Last week, several members of Accruit joined other industry colleagues at the annual FEA conference in Chicago to hear about the latest updates regarding tax reform and the potential impact to 1031s. Through the efforts of the 1031 Coalition, the 1031 industry was successful in ensuring capping 1031s were not part of the revenue offsets presented by the House of Representatives earlier this month. This is a positive outcome as we typically see the Senate follow the lead on tax offsets from the House. Furthermore, on the Senate floor last month, Senator Kennedy (LA) submitted an amendment during a “vote-a-rama” to retain 1031s in their current state. Per the request of Senate Finance Chairman Wyden (OR) the vote was taken as a voice-vote and received unanimous support from all Senators.
This week, Brent Abrahm, Accruit President & CEO, participated in three significant virtual calls with Senators to further underscore the importance of retaining 1031s as an effective stimulus for our country. Along with other members of the 1031 Coalition, critical points were made regarding the positive impact of 1031s. A few key supporting facts were highlighted in each call; 1031 like-kind exchanges allow the country to repurpose inefficient commercial properties, 1031s actually produce a positive economic benefit, increase income taxes, and create additional jobs by stimulating our economy, and any attempts to cap the 1031 provision is equivalent to repeal. Senators Bennet (CO), Tester (MT) and Kennedy (LA) all showed wide support and understanding of our data and points of impact.
The efforts are not over and work still needs to be done. Accruit will participate in additional Hill meetings in the coming weeks. We still ask that anyone who may be impacted by a change in the 1031 code, please ACT NOW and share your support.
For more information about 1031 exchanges or Accruit at FEA or , contact 800-237-1031 or visit accruit.com today!