LexisNexis® Legal Newsroom
Gerald Paulukonis Esq on Home Mortgage Interest on Loans to Acquire, Construct, or Substantially Improve

Over the years, Congress has significantly limited the home mortgage interest deduction for regular tax purposes; AMT rules can further limit the deduction. These rules have greatest effect when a taxpayer takes out home equity loans and does not use the proceeds to substantially improve his home...

Charitable Contributions of Water Rights and Tax Deductions

I. Introduction: Open Questions in Federal Tax Law Can the voluntary charitable contribution of an entire or partial interest in either an appropriative or riparian water right be permanently transferred instream for beneficial conservation purposes and receive federal income or estate tax deductions...

Deduct or Capitalize? New Definition for Property Expenditures

Temporary Regulations , effective January 1, 2012, provide guidance on IRC Sections 162 and 263(a) , address when amounts paid to acquire, produce, or improve tangible property are deductible or capitalizable. The Regulations modify the "general plan of rehabilitation" doctrine, define...

First Circuit Reverses Tax Court on Deductability of Facade Easement

As reported by Forbes , the First Circuit recently reversed the Tax Court's decision to disallow a charitable deduction for a facade easement under 26 U.S.C.S. § 170(h) . The Tax Court, in denying the deduction, relied on 26 C.F.R. § 1.170A-14(g) , which establishes further substantive...

Capital Review Group: Grasping the Tax Opportunities for Apartment Building Owners

Thanks to §179 of the Energy Policy Act (EPAct) , new and existing apartment buildings not only can recognize significant reductions in energy costs, but may also qualify for substantial tax deductions for energy-efficient construction and renovations. To make the most of the apartment building's...

Capital Review Group: Are You Ready to Take Advantage of the New Green Tax Incentives?

INTRODUCTION The Energy Policy Act of 2005 includes a tax deduction for investments in "energy-efficient commercial building property" designed to significantly reduce the heating, cooling, water heating, and interior lighting energy cost of new or existing commercial buildings. This energy...

Capitalization Regulations Clearing Murky Real Estate Taxation Waters

By Patricia Hughes Mills J.D. LL.M Determining the nature of expenditures on real estate for federal tax purposes is a fact-sensitive discipline. Capitalization Regulations effective for taxable years beginning on or after January 1, 2014, complement Tax Court decisions, the "general plan...