KPMG report: State and local incentive arrangements | KPMG | GLOBAL
close
Share with your friends

KPMG report: State and local incentive arrangements from REIT perspective

KPMG report: State and local incentive arrangements

Nearly three years after taxpayers requested them, the IRS on April 20, 2018, issued three identical private letter rulings specifically addressing whether the right to receive payments out of new tax revenue collected by a municipality as the result of a real estate development is a qualifying real estate investment trust (REIT) asset and whether these payments are qualifying REIT income.

1000

Related content

A KPMG report summarizes and contextualizes the three IRS rulings and relevant tax rules concerning tax treatment under the REIT rules for incentive payments from a municipality involving tax increment financing, and attempts to explain why there was a delay in issuing the letter rulings. Written by KPMG tax professionals David Lee and Orla O’Connor, the KPMG report was published in The Daily Tax Report and is provided by permission of the publisher Bloomberg BNA. 

 

Read the July 2018 report [PDF 193 KB] State and Local Incentive Arrangements From a REIT’s Perspective

 

For more information, contact a tax professional with KPMG:

Orla O'Connor | +1 (415) 963-7511 | orlaoconnor@kpmg.com

David Lee | +1 (202) 533-4071 | dwlee@kpmg.com

Stephen Giordano | +1 (202) 533-3535 | stephengiordano@kpmg.com

© 2018 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.KPMG International Cooperative (“KPMG International”) is a Swiss entity.

Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Request for proposal

 

Submit