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Updated almost 2 years ago,
1031 Membership Interest Sale?
We own a duplex in a disregarded llc and want to sell the membership interest of the llc to our buyer to avoid transfer taxes. We wanted to do a 1031 but they said it may not work because the llc's member is a partnership. If we sell the llc interest and duplex and the partnership later buys land to develop on, wouldn't that work? We're not pulling any funds out and both partners are doing the exchange.