How Do I Report My 1031 Exchange to the IRS?

1031 tax deferred exchanges are reported on the taxpayer's regular income tax return.  The taxpayer will use IRS Form 8824 to report the details of the 1031 exchange and include it with his or her income tax return.  As with any required income tax reporting, it is important for you to seek advice from a competent income tax advisor before proceeding. 

IRS Form 8824 includes the following informtion:

• Relinquished property and replacement property description
• Identification and 1031 exchange completion dates
• Related party information, if any
• Fair market value of the properties received, including non-like kind property
• Liabilities paid off and/or assumed
• Cash boot
• Adjusted basis of properties
• and more...