Finance
A Colorado property owner using a 'like-kind exchange' (1031 exchange) can defer capital gains taxes by:
ADonating the property to a charity
BReinvesting the sale proceeds into a qualifying replacement investment property✓ Correct
CReinvesting in any financial investment including stocks
DTransferring ownership to a family member
Explanation
A 1031 (like-kind) exchange allows a property owner to defer capital gains taxes by selling an investment property and reinvesting the proceeds into a qualifying 'like-kind' replacement investment property within specified timeframes (45-day identification, 180-day closing).
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