Talk to an Advisor

Partial Exchange

Learning Center Menu

Partial Exchange

When an exchange entails a combination of the boot with partial success of the exchange. When an exchangor receives some cash from an exchange, excluded property and/or non-like-kind property and/or any net reduction in debt (mortgage relief) on the replacement property as well as an exchange of qualified, like-kind property. In the case of a partial exchange, tax liability would be incurred on the non-qualifying portion and capital gain deferred on the qualifying portion under Section 1031.

Have questions?

We'd love to guide you through the 1031 process, let us know how we can help!