If you sold late in 2025 and you’re still shopping for replacement property, your exchange deadline may be earlier than you think, unless you extend your return.
In a delayed 1031 exchange, the replacement-property deadline is not just “180 days.” Under IRS rules, the exchanger must receive the replacement property by the earlier of: (1) 180 days after the sale, or (2) the due date of your tax return for the year the relinquished property was sold, including extensions.
IRS Forms Commonly Associated with a 1031 Exchange
IRS Form 8824 is used to report the exchange. Additional forms may report any taxable gain components.
IRS Form 8824 (Like-Kind Exchanges): Filed with the federal return for the year the exchange began, which is generally the year the relinquished property was sold.
IRS Form 6252 (Installment Sale Income): May apply if seller financing or a carryback note is involved in the sale. Confirm with your tax and/or legal advisor.
IRS Form 4797 and/or Schedule D: Commonly used to report taxable gain components, such as capital gain or depreciation recapture.
Webinar: 1031 Exchanges Issues in Today’s Market
Friday, May 8
1:00 PM – 2:00 PM PDT
CPE Credit Available
- 1-hr intermediate/advanced course
- Time deadlines & identification rules
- Like-kind property requirements
- Fractional ownership structures
- Oil, gas, and mineral rights
- Related-party transactions
- Partnership/LLC scenarios
- Reverse and improvement exchanges
- How to avoid common pitfalls
👋Meet Donalee Ham, Chief Operating Officer
Donalee began her journey with API in January 2005 and has built a distinguished career in Operations, serving as our COO for the past 2+ years. Over 21 years, she has remained committed to continuous growth, embracing challenges that keep her learning and evolving as a leader.
Family is the foundation of Donalee’s life. She is the proud mother of a blended family of six, four children, three sons and one daughter, now all successful and independent adults. She and her husband are also eagerly anticipating the arrival of their first grandchild this April.
She prioritizes an active and disciplined lifestyle through workouts, yoga, walking, and hiking. She is a devoted San Francisco Giants fan who knows the Super Bowl means baseball season is right around the corner.
As part of API’s leadership team, Donalee is passionate about cultivating a culture of positivity, collaboration, and transparency while ensuring employees feel supported in their long-term growth. She is especially proud of API’s client-first service model and the meaningful, long-term relationships our team members build every day.
We are grateful for Donalee’s leadership and dedication to API’s mission!
What Our Clients Are Saying
“With API, I closed 2 properties with 1031 exchange recently. They all have been awesome to work with and provided quick replies, communications and funding the closings throughout the process has been just wonderful. The whole process has been very smooth, and I am looking forward to working with API again in the future. I highly recommend them.”
⭐⭐⭐⭐⭐
-Sury Shant
1031 Basics: How Long to Hold
At Asset Preservation, we are often asked, “How long do I need to hold my property to qualify for a 1031 exchange?” As explained in the article, that is not always the right question. In many cases, the more important issue is whether the property was held for investment or business purposes.
Disaster Extension Information
Click the link below to determine if you may qualify for an extension.
https://www.irs.gov/newsroom/tax-relief-in-disaster-situations
Additional information here: https://apiexchange.com/disaster-relief/