News & Analysis as of

U.S. Treasury Real Estate Investments

Husch Blackwell LLP

OBBBA Extends, Modifies Opportunity Zone Program

Husch Blackwell LLP on

One of the highly anticipated provisions of the One Big Beautiful Bill Act (OBBBA) is the extension and expansion of the Opportunity Zone (OZ) program, which was originally enacted under the Tax Cuts and Jobs Act of 2017...more

Seyfarth Shaw LLP

7 Key Changes to the Qualified Opportunity Zone Incentive Under the One Big Beautiful Bill Act

Seyfarth Shaw LLP on

On July 4, President Trump signed into law H.R. 1, the One Big Beautiful Bill Act (OBBBA), a sweeping 870-page piece of legislation that introduces significant changes across various areas of federal policy. While full...more

Seyfarth Shaw LLP

A New Chapter for Opportunity Zones

Seyfarth Shaw LLP on

The Opportunity Zone program (the “OZ Incentive Program”), launched under the 2017 Tax Cuts and Jobs Act, was designed to spur economic development in distressed communities by offering tax incentives to investors. As part of...more

Husch Blackwell LLP

Real Estate Transactions Come Under Increased National Security Scrutiny

Husch Blackwell LLP on

As geopolitical tensions rise and the post-Cold War global order continues to fray, national security has experienced a renewed policymaking focus. The most prominent areas in this regard have been critical technology...more

Holland & Knight LLP

IRS Issues Private Ruling That Entity with Zero Gross Income or Assets Can Qualify as a REIT

Holland & Knight LLP on

In private letter ruling (PLR) 202440007, the taxpayer (Taxpayer REIT) elected to be treated as a real estate investment trust (REIT) for its initial tax year. The Taxpayer REIT was formed as a vehicle to invest indirectly...more

Mayer Brown

FinCEN Finalizes Residential Real Estate Reporting Requirements

Mayer Brown on

On August 28, 2024, the US Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) finalized a rule to require reporting of certain US residential real estate transactions (“Final Rule”). The Final Rule...more

Jones Day

Treasury Proposes Expansion of CFIUS Real Estate Review Authority

Jones Day on

On July 8, 2024, the U.S. Department of the Treasury ("Treasury") issued a proposed rule to expand the Committee on Foreign Investment in the United States' ("CFIUS") jurisdiction over certain categories of foreign investment...more

Akerman LLP

Treasury Proposes Expansion of CFIUS Real Estate Jurisdiction

Akerman LLP on

On July 19, 2024, the U.S. Department of the Treasury (Treasury) published a Notice of Proposed Rulemaking (NPRM) that seeks to expand the Committee on Foreign Investment in the United States’ (CFIUS) jurisdiction over real...more

Skadden, Arps, Slate, Meagher & Flom LLP

CFIUS Proposes Expanded Real Estate Jurisdiction

On July 8, 2024, the U.S. Department of the Treasury (Treasury) issued a Notice of Proposed Rulemaking (NPRM) which, if implemented, would expand the U.S. geographical areas in which the Committee on Foreign Investment in the...more

Goodwin

IRS Finalizes Regulations for Domestically Controlled REITs and other Qualified Investment Entities

Goodwin on

On April 24, 2024, the U.S. Treasury Department and the Internal Revenue Service released final regulations (the “Final Regulations”) regarding when REITs and certain regulated investment companies investing primarily in...more

Bilzin Sumberg

Final Treasury Regulations Implement a 10-Year Transition Rule for Existing Domestically Controlled REITs

Bilzin Sumberg on

The U.S. Department of the Treasury (the “Treasury”) and the Internal Revenue Service (the “IRS”) have recently issued final regulations (the “Final Regulations”) that significantly impact the determination of whether a real...more

Sullivan & Worcester

Ameek Ashok Ponda Submits Comments to IRS to Address Favorably REITs Deploying Renewable Energy Infrastructure at their Properties

Sullivan & Worcester on

On April 16, 2024, Ameek Ashok Ponda, with assistance from Paul Decker, Sarah Wellings and Connie Lee, submitted a comment letter to the Internal Revenue Service (IRS) regarding his recommendations for the 2024-2025 Priority...more

Skadden, Arps, Slate, Meagher & Flom LLP

Final ‘Domestically Controlled REIT’ Regulations Retain Corporate Look-Through With Some Modifications

