It’ll be interesting to see our new tax legislation unfold. If you’re anything like me, it has been a challenge listening through the dense sprawling fog of bias interpretations. Will we pay more or less? What really changed and what didn’t? What don’t we know and what are the most likely unintended consequences down the road? How will these changes impact my company; the industry I serve? And, for crying out loud, what about me?!
At this point, it’s clear employers will need to adjust the taxes they’re required to withhold ASAP, so some may see a slightly different bottom line in their paychecks PDQ. However, most changes will not take effect until we send Uncle Sam our 2018 returns.
Our national association has been working hard to quickly put together a helpful glimpse of our new federal tax plan. Early numbers apparently are telling us the real estate industry should be OK. FYI, here’s what your NAA advocacy team has been lobbying for:
- Protect pass-through entities from higher taxes or compliance burdens;
- Ensure depreciation rules avoid harming multifamily real estate;
- Retain the full deductibility of business interest;
- Preserve the ability to conduct like-kind exchanges;
- Maintain current law regarding the treatment of carried interest;
- Preserve and strengthen the low-income housing tax credit;
- Maintain current law for real estate taxes;
- Reform the foreign investment in real property tax act to promote investments in the domestic apartment industry; and
- Improve incentives for energy efficiency in commercial buildings and multifamily properties.
If you’d like to learn more, here’s a great link to NAAs analysis: www.naahq.org.
You can bet your lower tax bracket that AATCs leadership team will be walking the halls of congress in early March. We’ll be banging on doors, asking our elected leaders to share a bit more than the nebulous rhetoric we’ve been listening to so far.
If you want to learn more, there are countless perspectives on the Internet and we’ll be posting lots of emerging tax topics in the weeks to come. Best guess… we’ll be talking about this for years!