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Tennessee

1031 Exchanges

What is a 1031 exchange?

A 1031 exchange is a tax strategy that allows you to defer paying capital gains taxes when you sell an investment property, as long as you reinvest the proceeds into a new, like-kind property. This means you can sell one property and buy another similar one without immediately paying taxes on any gains from the sale.

These like-kind exchanges are covered under Section 1031 of the Internal Revenue Code (hence the name "1031 Exchanges") and apply to federal capital gains taxes. However, each state has their own tax code, and may have different rules for real estate tax withholdings, the ability to complete a tax-deferred sale, or the rules around like-kind exchanges. Below we'll dive deep into these state-level specifics.

Tennessee State Taxes

Tennessee Capital Gains Tax Rates

State Tax Rate
0.00%
Local Tax Rate
0.00%
Combined Tax Rate
25.00%
Deductions
None

Tennessee does not have state or local capital gains taxes. The Combined Rate accounts for the Federal capital gains rate, the 3.8 percent Surtax on capital gains, and the marginal effect of Pease Limitations on itemized deductions, which increases the tax rate by 1.18 percent.

Income Taxes

Applies to interest and dividend income only.

Tennessee 1031 Exchange Rules

Many states recognize and follow the federal rules for a qualifying 1031 exchange. We recommending reviewing these resources for 1031 exchanges at the federal level - learn about the rules for an exchange, the key deadlines you must meet, and why you are required to work with a Qualified Intermediary like Deferred.com.

1031 Exchange Companies in Tennessee

Deferred

Nationwide, including Tennessee

8,000+ Exchanges (and counting...) - Deferred is redefining how 1031 exchanges should be. Our experienced team delivers a service level that exceeds expectations, with no fee—while earning you interest on your exchange funds.

No Fee + Earn Interest
  • Simple & compliant process
  • No hidden fees or upsells
  • Forward Exchange for No Fee

1031 Exchange Brokers Serving Tennessee

Jared Kaye

Matthews

jared.kaye@matthews.com

Jared Kaye is the Senior Vice President at Matthews Real Estate Investment Services™, specializing in investment sales of single-tenant net lease assets, strip centers, sale-leasebacks, portfolio dispositions, and capital facilitation. Before joining Matthews™, Jared was a First Vice President of Investments and Senior Director at Marcus & Millichap, where he partnered with Sonny Molloy. Together, they have closed over $2.9 billion in transactions across 29 states and facilitated more than $500 million in capital.

Jared takes a client-centric, relationship-driven approach, leveraging market expertise and tailored solutions to meet his clients’ objectives. He holds a B.S. in Finance with a specialization in Real Estate from the University of Florida, with real estate licenses in Georgia, Florida, and South Carolina. Jared is also an active member of the International Council of Shopping Centers and the Atlanta Jewish community, recognized as “40 Under 40” in 2022. He enjoys spending time with his wife, Hannah, and their children, Caleb, Ari, and Maren, and is a fan of the Florida Gators, golf, and tennis.

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PROFESSIONAL ACCOMPLISHMENTS

  • Crexi Platinum Broker – 2023, 2022, 2021
  • Atlanta Jewish Times 40 Under 40 – 2022
  • Connect CRE Next Generation Winner – 2023
  • Marcus & Millichap National Achievement Award – 2022, 2021
  • Marcus & Millichap Sales Recognition Award – 2023, 2022, 2021, 2020, 2019, 2018
  • Marcus & Millichap Senior Investment Advisor Inductee – 2022

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AFFILIATIONS AND MEMBERSHIPS

  • International Council of Shopping Centers (ICSC)
  • Georgia Real Estate Commission
  • License No. 348701 (GA)
  • Florida Real Estate Commission
  • License No. SL3224428 (FL)
  • South Carolina Real Estate Commission
  • License No. 129648 (SC)

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Specialty: Retail

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