2017 Tax Act Overview: A Helpful Hand for Most Real Estate
The 2017 Tax Act (often referred to as the Tax Cuts and Jobs Act) contains or preserves some very generous tax benefits for investments in real estate and partnerships. Pub. L. No. 115-97, 131 Stat. 2054 (Dec. 22, 2017). Apart from lowering the maximum individual tax rate to 37%, a new tax deduction equal to 20% of qualified business income may be available to individuals who own income-producing real estate either directly or through a partnership or S corporation. Planning is needed to take full advantage of these changes and to avoid some new pitfalls.
Philip Richard Hirschfeld
Real Property, Trust and Estate Law Section