Most of the people want to use tax deferred methods in order to avoid paying taxes, 1031 Exchange is thus one of the most talked about and popular ways by which exchange of real estate and property is possible without paying taxes. The 1031 Exchange is based on simple rule that any exchange to be done should be qualified as to be exchanged in the law.

For any person looking for an exchange of property then the Relinquished Property must be qualifying property to be qualified for this. The property that can be Qualified include property (or equipment) held for investment purposes or used in a taxpayer's trade or business. It doesn