Tax Planning for Real Estate, Part 1 – 2019 – The Missouribar

Originally presented on October 23, 2019

Tax issues in major real estate transactions – property development, long-term ownership, build-and-sell, like-kind exchanges – often drive the structures of these deals. If not properly considered, tax issues can also have a major adverse impact on the underlying economics of a deal.  The structure of a transaction can impact the timing and amount of gain, the treatment of losses (often very valuable to participants), and even the tax rate.  At every stage of a transaction, tax plays an important role.  This program will provide you with a practical guide to major tax planning issues in real estate deals, including choice of entity, capital gains and distribution planning, and advanced like-kind exchange issues. 

• Choice of entity considerations – contributions, distributions, and eventual sales
• Acquiring property in a form to minimize taxes later
• Understanding allocation and distribution provisions – layered allocations, target/forced allocations, built-in-gain (or loss) allocations 
• Understanding and drafting for continuing ownership, including capital shifts and other shifts in ownership 
• Deductions arising from non-recourse debt and minimum gain chargebacks

Speakers: Leon Andrew Immerman, Alston & Bird, LLP, Atlanta, GA and Saba Ashraf, Ballard Spahr, LLP, Philadelphia, PA

NOTE: This program was originally produced as a telephone seminar and is available on demand in streaming audio. This material qualifies for self-study credit only. Pursuant to Regulation 15.04.5, a lawyer may receive up to six hours of self-study credit in a reporting year. Self-study programs do not qualify for ethics or elimination of bias credit.