1031 Exchange Relief Update
In January of 2023, multiple areas of California were impacted severely by flooding, mudslides, and landfall. In response to this natural disaster, the IRS issued a declaration, Notice CA-2023-01, that gave those affected and in a 1031 exchange on or before January 8, 2023, the ability to extend their identification and exchange period deadline by 120 days. The last day of the general extension is October 16, 2023.
The counties included in this notice are as follows:
As a result, there is and will be a continued influx of demand for exchange properties up until the October deadline.
If you have considered a disposition, now could be an ideal time to test the market as these exchange buyers become more motivated to identify and close on their upleg.
To read more about this extension and deadline, please use this link: IRS California Tax Relief
Please reach out to me for more information, or to strategize if you have an asset that you would consider marketing.