The passage of the Tax Cuts and Jobs Act of 2018 (the act) ushered in a new era in taxation. It fundamentally changed individual income taxation, as well as the taxation of pass-through entities and corporations. It also made significant changes to the deductibility of state income taxes at the federal level.

However, the act also made many changes that have attracted significantly less attention. These changes must be considered as well, especially in the context of arranging the lifetime structural aspects, as well as planning the estates, of real estate investors and developers. In terms of allocating wealth between assets, these changes have, arguably, tipped the scales in favor of real estate over other classes of assets.

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