money on a form 1031 to decrease or eliminate the capitol gains tax by using it as a down payment on a new house?

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1 Replies
Level 15
Jul 14, 2022 12:16:09 AM

i think you are really referring to an IRC section 1031 exchange. that would require an exchange of old business real property for new business real property. a personal residence is not business real property and if you already got the cash it's too late to do any type of 1031 exchange