Calculate boot (cash received, mortgage relief, or non-like-kind property) and estimate tax implications for your 1031 exchange. Boot is any property or cash received in an exchange that is not like-kind, and it is subject to immediate taxation.
Enter your property values and mortgage information to calculate boot and estimated tax implications.
Cash received from the exchange (if any)
Mortgage balance on relinquished property
Mortgage balance on replacement property
Cash Boot: Any cash or non-like-kind property received in the exchange. This is immediately taxable.
Mortgage Boot: Occurs when the debt on your replacement property is less than the debt on your relinquished property. The difference is treated as boot and is taxable.
Total Boot: The sum of cash boot and mortgage boot. This amount is subject to capital gains tax and potentially the Net Investment Income Tax (NIIT).
Note: Tax rates vary based on your income, holding period, and other factors. The estimated tax shown is illustrative only.
Educational content only. Not tax, legal, or investment advice. Results are estimates only. Consult a qualified intermediary and tax advisor before making decisions. New Mexico does not impose a state real estate transfer tax. Recording fees and title insurance premiums still apply.
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