On April 24, 2024, the Treasury Department released final regulations that alter key rules affecting many real estate funds and foreign investors in U.S. real estate....more

Vinson & Elkins LLP

Considerations for REITs, their Subsidiaries, and Other Real Estate Companies under the Corporate Transparency Act

Vinson & Elkins LLP on

The Corporate Transparency Act (the “CTA”), a new federal law, went into effect on January 1, 2024. The CTA requires that certain entities file Beneficial Ownership Information Reports (“BOI Reports”) with the Financial...more

Lowenstein Sandler LLP

U.S. Treasury Issues Notice of Anti-Money Laundering Regulations for Residential Real Estate Transfers

Lowenstein Sandler LLP on

On Feb. 7, the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) issued a notice of proposed rulemaking (NPRM)1 in response to illicit finance risks identified in the U.S. residential real estate...more

Rivkin Radler LLP

NY’s LLC Transparency Act and NYC Real Estate – Albany Wants to Know the Secrets that You Keep[i]

Rivkin Radler LLP on

A national study released in 2015 reported that “nearly half the residential purchases of over $5 million were made by shell companies rather than named people.”[ii] Because shell companies could often be formed without...more

Keating Muething & Klekamp PLL

Emerging State Laws Restricting Foreign Ownership of Real Estate

The Office of Foreign Assets Control (“OFAC”) is an arm of the U.S. Department of Treasury, tasked with administering and enforcing various economic and trade sanctions intended to further U.S. foreign policy and national...more

Torres Trade Law, PLLC

CFIUS Updates: New FAQs Clarify Positions; Possible Expansion of Scope of Real Estate Review

Torres Trade Law, PLLC on

In our recent article Amid TikTok Tensions, CFIUS Signals Increased Enforcement and Other Updates, we discussed updates from the Committee on Foreign Investment in the United States (“CFIUS” or “the Committee”) primarily with...more

Parker Poe Adams & Bernstein LLP

How Real Estate Developers Can Benefit From a New Tax Rule

The Internal Revenue Service has now made it much easier for real estate developers across asset classes to benefit from the alternative cost method. It enables multi-unit developers to receive tax benefits for common...more

Akin Gump Strauss Hauer & Feld LLP

U.S. Treasury Proposes Sweeping Changes Narrowing a Key Exception from U.S. Taxation for U.S. Real Estate Investments Made by...

Key Points - Recently proposed regulations would significantly curtail the ability for private fund sponsors and non-U.S. investors to use a so-called D-REIT to facilitate a tax-efficient exit from U.S. real property...more

King & Spalding

Proposed Regulations Would Impact Taxation of Investment in U.S. Real Estate by Non-U.S. Investors

King & Spalding on

On December 29, 2022, the IRS and Treasury issued proposed regulations (the “Proposed Regulations”) addressing (1) whether a real estate investment trust (a “REIT”) or a regulated investment company (a “RIC”) will constitute...more

Vinson & Elkins LLP

New Regulations Impact Tax Considerations for Foreign Investment in Real Estate

Vinson & Elkins LLP on

Key Takeaways- While foreign investors are typically taxed on gain from the sale of U.S. real property interests (which include interests in most equity REITs), they are generally exempt from tax on gain from the sale of...more

Proskauer - Tax Talks

New Proposed Regulations Would Impact the Determination of Domestically Controlled REIT and Structures for Sovereign Wealth Funds’...

Proskauer - Tax Talks on

On December 28, 2022, the Internal Revenue Service (the “IRS”) and the Treasury Department released proposed regulations (the “Proposed Regulations”) under sections 892 and 897 of the Internal Revenue Code (the “Code”). If...more

Holland & Knight LLP

Proposed Treasury Regulations Reverse Guidance on Domestically Controlled REITs

Holland & Knight LLP on

The U.S. Department of the Treasury and IRS on Dec. 29, 2022, published proposed regulations (Proposed Regulations) under Section 897 of the Internal Revenue Code of 1986, as amended (Code). The Proposed Regulations...more

Sullivan & Worcester

2020 Census Results Have No Impact on Boundaries of Opportunity Zones

Sullivan & Worcester on

The IRS has issued Announcement 2021-10 (the “Announcement”) in response to public questions regarding the potential effect the 2020 Census results may have on the boundaries of previously designated Opportunity Zones. ...more

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