1031 Exchange Tool

Capital Gains Calculator

Estimate the potential federal and state taxes associated with selling an investment property and compare the amount potentially available to reinvest through a 1031 exchange.

1

Property Information

Enter the basic numbers for the property you are selling.

$
$
$
$
$
Estimated Total Capital Gain $0 Sale price − selling expenses − adjusted basis
Adjusted Basis $0

Cost basis + improvements − accumulated depreciation

2

Estimated Tax Calculation

Adjust the rates below to fit the assumptions you want to model.

Federal Capital Gains Tax Applied to gain remaining after depreciation recapture amount.
$0
Depreciation Recapture Estimated at the selected rate, limited to depreciation and gain.
%
$0
State Capital Gains Tax Enter an estimated state income tax rate.
%
$0
Net Investment Income Tax 3.8% may apply to some taxpayers; select 0% if not applicable.
$0
Total Estimated Tax Liability $0
3

1031 Exchange Comparison

Compare estimated equity available to reinvest if eligible taxes are deferred.

1031 Exchange

Estimated Amount to Reinvest

$0
Sale price$0
Selling expenses− $0
Estimated tax paid now$0*
*Assumes a fully tax-deferred exchange and does not account for taxable boot or other adjustments.
Sell Without Exchange

Estimated Amount to Reinvest

$0
Sale price$0
Selling expenses− $0
Estimated tax liability− $0
Estimated Additional Equity Available to Reinvest Through a 1031 Exchange $0

This calculator provides a simplified estimate for general informational purposes only and is not legal, tax, investment, or accounting advice. Actual capital gain and tax liability can vary based on filing status, taxable income, holding period, depreciation history, property type, state and local law, tax-year rules, suspended or passive losses, alternative minimum tax, taxable boot, and other factors. A 1031 exchange generally defers eligible gain rather than eliminating tax. Consult your tax and legal advisors regarding your specific transaction.

1031 Exchange Tool

Debt Replacement Calculator

Estimate how replacement-property equity and leverage compare with the value of the relinquished property when planning for full tax deferral in a 1031 exchange.

1

Relinquished Property

Enter the sale and debt information for the property being exchanged.

$
Total sale price minus commissions and customary closing costs.
$
Exchange Funds to Qualified Intermediary $0
Loan to Value of Sold Property 0%
Reinvestment Requirement for Full Deferral $0

As a general rule of thumb, full deferral requires reinvesting all net equity and replacing debt or adding fresh cash.

2

Replacement Properties

Enter the equity invested and leverage for each replacement property or passive real estate interest.

Property #1
$
%
Loan Value Assumed $0
Total Toward Replacement Requirement $0
Property #2
$
%
Loan Value Assumed $0
Total Toward Replacement Requirement $0
Property #3
$
%
Loan Value Assumed $0
Total Toward Replacement Requirement $0
3

Exchange Summary

See how your replacement equity and debt compare with the reinvestment requirement.

Total Equity Replacement $0
Total Debt Replacement $0
Total Exchange Value of Replacement Property $0
Potential Amount Subject to Tax $0

This simplified estimate uses the greater of (1) unreinvested exchange funds or (2) the replacement-property value shortfall.

This calculator is provided for general informational purposes only and is not legal, tax, investment, or accounting advice. The debt-replacement concept is often used as a planning rule of thumb, but actual taxable boot and eligibility for full tax deferral depend on the complete facts of the exchange, including debt relief, cash received or contributed, liabilities assumed, replacement-property value, transaction expenses, and other tax rules. Consult your tax and legal advisors regarding your specific transaction.

1031 Exchange Tool

Depreciation Calculator

Estimate the annual depreciation and accumulated depreciation for your real estate investment property based on its depreciable basis and recovery period.

1

Property Information

Enter the property details used to estimate depreciation.

years
$
$
Land itself is generally not depreciable.
$
2

Estimated Depreciation

Your estimated straight-line depreciation based on the information entered.

Depreciable Basis $0 Purchase price − land value + improvements
Annual Depreciation $0 Estimated annual straight-line depreciation
Total Accumulated Depreciation $0 Estimated depreciation over the ownership period
Recovery Period 39 years
Years Entered 0 years
Basis Remaining $0

This calculator provides a simplified straight-line depreciation estimate for general informational purposes only and is not tax, legal, investment, or accounting advice. Actual depreciation may differ due to the placed-in-service date, MACRS conventions, partial years, cost segregation, bonus depreciation, Section 179, improvements with separate recovery periods, prior depreciation, ADS elections, and other circumstances. Consult your tax advisor for calculations specific to your property.