The Effect of the Economic Growth & Tax Relief Reconciliation Act of 2001 on Real Estate Investors

  • December 4, 2001
  • • Written by: J. Russell Hardin Jack R. Fay

Winter 2001/2002, Vol 26, No 4

Abstract: If real estate investors are to maximize after-tax profits, they must have a working knowledge of the latest legislative changes enacted by the United States Congress that pertain to real estate investment related activities. On June 7, 2001, President George W. Bush signed into law the Economic Growth and Tax Relief Reconciliation Act of 2001. This sweeping piece of legislation contains many new tax provisions and amendments to the Internal Revenue Code. Investors in real estate are urged to look closely at this new tax legislation to seek ways in which they can significantly diminish their future income taxes. Significant changes include repeal of the estate tax, liberalized retirement account rules, lower overall tax rates, and more.