When you’re doing a 1031 tax exchange, you need to know what a capital gain is. A capital gain is a profit on a capital asset. Capital gains tax is 15 percent on real estate. But if you’re doing a 1031 exchange with another type of investment you’ll likely pay your ordinary income tax rate on the capital gain.
1031 Exchange: What Is a Capital Gain?
By Ilyce Glink| 2008-09-19T20:31:46-05:00 September 19th, 2008|