NAREIT joined a broad coalition of industry groups in writing to the leaders of the Senate Finance Committee and House Ways and Means Committee to request that they encourage the Treasury Department delay the effective date of the debt-equity recharacterization rule proposed in April until 90 days after the proposed regulations are finalized.
The organizations also asked that the tax-writing committees encourage Treasury to extend the public comment period for the proposed regulations to October 5, at the earliest, and “dedicate adequate time and resources for a thorough review and analysis of the public comments rather than seeking to finalize the regulations on an arbitrarily rapid timeline.”
Additionally, the groups reiterated their concerns with the proposed Section 385 regulations.
“This proposal, which overturns long-standing tax policy and well-established case law and is of questionable validity, will significantly increase the cost of doing business in the United States, creating further obstacles to much needed investment, job creation and economic growth,” they said.
(Contact: Cathy Barre at email@example.com)