Working to protect Minnesota REALTORS and homeowners.
Tax Reform is underway on Capitol Hill. The Senate has adopted a “Blank Slate” approach that initially eliminates every provision in the tax code, including those that encourage real estate ownership and investment.
Senators must submit their tax reform priorities to Senate leaders by July 26, 2013. REALTORS® need to make their voices heard now so real estate provisions are on the top of the Senators’ lists.
When approaching tax reform, Congress needs to be careful not to adversely affect the unique legacy of homeownership and real estate investment. It is precisely this legacy that has contributed to our country’s historical prosperity and the revitalization of today’s economy.
REALTORS® must stand united that tax reform should above all “Do No Harm” and encourage Congress to retain tax provisions vital to real estate. Approach your Senator with the following recommendations on behalf of Minnesota homeowners before July 26:
- The mortgage interest deduction should be preserved in its current form and the limits indexed for inflation.
- The exclusion of capital gains on the sale of a principal residence should be preserved and the limits indexed for inflation.
- The deduction for property taxes paid should be preserved.
- The temporary exclusion of income from discharge of mortgage debt (mortgage cancellation) should be made permanent.
- The depreciation periods of commercial and residential buildings should be shortened to reflect the true useful lives of these assets. The temporary provision allowing faster write-off for leasehold improvements should be made permanent.
- Like-kind exchange of real property (1031) provisions that allow for the deferral of gain should be maintained.
The Minnesota Association of REALTORS® is the largest professional trade association in the state with more than 17,000 members who are active in all aspects of the real estate industry.