When considering a 1031 exchange for a property located in Nevada, there are specific state regulations and requirements that set it apart from other states. One of the key distinctions is the regulation of exchange facilitators under Nevada law, specifically outlined in Nevada Revised Statutes (NRS) Chapter 645G.
In Nevada, exchange facilitators, also known as Qualified Intermediaries (QIs), are required to be licensed under state law. This licensing requirement ensures that the facilitators meet certain standards of professionalism and financial responsibility. The state has established specific regulations to govern the activities of these facilitators, including requirements for handling exchange funds, maintaining fidelity bonds, and carrying errors and omissions insurance.
This regulatory framework is designed to protect the parties involved in a 1031 exchange by ensuring that the facilitators are competent and financially stable. It adds an extra layer of security and trust to the exchange process, which might not be as strictly regulated in other states.
For example, while federal regulations under the Internal Revenue Code (IRC) Section 1031 provide the general rules for tax-deferral in property exchanges across the U.S., the specific requirements for facilitators in Nevada add a state-specific compliance layer that anyone engaging in a 1031 exchange in Nevada must navigate. This means that when you're planning to execute a 1031 exchange with a property located in Nevada, it's crucial to work with a licensed and compliant facilitator who understands both the federal and state-specific nuances of these transactions.
Nevada does not have state or local capital gains taxes. The Combined Rate accounts for the Federal capital gains rate, the 3.8 percent Surtax on capital gains, and the marginal effect of Pease Limitations on itemized deductions, which increases the tax rate by 1.18 percent.
Nevada does not have a state income tax.
Allied 1031 Exchange, a division of AFTS, is based in Nevada and specializes in facilitating 1031 tax-deferred exchanges of real property. The company emphasizes providing excellent service, leveraging extensive experience and knowledge to ensure correct execution of exchanges. They offer competitive pricing and prioritize the security of customer funds, being fully bonded and insured. The company president, Geneva Martinkus, brings over 20 years of real estate service experience, including managing a 1031 Exchange department at a regional title company. She is available to answer any questions regarding 1031 exchanges. Allied 1031 Exchange is a member of the Federation of Exchange Accommodators.
City National Bank, headquartered in California, has been operating since 1954 with a focus on prioritizing people and communities. The company emphasizes the importance of impact on real lives over mere financial success. They offer various services, tools, and technology that reflect their values, which are showcased through stories and an evolving mural on their website. However, they are not a member of the Federation of Exchange Accommodators.
Security 1st Exchange, LLC, a subsidiary of Security 1st Title, has been operating since 1944 and is headquartered in Nevada. It is one of the largest independent title insurance providers in the U.S., supported by seven leading industry underwriters. For the past 20 years, Security 1st Exchange has served as a Qualified Intermediary to facilitate 1031 Exchanges, leveraging the financial strength and resources of its parent company. The team specializes in providing solutions that aim to preserve equity and enhance real estate investment portfolios for their clients. They are not a member of the Federation of Exchange Accommodators.
