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June 02, 2006

Nebraska Political Consultant

If you're looking for a Nebraska political consultant visit www.clearcompartners.com.

July 11, 2005

Bubble trouble? Unlikely

In May, U.S. housing prices set yet another record, with the median home selling for $207,000, a 12.5 percent increase over a year ago. But Florida had that beat by a long shot, with the statewide median rising to $230,800, a 27 percent increase.

It gets even better if you're a coastal-area property owner. Consider the following median home prices and their one-year percentage increase as of May: more here.

June 19, 2005

Passive real estate ownership

Investment pool a hands-off option

Russ Wiles
The Arizona Republic

Many investors will go a long way to skirt taxes, especially in real estate.

The latest proof of this? New investment pools have emerged that utilize tax-free property exchanges with a securities twist.

These complex and upscale deals, known as "tenants-in-common" investment pools, combine the tax, income and other benefits of real estate with passive ownership. Of note, they can be used by small-scale real estate owners who want to sell their properties while avoiding the capital-gains and depreciation taxes that would normally apply.

Tenancy in common is a way to hold real estate in which each investor receives an undivided, fractional interest in a property, whether it's an office tower, warehouse or whatever. Each owner receives title, the ability to depreciate his or her share of the property for tax purposes

'Exchange' lets investors defer tax on capital gains

By Gail Liberman
Sunday, June 19, 2005

Looking for a way to sell an investment property yet defer capital gains? The key could be a "1031 exchange."

Under Section 1031 of the Internal Revenue Code, investment property owners can defer payment of capital gains taxes by "exchanging" the property for another investment property of equal or greater value.

Conditions: The investor generally must identify the replacement property within 45 days of the sale of the old property and acquire the new property within 180 days. Partnerships are ineligible.

Now, new types of private placement deals are making 1031 exchanges easier. Known as Tenant-in-Common 1031 Exchanges, these deals, estimated already to have attracted some $4 billion, sprang from a landmark March 2002 IRS ruling.

June 12, 2005

Real Estate: Buy Low, Sell High... Pay taxes

By Linda Stern
Newsweek June 20 issue

Making money in this red-hot real-estate market has been easy. What's taxing is figuring out how much you owe Uncle Sam when you sell your house. Many home sellers this spring are racking up big gains, but they aren't sure what to do with them. Here's what you need to know: GIVE YOURSELF A BREAK. If you've lived in your home for two of the five years leading up to your sale, you can exclude from taxes up to $250,000 of gain on the home. Double that to $500,000 if you're. . . full story here.

April 25, 2005

Paying on gains from sale can be avoided

By Steve Tytler
Columnist

Q I would like to know if it's possible to sell 20 acres of rental property with a house out of town, divide the profit and reinvest in two rental houses near my home in Lynnwood without paying capital gains.

G.D., Lynnwood

AYes, you can use a tax-deferred exchange to accomplish the rollover, but you have to be very careful to the follow the tax rules to the letter.

Section 1031 of the Internal Revenue Code allows you to roll the profits from property held for investment or used in a trade or business into like kind replacement property. Like kind simply means that the replacement property must also. . . full story here.

April 13, 2005

Evergreen Completes $27.3M Purchase of Redmond, WA, Single-Tenant Industrial Center

PASADENA, Calif.--(BUSINESS WIRE)--April 12, 2005--Evergreen Development, LLC today announced the purchase of a manufacturing/distribution facility in Redmond, WA, for Genie Industries, a subsidiary of Terex Corporation (NYSE:TEX), for $27,300,000 in a 1031 Exchange private placement of securities.

The 196,100 gross sq. ft. facility with two interconnected buildings provides manufacturing, testing and distribution area for aerial and lift platforms.

The acquisition was on behalf of individual investors of regional securities broker/dealers in a tax-deferred transaction, one of six tenant-in-common 1031 Exchange programs sponsored by Evergreen in the first quarter of 2005 totaling more than. . . full release here.

April 12, 2005

Accountants Remain Untapped Resource for Real Estate Investors

One key finding of the survey of almost 700 CPAs was that clients do not tap their CPAs' knowledge of Section 1031 of the Internal Revenue Code. This section of the tax code allows buyers and sellers of commercial property to defer capital gains taxes by rolling the proceeds from a sale into another investment property of equal or greater value.

While the majority of the CPAs surveyed said that they are familiar with the tax deferral benefits of Section 1031, almost half of them are not advising their clients to execute this transaction. The reason, according to a quarter of the CPAs polled, is that they are not consulted on real estate transactions until after their completion.

A real estate attorney with three decades of experience expressed surprise at the finding and urged investors to use all the resources at their disposal when making commercial real. . . full story here.

April 11, 2005

Farmers Urged to Consult Adviser on Buyout

One size does not fit all, at least when it comes to taxes and the payments North Carolina tobacco growers and tobacco quota owners will receive as a result of the tobacco buyout.

Beginning this year, $3.9 billion will pour into North Carolina over a 10-year period. The money will come to tobacco growers and tobacco quota owners as the tobacco price support system that dates to the depression comes to an end.

About 75,000 North Carolinians will receive payments. Nationwide, the buyout will pay tobacco growers and quota holders $9.6 billion over 10 years.

Tobacco growers will receive $3 per pound of quota grown, while quota owners will receive $7 per pound of quota owned. Quota is sometimes described as a license to grow tobacco.

Quota owners do not always grow tobacco; they often rent their quota to others, who actually grow tobacco.

For both growers and quota owners, the money, which comes from tobacco companies, will be paid in. . . full story here.

April 08, 2005

United States: Guidance Issued Explaining Simultaneous Like-Kind Exchange and Home Sale Gain Exclusion

The IRS recently issued Rev Proc 2005-14, 2005-7 IRB. This Revenue Procedure clarifies that the exclusion of gain from the sale of a principal residence under IRC § 121 may be combined with a like-kind exchange under IRC § 1031. This Revenue Procedure also provides six examples of how these two. . . full story here.

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