Testimonials

American Saddlebred Horse 1031 Exchange

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“The 1031 exchange went smoothly, our questions were answered thoroughly and we are very satisfied with the work performed by Atlas 1031 Exchange,” are the words the American Saddlebred horse owner used in a post-exchange review. His attorney found Atlas 1031 Exchange on the Internet along with other Qualified Intermediaries and selected Atlas 1031.

In the two horse 1031 forward exchange, the federal and state capital gain and depreciation recapture taxes from the sale of American Saddlebred gelding HS Daydream’s Celebrity were deferred with the purchase of American Saddlebred gelding Memories of Cabo. The transaction was completed within thirty days of the initial closing.

Section 1031 Exchange

Internal Revenue Code Section 1031 applies to property held in the productive use of a trade, business or for investment and provides for the deferral of federal and state capital gain and depreciation recapture taxes triggered upon sale if the seller purchases “like-kind” property and meets other conditions. The like-kind property can either be real or personal. Real property must be exchanged for real property while personal property must be exchanged for like-kind or like-class personal property. Livestock is eligible for 1031 consideration if exchanged for an animal of the same sex.

Hagan Saddlebreds
Louisville, Kentucky

Subway Franchise 1031 Exchange

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“I could not be happier with the outcome and the confidence I have in Atlas 1031 Exchange. Andy did what he said he would do and kept me informed of the progress and what I needed to do. I will be working with Andy again in the near future.”

The Subway owner called to discuss how a 1031 exchange could help him transition into a new business. After the initial discussion, I spoke with his attorney to further understand his client’s transaction. As the sub-lessee of a thirty plus year lease, the lessee allowed him to sell his lease interest to exchange for real property. The IRS considers a thirty or more year lease as real property and eligible for a 1031 tax deferred exchange.

The exchange is now completed with the Subway owner owning real property in preparation to open a new business not related to the food industry. The owner found working with Atlas 1031 wonderful and very professional. He remarked that plenty of time was provided to answer his questions and understand the particulars as they related to the 1031 exchange.

Subway Owner
Albuquerque, NM

Heavy Construction Equipment 1031 Exchange

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“We were looking for the personal attention we were having trouble getting from the larger companies. I interviewed several companies and was looking for a person that was diligent and answered the phone when we called. I found Atlas 1031 through a web search on the Internet.”

Irving Materials, Inc. (IMI) is the largest private producer of concrete in the United States operating 150 plants supplying building materials throughout the Midwestern and Southern United States. IMI Secretary/Treasurer Shawn Burgess was looking for a local Qualified Intermediary with experience and knowledge to accommodate 1031 tax deferred exchanges for their real and personal property.

Owners of heavy road construction equipment often utilize 1031 tax deferred exchanges to defer the recaptured depreciation taxes when selling and replacing with like-kind equipment. The benefit is additional operating cash given the tax that would otherwise be paid is deferred indefinitely or until the replacement property is sold when another 1031 exchange can be initiated.

When asked what helped him trust Atlas 1031, Shawn replied “I trusted the professional accreditation and references Andy provided us. We brought a reasonable level of knowledge of exchanges with us but Andy thoroughly explained the process and how things would work. Shawn suggested when asked what should be improved to ‘keep doing what you’re doing.'”

To date IMI has exchanged road construction equipment including equipment sold at Smock Auctions in Indianapolis, Indiana and real property holdings.

 

Gold Bullion 1031 Exchange

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When he was asked in a post exchange follow up, “What particular issue did you find difficult and should have been covered with a thorough explanation,” he replied “There were no issues, the process was quick, seamless and efficient.” “There were no problems.”

Gold and silver bullion are eligible for Internal Revenue Code 1.1031 given the personal property is held for productive use in a trade, business or for investment. A 1031 exchange allows the federal, state and local capital gain tax to be deferred given the replacement property is of equal or greater value than the property sold. For precious metals and other collectibles, the federal capital gain rate is 28 percent in addition to state and local capital gains taxes. Smart precious metal owners understand the value of a 1031 exchange to defer taxes.

This client was referred to Atlas 1031 Exchange by his trusted precious metals dealer to accommodate a 1031 exchange of gold bullion bar for gold bullion coins.

Simultaneous 1031 Exchange

In this simultaneous exchange, the gold bullion bar was sold to the precious metals dealer and gold bullion coins were acquired in what are known as “Buy Back” transactions. The 1031 exchange documentation consisted of a exchange agreements recognizing the precious metals dealer acquired the bullion kilo bar and exchanged it for the bullion coin equivalent.

 

1031 Bell for Robinson Helicopter Exchange

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“I was able to do it all through emails from my home. Andy made the process much less stressful. I was on a deadline and he gone it done for me, no issues at all. Communication was remarkable and always there whether through email or telephone. I give him two thumbs up and wouldn’t change a thing.”

Atlas 1031 Exchange was referred to the taxpayer by Insured Aircraft Title Services in Oklahoma City, Oklahoma to accommodate a 1031 tax deferred aircraft exchange. A Bell helicopter Model 206B was exchanged for Robinson helicopter Model R44II in a forward 1031 exchange. The Internal Revenue Code Section 1031 allows for the federal capital gain and recaptured depreciation tax to be deferred when replacing with a like-kind property effectively resulting in additional operating cash to acquire the replacement aircraft. The tax obligation does not go away rather postponed indefinitely or until the replacement aircraft is sold.

Forward Exchange

In a forward exchange, the old or relinquished aircraft is sold followed by the acquisition of the replacement aircraft within 180 calendar days of the initial closing. The net exchange proceeds were wired to a qualified escrow account requiring dual signatures for disbursement opened under the taxpayer’s tax identification number. When the replacement aircraft was to be closed, the taxpayer signed a disbursement form and submitted to the bank along with a signature from Atlas 1031 Exchange. The funds were wired the same day the disbursement request was submitted.

Taxpayer Experience

What helped the taxpayer trust Atlas 1031 Exchange to facilitate his exchange was “knowing that I was being referred from a reliable source who I was dealing with at the time. Andy was also very knowledgeable and helpful when I spoke with him.”

Eddie Johnson
Mesa, Arizona

 

1031 Deferred Improvement Exchange in Florida

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“All in all, the process was very simple, payments to contractors was very quick and painless. I am pretty happy with being able to use the proceeds to make the improvements. I would recommend Atlas 1031 and the 1031 deferred improvement exchange.”

Southern Escrow Title Company in Destin, Florida referred Jon to Atlas 1031 Exchange to discuss and accommodate a 1031 deferred improvement exchange. In this exchange the old or relinquished property was sold followed by the purchase of a replacement property to be improved with the remaining exchange proceeds. Improvements were extensive including a new kitchen, doors, woodwork, additional storage space, flooring, lighting, staircase, furniture, paint, wall and window coverings, appliances and electronics.

This is bit different from a reverse 1031 exchange where the new property is acquired before the old property is sold. The Exchange Accommodator Titleholder or EAT received title to the replacement property, paid the contractors once the invoice was approved and submitted by Jon. The improvements were completed within four months and the property was conveyed from the EAT to Jon and his wife.

Jon is the Managing Broker with GoToTheBeach Real Estate in Seagrove Beach, Florida.

Jon and Judy Miller
Santa Rosa Beach, Florida