Educational tools should make uncertainty visible.
1031 Tax Calculator is designed for early-stage planning, not return preparation. Each tool separates user-entered facts from calculated values and flags the areas where tax character, depreciation recapture, liabilities, exchange expenses, mixed use, or state rules require professional judgment.
The gain estimator begins with amount realized, adjusted basis, and entered exchange expenses. The boot model compares retained equity and debt relief with replacement equity and new debt. Recognized gain is capped at realized gain, while estimated deferred gain is shown as a planning bridge rather than money that disappears.
Show the formula
Intermediate values remain on screen so an incorrect basis, debt, or expense assumption can be identified.
Cap the output
Recognized gain cannot exceed realized gain, and negative entries are prevented in the interactive model.
State the limit
Every tool explains why the result must be reviewed before it is used in transaction documents or a filed return.
Built around the rules, not generic article filler.
The calculation library references IRS Form 8824 instructions and Treasury Regulation §1.1031(k)-1. Those sources establish the exchange framework; they do not replace fact-specific advice from the exchanger’s CPA, attorney, and qualified intermediary.
Explore All Calculators