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Your 1031 exchange resource ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏
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The IRS can extend certain time-sensitive deadlines in connection with a federally declared disaster by issuing a notice, guidance, or IRS News Release (an “IRS Notice”). These IRS Notices often extend 1031 deadlines as set forth in IRS Revenue Procedure 2018-58 (“Rev. Proc.”). On March 17, 2023, the IRS issued Notice CA-2023-03 that may extend your 1031 deadlines pursuant to the Rev Proc. This is the third disaster declaration for California this year. The date of this disaster is March 9, 2023. Consult with your tax advisor to determine if this extension applies to your exchange and alert your Exchange Counselor as soon as possible! Taxpayers meeting the definition of “Affected Taxpayer” are eligible for both the Section 6 and Section 17 extensions, regardless of the relinquished property and/or replacement property location and must choose which extension option to proceed under. The definition of “Affected Taxpayer” includes individuals who live, and businesses whose principal place of business is located, in the covered disaster area (described in the IRS Notice). The Section 17 extension is also available to taxpayers who are having difficulty meeting their 1031 deadlines due to the disaster (See Rev. Proc. Section 17.02(b)(ii) for examples of such “difficulty”). Section 6 of the Rev. Proc. allows certain taxpayers to extend certain 1031 deadlines to October 16, 2023 (the extended date provided in this IRS Notice). Section 17 of the Rev. Proc. allows certain taxpayers to extend certain 1031 deadlines to 120 days or October 16, 2023 (the extended date provided in this IRS Notice) – whichever is later (however, this extension cannot go beyond one year or the due date for the taxpayer’s tax return for the year of the sale, as extended). ALREADY EXTENDED? If you closed the sale of your relinquished property after January 8, 2023 and before March 10, 2023 and have already decided to move forward with an extension in your 1031 exchange, this new disaster extension may provide you with even further extensions beyond October 16, 2023 under Section 17. Please reach out to your tax advisor to determine your extended dates in light of this new disaster declaration and advise your Exchange Counselor of any changes. ADDITIONAL FEDERALLY DECLARAED DISASTER DECLARATIONS: At the bottom of this email is a chart of recent federally declared disasters for which the IRS has provided 1031 deadline extensions. The IRS periodically updates and revises the IRS Notices, which may include changes to the disaster areas and extended dates. Taxpayers should review the information directly on the IRS website for additional IRS Notices and updates and revisions. All IRS Notices can be found here: irs.gov/newsroom/tax-relief-in-disaster-situations This new tool can help you determine your extended dates: |
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Learn more about 1031 disaster extensions here: apiexchange.com/disaster-relief/ Taxpayers should consult their tax advisor to determine their eligibility for an extension and alert their Exchange Counselor as soon as possible of any extended 1031 deadlines. |
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State |
Disaster Date |
IRS Notice’s Extended Date |
Disaster Area |
California (Mar. 9 Disaster)
CA-2023-03 |
3/9/23 |
10/16/23 |
Alpine, Amador, Butte, Calaveras, Del Norte, El Dorado, Fresno, Glenn, Humboldt, Imperial, Inyo, Kern, Kings, Lake, Los Angeles, Madera, Mariposa, Mendocino, Merced, Mono, Monterey, Napa, Nevada, Orange, Placer, Plumas, Sacramento, San Benito, San Bernardino, San Francisco, San Joaquin, San Mateo, San Luis Obispo, Santa Barbara, Santa Clara, Santa Cruz, Sierra, Sonoma, Stanislaus, Trinity, Tulare, Tuolumne and Yuba counties (as of 3/17/23) |
California
(Dec. 27 Disaster)
CA-2023-02 |
12/27/22 |
Updated to 10/16/23
(previously 5/15/23) |
Alameda, Alpine, Amador, Butte, Calaveras, Colusa, Contra Costa, Del Norte, El Dorado, Fresno, Glenn, Humboldt, Inyo, Los Angeles, Madera, Marin, Mariposa, Mendocino, Merced, Monterey, Napa, Nevada, Placer, Sacramento, San Benito, San Joaquin, San Luis Obispo, San Mateo, Santa Barbara, Santa Clara, Santa Cruz, San Diego, San Francisco, Siskiyou, Solano, Sonoma, Stanislaus, Sutter, Tehama, Trinity, Tulare, Tuolumne, Ventura, and Yolo counties (as of 2/23/23) |
Alabama
AL-2023-01 |
1/12/23 |
Updated to 10/16/23 (previously 5/15/23) |
Autauga, Barbour, Chambers, Conecuh, Coosa, Dallas, Elmore, Greene, Hale, Mobile, Morgan, Sumter and Tallapoosa counties (as of 2/6/23) |
Georgia
GA-2023-01 |
1/12/23 |
Updated to 10/16/23
(previously 5/15/23) |
Butts, Crisp, Henry, Jasper, Meriwether, Newton, Pike, Spalding, and Troup counties (as of 2/13/23) |
California
(Jan. 8 Disaster)
CA-2023-01 |
1/8/23 |
Updated to 10/16/23
(previously 5/15/23) |
Alameda, Colusa, Contra Costa, El Dorado, Fresno, Glenn, Humboldt, Kings, Lake, Los Angeles, Madera, Marin, Mariposa, Mendocino, Merced, Mono, Monterey, Napa, Orange, Placer, Riverside, Sacramento, San Benito, San Bernardino, San Diego, San Francisco, San Joaquin, San Luis Obispo, San Mateo, Santa Barbara, Santa Clara, Santa Cruz, Solano, Sonoma, Stanislaus, Sutter, Tehama, Tulare, Ventura, Yolo, and Yuba counties (as of 1/11/23) |
New York
NY-2022-09 |
12/23/23 |
4/18/23 |
Erie and Genessee counties (as of 12/29/22) |
Florida
(Hurricane Nicole)
FL-2022-20 |
11/7/22 |
3/15/23 |
Alachua, Baker, Bradford, Brevard, Broward, Calhoun, Charlotte, Citrus, Clay, Collier, Columbia, DeSoto, Dixie, Duval, Flagler, Franklin, Gadsden, Gilchrist, Glades, Gulf, Hamilton, Hardee, Hendry, Hernando, Highlands, Hillsborough, Holmes, Indian River, Jackson, Jefferson, Lafayette, Lake, Lee, Leon, Levy, Liberty, Madison, Manatee, Marion, Martin, Miami-Dade, Nassau, Okeechobee, Orange, Osceola, Palm Beach, Pasco, Pinellas, Polk, Putnam, Sarasota, Seminole, St. Johns, St. Lucie, Sumter, Suwannee, Taylor, Union, Volusia, Wakulla, and Washington Counties; the Miccosukee Tribe of Indians of Florida and the Seminole Tribe of Florida (as of 12/23/22) |
New York
NY-2022-08 |
11/18/22 |
3/15/23 |
Cattaraugus, Chautauqua, Erie, Genesee, Jefferson, Lewis, Niagara, Oneida, Oswego, St. Lawrence, and Wyoming counties (as of 12/2/2022) |
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*This information is provided for convenience only and is only a partial list of IRS Notices and federally declared disasters. The IRS periodically updates and revises the IRS Notices, which may include changes to the disaster areas and extended dates. Taxpayers should consult with their tax advisor and review the information directly on the IRS website for additional IRS Notices and updates and revisions. irs.gov/newsroom/tax-relief-in-disaster-situations
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