IRS Provides Final Guidance on Rental Real Estate Safe Harbor under Section 199A

The IRS recently released Rev. Proc. 2019-38, which provides a safe harbor for treating a rental real estate enterprise as a single trade or business for purposes of section 199A. Section 199A generally allows a deduction of up to 20% of the taxpayer’s qualified business income from each of its qualified trades or businesses. The safe harbor had originally been proposed by the IRS in Notice 2019-07.

Read More: Rev. Proc. 2019-38, Notice 2019-07

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