How to Choose a Tax Professional for a 1031 Exchange

A 1031 exchange is not simply a form completed after closing. Timing, identification, related-party rules, boot, debt, basis allocation, and depreciation all require careful coordination.

Ask about pre-closing involvement

A professional who first sees the transaction at tax time may be too late to correct structural mistakes.

Ask how replacement-property basis is calculated

Deferred gain affects the basis of replacement property and future depreciation.

Ask about multiple properties and boot

Cash, debt relief, multiple relinquished or acquired properties, and closing adjustments can complicate the calculation.

Coordinate with the qualified intermediary

The tax professional should understand the intermediary documentation and confirm that the tax reporting matches the actual exchange.