Finance

What is a '1031 exchange' in Kansas real estate investment?

AA Kansas state tax exchange program
BA federal tax provision allowing investors to defer capital gains taxes by exchanging one investment property for another of like-kind within specified timelines✓ Correct
CA mortgage refinancing program
DA property exchange between adjacent landowners

Explanation

Under IRS Section 1031, investors can defer capital gains taxes by selling an investment property and purchasing another like-kind property within 45 days (identification) and 180 days (closing) of the sale. It applies to Kansas investment properties.

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