With Democrats taking Senate control, the risk is potentially heightened. It allows sellers to defer capital gains tax when their proceeds are reinvested into other investment properties. During the coronavirus-caused economic downturn, it has helped relieve the tax burden on those who are selling investment real estate that may be tied to struggling sectors such as hospitality. Investors who own other types of real estate, such as rental homes, apartments, retail centers, restaurants, bars, farms, and ranch lands may also use a exchange.
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