President Biden Signs the Inflation Reduction Act of 2022
On Aug. 16, President Biden signed the Inflation Reduction Act (IRA) of 2022, ending months of negotiations on a bill totaling over $700 billion. In a significant win for the rental housing industry, the final bill did not change the taxation of carried interest. The carried interest provision originally proposed within the bill would have negatively impacted the multifamily industry by requiring that an asset be held for 3 years before it could qualify for carried interest treatment.
Related, the IRA includes a 15% minimum tax on corporations and a 1% excise tax on stock buybacks, both of which will take effect beginning January 2023. The bill also, unfortunately, extends current law limits on excess business losses by two years…Read More.