1031 Exchange On Foreign Property
I am resident in the US and wish to sell a property in the UK, which I have not lived in for the last 5 years and is now considered an investment property. Can I do a 1031 exchange and purchase a property in the US ?
Good questions!
You may want to search the internet for "1031", unless you already deal with a particular company for your exchanges, and ask the company rep directly.
Good Luck!
Sorry, no.
Foreign property and domestic property are not like-kind properties. Thus, they do not qualify for 1031 participation.
Inland Revenue in the UK and the Internal Revenue Service in the US are sisters under the skin. I am out of date and suggest you start by asking IR what if any requirements have to be met. Then I would contact your local office of IRS in the city in which you live. Have them give you a yes or nay. At first glance they are not similar investments. But we live in a world of constant change, I would beard the giants in their lairs. Good luck and tell me how it went. I have a similar problem. A small house in Saffron Walden
near the Epping Forest.bar tet. Cheers
Lucius
I am v.p. of a 1031 qualified intermediary. As previously noted, domestic and foreign property are not like kind. However, if you wish to exchange foreing property for foreign property, that would still qualify for 1031 deferral. you can contact me: **Please See My Profile**.