Real property-related tax questions have long been a mainstay of this blog. Since being passed into law in late 2017, the Tax Cuts and Jobs Act and its sections relating to investment in commercial real estate have regularly appeared in my posts. The establishment of tax-advantaged Opportunity Zones and the clarifications of the regulations governing those investments, among … [Read more...] about IRS issues final safe harbor rules for rental real estate owners to take the 20% qualified business income deduction under Section 199A
Section 1031 tax-deferred exchanges and their intricacies have been a substantial aspect of my law practice for many years, and are a regular feature in my blog. Given the large number of commercial property transactions in the San Francisco Bay Area involving highly appreciated real estate, it is hardly a surprise that I have spent a significant portion of my legal career … [Read more...] about “Sham” workarounds after failed Section 1031 exchanges may expose qualified intermediaries to penalties under new FTB guidance
Virtually hidden among the more controversial provisions of the Tax Cut and Jobs Act adopted late last year, Opportunity Zones, which are intended to promote economic activity in lower-income areas by giving preferential tax treatment to investors, are starting to attract attention from both the financial industry and the public interest sector. This program allows capital … [Read more...] about Will Opportunity Zones under the Tax Cut and Jobs Act enhance prospects for real estate investment and community development?
Earlier this year, I noted in this blog that the home mortgage interest deduction “marriage penalty” ambiguity that had previously existed under the Internal Revenue Code (“IRC”) was apparently left unresolved in Congress’s haste to enact tax reform. Now that a few months have passed since passage of the sweeping federal tax overhaul known as the Tax Cuts and Jobs Act, the … [Read more...] about Will the new “pass-through entity” tax deduction affect how savvy investors acquire real estate?
It seems as if we’ve been seeing news items every day for the last few months about the “the most sweeping overhaul of the US tax system in more than 30 years” that was just passed by Congress in December. Unsurprisingly, this massive revision has resulted in a mad scramble, as the IRS, accountants, tax attorneys, and other tax professionals grapple with the multitude of … [Read more...] about Did recent wide-ranging tax code changes resolve the home mortgage interest deduction “marriage penalty” ambiguity, or further muddy the waters?