1031 Exchange Timeline & Capital Gains Tax Calculator
Calculate your strict 45-day identification and 180-day closing deadlines, and model your deferred capital gains, depreciation recapture (25%), and state tax savings.
11. IRS Statutory Exchange Deadlines
Os prazos do IRS são calculados a partir da data de assinatura da escritura do imóvel vendido:
45-Day Identification Period Deadline
By midnight on Day 45, you must formally identify replacement properties in a signed written document delivered to your Qualified Intermediary (QI) under the 3-Property or 200% Rule. No extensions allowed!
180-Day Exchange Period Deadline (Closing)
You must acquire title and close on one or more of the identified replacement properties by this date (or the tax return filing due date with extensions, whichever is earlier).
22. Relinquished Property Financials
Total depreciation deducted on prior returns, subject to the flat 25% Section 1250 recapture rate.
Any net proceeds pocketed rather than reinvested in the replacement property are immediately taxable.
33. Investor Tax Profile & Brackets
1031 Exchange Tax Deferral Summary
100% in liquidity retained to compound into your next property!
Rules for a 100% Tax-Free Exchange:
How it works
1
Enter the official sale closing date of your relinquished property (Day 0).
2
Review your exact 45-day identification deadline and 180-day acquisition closing deadline.
3
Input your gross sale price, selling costs, original purchase basis, and total accumulated depreciation.
4
Indicate whether you plan to withhold any cash proceeds (cash boot) or reinvest 100% of your equity.
5
Examine your itemized deferred capital gains, depreciation recapture tax, and total tax shield compounding into your new property.
Frequently asked questions
What is a Section 1031 like-kind exchange?
A 1031 exchange allows an investor to roll over the full proceeds from the sale of an investment property into a replacement investment property of equal or greater value, deferring 100% of capital gains taxes and depreciation recapture taxes indefinitely.
What is the 45-day identification rule?
The IRS requires the seller to formally identify replacement properties in writing to a Qualified Intermediary (QI) within 45 calendar days of selling the original property. Investors commonly use the 3-Property Rule (identify up to 3 properties regardless of market value) or the 200% Rule (identify unlimited properties as long as total aggregate value does not exceed 200% of the sale price).
What is the 180-day exchange period?
The replacement property must be purchased and the title deed closed within 180 calendar days after the sale date of the relinquished property, or by the due date of your federal income tax return (including extensions), whichever comes first.
What is 'Boot' in a 1031 exchange?
'Boot' is any non-like-kind property received in an exchange, such as cash taken out (cash boot) or a reduction in mortgage debt liability (mortgage debt relief boot). Boot is immediately taxable up to the amount of total realized gain.
Does a 1031 exchange eliminate taxes or just postpone them?
It defers them. However, investors can continue doing 1031 exchanges throughout their lifetime ('swap until you drop'). When the investor passes away, heirs receive a 'step-up in basis' to fair market value at death, permanently eliminating all prior deferred capital gains and depreciation recapture taxes!
Is this tool free?
Yes. The site is supported by ads, so you never pay or need to create an account.
Does it work on mobile?
Yes. The page adapts to your screen and does not require installing any app.