This page is the national product. If you need Los Angeles local 1031 CPA help, see our LA 1031 exchange CPA page.
What is a 1031 Exchange Tax Plan?
It is a defined, one-time tax consulting engagement for investors doing or considering a like-kind exchange. You hire us for the tax result, not for custody of sale proceeds.
What you walk away with:
- Boot and basis model for your relinquished and proposed replacement facts
- Form 8824 reporting plan so filing season matches the exchange you actually close
- Day 45 / Day 180 tax calendar with decision checkpoints that still move tax outcomes
- State clawback checklist, including California Form FTB 3840 when CA property is relinquished or tracked
- Written issues list (debt replacement, partial deferral, entity ownership, related-party flags, and similar)
- Coordination notes you can share with your QI and real estate attorney
What this is not:
- Not QI custody or holding of exchange funds
- Not a legal opinion on title, contract, or entity structure
- Not investment advice on which replacement property to buy
- Not a warranty that a particular QI, DST, or deal structure will succeed
Primary sources we plan against include IRC §1031, the IRS Form 8824 instructions, and (when California is in play) FTB Form 3840 materials and FTB guidance on reporting like-kind exchanges.
What's in the plan / what's not
| In the Exchange Tax Plan | Not in the Exchange Tax Plan |
|---|---|
| Boot and basis model for your facts | Holding or controlling exchange proceeds |
| Form 8824 reporting plan | Acting as your Qualified Intermediary |
| Day 45 / Day 180 tax calendar | Selecting replacement investments or DSTs for you |
| State clawback checklist (CA Form 3840 when relevant) | Legal opinions on entities, contracts, or title |
| Written issues list | Annual return preparation unless separately engaged |
| Coordination notes for your QI and attorney | Guaranteeing a QI choice or exchange outcome |
Form 3840 work in this plan is checklist and tracking guidance only. Filing Form 3840 is a separate engagement unless you hire us for that filing.
Fee for the one-time plan: quoted on the consult. Book a short intro to confirm scope and fee.
QI vs CPA vs attorney: who does what
| Role | Owns | Does not own |
|---|---|---|
| Qualified Intermediary (QI) | Delayed-exchange mechanics and custody of exchange funds so you do not constructively receive the sale proceeds | Your tax model, Form 8824 strategy, or state clawback plan |
| CPA (Exchange Tax Plan) | Tax eligibility questions, boot and basis modeling, Form 8824 plan, Day 45/180 tax calendar, state clawback checklist, written issues list | Fund custody. Acting as QI when you are a disqualified person. Legal opinions |
| Real estate / tax attorney | Contracts, title, entity documents, legal opinions | QI fund custody. Your CPA tax return plan unless separately hired for tax opinion work |
Disqualified-person rule (plain language): Your CPA who recently advised you on the exchange generally cannot also serve as your QI. Treasury regulations treat certain related parties and recent advisors as disqualified persons for delayed exchanges. That is why investors usually use both a QI and a CPA. This page explains the tax side only. It is educational, not a legal opinion. See Treas. Reg. §1.1031(k)-1 concepts and your counsel for the legal call.
Can my CPA act as my QI? No, not if that CPA is a disqualified person under the rules above. LaviCPA does not offer QI services and does not hold exchange funds.
A longer CPA-vs-QI comparison page may publish later. Until then, the table above is the full answer on this site.
When to book (pre-listing through Day 180)
Book when tax decisions can still change. QI how-to guides cover the mechanics. This timeline covers tax decision points only.
Best window: Before you list, or at least weeks before the relinquished property closes. Identification strategy, debt replacement, and boot decisions still have room to move.
Still useful: After close, inside the 45-day identification window, or when you want a second opinion on partial deferral before you lock an ID list.
Late but not useless: After Day 45, for reporting plan and clawback tracking. Planning value drops. Reporting value remains.
Tax decision mini-calendar
| Checkpoint | Tax decision focus |
|---|---|
| Pre-listing / weeks before relinquished close | Full vs partial deferral goals, debt replacement plan, entity and related-party flags, whether a 1031 fits at all |
| Relinquished close to Day 45 | ID list tax effects, boot risk if cash or debt relief is uneven, multi-state / CA clawback flags |
| Day 45 to Day 180 | Replacement acquisition tax effects, basis carryover sketch, Form 8824 reporting path |
| After closing year | Form 8824 filing plan. CA Form 3840 annual tracking when California source gain is deferred into out-of-state property |
IRS clocks for a delayed exchange: 45 days to identify replacement property, 180 days to acquire (see Form 8824 instructions). Missing a clock can end deferral. Plan before the clock owns the outcome.
Nationwide / remote: how it works
The Exchange Tax Plan is location-agnostic. Most clients meet by Zoom or phone. Documents move by secure upload. You can be in any U.S. state.
Multi-state exchanges are common. Selling California property and buying elsewhere often triggers California clawback tracking, including annual Form FTB 3840 duties when the rules apply. We call that out in the plan checklist. A deeper Form 3840 guide will link here when published.
LA local vs national: This page is the national product. The existing 1031 exchange CPA page for Los Angeles stays the LA niche service page. City landing pages (when published) will CTA back to this national plan. We do not claim a physical office in every city. Remote nationwide is the offer.
Documents to bring
Bring what you have. Estimates are fine early. Final closing statements help later.
- Settlement or closing statements (or broker / escrow estimates) for the relinquished property
- Depreciation schedules and basis workpapers
- Current mortgage / debt balances on relinquished property
- Draft identification list, if any
- QI engagement letter or exchange agreement, if already engaged
- Entity ownership chart (LLC, partnership, trust, or individual)
- Purchase estimates or LOIs for likely replacement property, if available
A longer Day 45-180 intake checklist can live on a future calendar page. This list is enough to start the Exchange Tax Plan.
One-time plan vs ongoing CPA work
The one-time plan is enough when you need scoped exchange modeling, a reporting plan, and a clear issues list for this deal. Many investors keep their regular preparer for the annual return and use LaviCPA only for the Exchange Tax Plan.
Book ongoing or separate work when you need annual compliance after the exchange, multi-year California Form 3840 filing, multi-state filings, or full CPA representation beyond this scoped plan. Those are separate engagements.
We do not invent ROI math for the fee. The value is clarity on boot, basis, deadlines, and state clawback before irreversible ID and purchase choices lock in.
Fee is quoted on the consult after we confirm scope. No checkout until the plan package is locked for your facts.
Related guides (internal)
Use these when you want depth before or after the consult:
- How to protect your 1031 exchange from taxable boot
- 1031 exchange rules 2026 complete guide
- Mastering the 1031 exchange guide (Day 45 ID and QI selection education)
- Cost segregation (when pairing cost seg with replacement basis)
- LA 1031 exchange CPA (Los Angeles local niche only)
Book your Exchange Tax Plan
Book a national remote Exchange Tax Plan consult with LaviCPA.
- Who: Shawn Lavi, CPA (principal). Elias Lavi, CPA is co-owner and founder.
- What: One-time Exchange Tax Plan as scoped above.
- Where: Zoom / phone, any U.S. state.
- Fee: Quoted on consult (scope first, then fee)
- Next step: Schedule at https://calendly.com/lavicpa/30min until a checkout flow exists.
We are not a QI. We do not hold exchange funds. Bring your QI and attorney into the loop. We will give you tax coordination notes they can use.