All Forum Posts by: John Roust

Actually there are a number of employees that are employed in different states and are subject to state taxes from which they claim residency. Therefore, he is only subject to Nevada state taxes now.

Thanks for sharing your experience. I also wanted to mention that he is employed by a large company full time that has thousands of employees through the US as well as internationally.

A coworker of mine is allowed to work remotely from home. He has recently purchased a home in Nevada and has declared permanent residency there via his employer and has gotten it approved. In reality, he lives in Sacramento, CA. So he is doing this to avoid CA income taxes and he even went further to get a Nevada drivers license and license plates. I spoke to my lawyer friend about this and he said he probably won't be caught since he is having his employer declare to the IRS on his W2 that he lives in Nevada. Has anyone heard of the IRS auditing folks for this? Is there really a risk or is my lawyer friend right?

I just downloaded it and I'm using it now!

I'm in a similar situation actually.. I think 1031 is great but there are a few 'gotchas'. I did a bit of research and it's not as straightforward as it seems:

1. You need to hire a 1031 company that's a third party (QI) and it's anywhere between $500-$1000 and the funds from escrow will be put into the account that's set up by the 1031 exchange company

2. The equity you have in your current property in addition to your gains/profit will need to go into the new property. Pretty much if you get anything from the 1031 account, you will be taxed

3. You must buy a equal value property or greater or you will be taxed

4. You have 45 days to identify a property and 180 days to close. So you have to submit the property or properties you want to buy and then close by 180 days. You can't change the 'identified' property out with something else after 45 days. If you don't end up buying the house you identified, then the 1031 is dissolved. 45 days start immediately after close of escrow.

Anyone else on the forum, please feel free to correct me if I'm wrong on any of these..

New to bigger pockets!

Looking for RE advice on investments and Tax advice