Some unfair attacks: regulations improperly seek to reduce tenant-stockholders' deductions; IRS improperly seeks to tax nonexistent income

Article Abstract:

The IRS has created several unfair regulations on taxation of cooperative housing corporations and tenant-shareholders. These regulations deny certain tax deductions to shareholders when cooperatives hold additional receipts such as commercial rent or bank interest. The IRS also improperly uses IRC Section 277(a) to tax cooperatives on nonexistent income even when they have lost money on other businesses.

Corporate income taxes, Expense deductions

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Tenant-stockholder's interest held to have unlimited life despite fixed term of proprietary lease

Article Abstract:

A district court ruled a cooperative apartment tenant-shareholder's undivided interest continues despite the existence of a proprietory lease with a fixed term of less than 50 years. This 1997 decision properly recognized the irrelevance of the lease to the overall question, as well as correctly analyzing the interaction between the lease and the cooperative shares.

Leases

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Realty tax reductions for co-op owners: a fable of four counties

Article Abstract:

Four hypothetical situations can be used to analyze the influence of local realty tax law changes on federal income taxes. Issues involve discharge of tax obligations and the IRC section 164 deduction in situations involving different hypothetical local taxation concerning real estate cooperatives. Suggested planning techniques are also analyzed.

United States, Public Finance Activities, Tax Deductions & Exemptions, Local, Analysis, Real property tax, Real property taxes, Condominiums

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