Contracts

A Kentucky 1031 exchange allows an investor to:

AExchange personal property for real property tax-free
BDefer capital gains taxes by reinvesting sale proceeds into a like-kind property✓ Correct
CExchange properties across state lines without any tax consequence
DSell a Kentucky property and buy any investment asset tax-free

Explanation

A Section 1031 like-kind exchange allows investors to defer capital gains taxes when selling an investment or business property by reinvesting the proceeds into another qualifying like-kind property within IRS deadlines.

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