Qualified Exchange Accommodation Arrangements
Here we have a strategy, the purpose of which is to assist investors involved in the sale of like-kind properties meet certain requirements of section 1031 of the Internal Revenue Code*. Qualified exchange accommodation arrangements allow investors to postpone accepting a capital gain or loss on the sale of an asset as long as a like-kind property has replaced the relinquished one.
* Please note: it is always prudent to consult your CPA about issues of tax liability and your legal advisor for any real estate venture.