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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsBonanza for Rich Real Estate Investors, Tucked Into Stimulus Package
The federal governments planned $2 trillion economic rescue package includes financial aid for individuals and industries that are struggling to survive the coronavirus pandemic.
It also includes a potential bonanza for Americas richest real estate investors.
Senate Republicans inserted an easy-to-overlook provision on page 203 of the 880-page bill that would permit wealthy investors to use losses generated by real estate to minimize their taxes on profits from things like investments in the stock market. The estimated cost of the change over 10 years is $170 billion.
Under the existing tax code, when real estate investors generate losses from gradually writing down the value of their properties, a process known as depreciation, they can use some of those losses to offset other taxes. The result is that people can enjoy big tax breaks stemming from only-on-paper losses, even if they enjoy big cash profits in the real world.
https://www.msn.com/en-us/money/realestate/bonanza-for-rich-real-estate-investors-tucked-into-stimulus-package/ar-BB11L4im?li=BBnb7Kz
dalton99a
(81,566 posts)machoneman
(4,007 posts)jimfields33
(15,912 posts)He bragged about getting that in the bill.
Baitball Blogger
(46,753 posts)I forgot that it now goes back to the House...again?
flamingdem
(39,316 posts)you can then turn around and get rid of your real estate losses and keep all that moolah. Perfect for tRump and his cronies.