1031 Services

Our 1031 exchange business originated at the request of our clients. Needing 1031 services and recognizing our trust services and oil and gas expertise, several of our early clients came to us to request that we serve as their Qualified Intermediary under Section 1031 of the Tax Code. Responding to the growth in demand for our 1031 services, we formed Permian Basin 1031 Exchange Services, LLC, in 2011 as a wholly owned subsidiary of The Swallow Group, LLC, to provide the specialized services required by like-kind exchanges.

In a 1031 like-kind exchange, a taxpayer may sell income, investment, or business property and buy similar property without having to pay federal capital gains tax on that transaction. Generally, oil and gas properties will qualify for 1031 treatment. In a forward exchange, a Qualified Intermediary holds the sales proceeds from the taxpayer's relinquished property during the exchange period (no more than 180 days) and tenders those proceeds for the purchase of the new property. In a reverse exchange, the taxpayer wishes to buy his or her new property first and later sell the property to be relinquished. In a reverse exchange, we hold title to either the relinquished property or the new property during the exchange period, qualifying the transaction for 1031 exchange treatment.

The requirements of a 1031 exchange are intricate and strict. We take pride in our personal service and quick response. As Qualified Intermediary, we are prohibited from giving specific tax advice. However, we are happy to provide information about 1031 exchanges and to work with your tax advisor to structure your transaction as a 1031 exchange. Please call our office to set up an appointment if you are interested in additional information about our exchange services.

Our Services

Quick Contact Info.

Physical Address:
The Swallow Group, LLC
1307 West Texas Avenue
Midland TX 79701

432-682-3311 (phone)
432-682-3312 (fax)

Mailing Address:
The Swallow Group, LLC
P.O. Box 5575
Midland TX 79704