Study Digs Into Changes and Challenges for Small Firms

Few areas of life are going unaffected by the COVID-19 pandemic and its economic fallout. But according to research from Thomson Reuters, one thing has remained nearly constant: The challenges confronting small law firms and firms’ response, or lack thereof. Although these top-line findings may seem discouraging, the 2020 Report on the State of U.S. […]

Year-End Tax Planning for Challenging Times

The public health, social, political and financial upheaval of 2020 has given taxpayers plenty of reasons to focus on things outside of their taxes. Our “new normal” has given many taxpayers reasons to worry about their futures, not only regarding health and employment but also retirement savings and future tax rates. However, it is important […]

What You Need to Know About the CARES Act and Qualified Improvement Property

Earlier this year, the Coronavirus Aid, Relief, and Economic Security (CARES) Act corrected a drafting error related to real estate qualified improvement property (QIP). This retroactive correction, which accelerates the tax depreciation deduction for certain improvements to real estate, is of particular benefit to: Landlords and tenants who make improvements to leased space; restaurant, hotel […]

How to Plan for a Tax-Efficient Retirement

People today are living longer than ever. These longer life expectancies mean that your retirement savings may have to stretch for more years than you anticipated. Effective tax planning strategies will ensure that your retirement goals are met. Review Your Income Sources The first step is to estimate your cash needs in retirement and evaluate […]

Real Estate Activities Versus Investments: Why it Matters

The characterization of a real estate entity’s activities as a business or an investment makes a big difference to the bottom line when it comes to taxation. In Conner v. Commissioner, a developer whose plans were derailed by the Great Recession recently learned this lesson the hard way.

New Landscape for Real Estate Investment Trusts

The Protecting Americans from Tax Hikes (PATH) Act made substantial changes to certain areas of the Real Estate Investment Trust (REIT) rules. Many of the provisions provide REITs with additional flexibility regarding the nature of their assets and income, which make REITs an appealing investment vehicle for foreign taxpayers (see Sidebar). Prohibited Transaction Safe Harbors […]

Placed in Service: When Tax Breaks May Apply to Retail Properties

A big question we see in the tax realm is: “When can I start depreciating my building?” Conventional wisdom says to start depreciating your retail property once it is open for business. However, a recent court ruling sheds new light on the issue. In this article, we examine the meaning behind the term “placed in service” and analyze the tax court case Stine LLC v. U.S., No. 2:2013cv03224, Jan. 27, 2015 (W.D. La.). In the case, the IRS ruled that a taxpayer’s building could not be considered “placed in service,” as its retail properties were not yet in operation. However, the tax court disagreed with the IRS and had their own interpretation on what “placed in service” means. Read further as we examine this case in greater detail, as it provides additional guidance on when a real estate property can start being depreciated.

Wealth Management Group Newsletter – Winter 2020

Our Wealth Management Group’s Winter 2020 Newsletter covers paying off your mortgage before retiring and investing early for retirement.

Real Estate Group Newsletter – Summer 2019

Our Real Estate Group’s summer newsletter highlights a recent case involving a real estate developer that illustrates how the IRS — and the U.S. Tax Court — generally see through business tactics that have stretched the definition of “marketing” to claim some questionable federal income tax deductions related to their boating hobby. This newsletter also offers a Qualified Opportunity Zones (QOZs) update and touches on the IRS’s proposed regulations.

Real Estate Group Newsletter – Spring 2018

Is a General Partner Fund Right for Your Deal? Justin Sylvan, CPA The process to launch a private real estate fund involves navigating a variety of structural complexities and business challenges. As the real estate boom reaches new heights, real estate private equity sponsors are becoming increasingly constrained and looking for new ways to fund […]

Real Estate Group Newsletter – Spring 2017

ORBA’s Real Estate Group Newsletter is a quarterly publication focused on effective real estate practice management. The Spring 2017 issue includes two articles: “IRS Updates Tangible Property Regulations for Small Taxpayers for 2016 Tax Year” and “New Tax Law Offers PATH to Savings.”

Real Estate Group Newsletter — Winter 2016

ORBA’s Real Estate Group Newsletter is a quarterly publication focused on effective real estate practice management. The Winter 2016 issue includes two articles: “Triple Net Leases: Advantages and Disadvantages for Landlords” and “The IRS is Watching Real Estate Donated to Charity.”

ORBA Welcomes Two New Hires

CHICAGO – Ostrow Reisin Berk & Abrams, Ltd. (ORBA), one of Chicago’s largest accounting firms, is pleased to welcome Anna G. Williamson, CPA to its Audit Department and Justin L. Sylvan to its Tax Department.