How to Use a 1031

What is 1031 and how can you benefit from it? The stated number refers to the Section 1031 of the Revenue Code. It states that once a property owner sells his investment property, he can use the proceeds from the sale to purchase a similar or a like-kind property. In this case, the proceeds from the sale of the first investment property shall not be subjected to capital gains taxes. However, in order to take advantage of this, one has to follow certain rules.