To obtain general information about this topic one can always do a search on a search engine "IRC 1031 Exchange". The IRS website should also have some information too. Here's a link to an intermediary in Hawaii that has some general information about the process in different languages. See: http://www.orexco1031.com.
Be carrying forward Losses from prior years.
Always best to talk to an accountant or a lawyer.
As it is a rental property one cannot shield the $250k if single or $500k if married.
That you can otherwise shelter one primary residence every two years.
reducing depreciable basis in the Replacement Property â€“ a gain of less than $25,000 -$50,000 is usually the threshold. I hope this helps. If you need more info let me know, I am also an accounting major.
Individuals can exclude up to $250,000 in profit from the sale of a main home (or $500,000 for a married couple) as long as you have owned the home and lived in the home for a minimum of two years. Those two years do not need to be consecutive. In the 5 years prior to the sale of the house, you need to have lived in the house for at least 24 months in that 5-year period. In other words, the home must have been your principal residence.
As always it is highly recommended you consult your CPA regarding this.