This episode discusses the benefits of a 721 exchange for farmland owners. Ethan Branscum of the Sower Legacy Farmland Fund explains how a 721 exchange allows landowners to defer capital gains taxes by exchanging their farmland for units in a partnership. This provides more flexibility in managing the asset, especially for estate planning and succession purposes. The podcast covers the differences between a 721 exchange and a 1031 exchange or Delaware Statutory Trust (DST), as well as the process and potential downsides of doing a 721 exchange. Branscum also discusses trends in the agriculture sector and provides advice for farmland owners considering a 721 exchange.
