Keep in mind the basic 1031 rules:Must complete within 180 calendar days of the sale of your relinquished propertyMust identify (up to 3) replacement properties within 45 daysOnly complete tax deferral if the final value of the replacement property(ies)equal at least as much as your net sale price for the relinquished property.If you trade down in value, the difference is taxableKeep the same taxpayer across propertiesYou can exchange into (and out of) any state and many US territoriesThere are lots of different assets that qualify as valid replacement targets in a 1031, so think broadly

If the taxpayer has not redeemed within 3 years after the auction, then the certificate holder can surrender their certificate to the probate judge in the county where the property is located, pay a $5 fee, and receive a tax deed.

So the attorneys look for them during title search and require that they be paid off at closing.I'm not sure how Trustee Deeds work in your state but from  what I've seen in the quiet title cases that I've studied, the IRS will typically release their lien on the property and allow the quiet title to move forward while reserving their right to lien upon the remainder of the taxpayer's property.

According to the IRS website: "The Mortgage Debt Relief Act of 2007 generally allows taxpayers to exclude income from the discharge of debt on their principal residence.

Now, the reasoning used to justify this (notice I did not use the word logic), is that the municipality runs by taxpayer dollars; so if municipal utilities go unpaid, that would place an extra burden on the taxpayers (i.e. higher taxes).

  (1) Original intent and (2) all the taxpayer's facts and circumstances. 

I have seen a court case where a taxpayer was denied the deduction because a bookcase filled with pleasure reading books was in the room.Another glitch with rental property is whether it qualifies as a "business" since it is per se passive.

Because you file jointly the IRS sees you and your husband both as the tax payer for that property.  1031 does not allow you to sell and buy from yourself.2.

In Canada we cannot defer our tax payments like in the USA (which is what a 1041 exchange does).  

If I transfer the deed from LLC to personal name of a member 1) how do I handle the name change for the title insurance 2) is it a good idea to leave in personal name or transfer back to LLC once refinance is complete (which I'm being told I should do by year's end by my accountant for LLC tax purposes i.e. he said it won't trigger a tax payment either way).