A tax expert shares 3 little-known concepts every real-estate investor should know about, including one that could eliminate capital gains taxes

Contributing sentiments towards policy:

54% : And so he's going to be diversified, not have any management responsibility, have full tax deferral into these properties, and then, eventually, when these properties sell, he can do another 1031 exchange.
52% : In addition to owing capital gains tax on the $500,000 of appreciation they experience, they're also subject to depreciation recapture tax.
49% : Depreciation recapture tax means you may owe more on the sale of the property than you expect"A lot of people assume that when they are selling property, the tax they are paying is purely associated with the increase in value -- the appreciation that the property has experienced," said Bowlin.
48% : It's important to understand how tax liabilities are calculated on the sale of a property and know your options, including how to defer taxes using strategies like a 1031 exchange.

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