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Abstract: 

The PATH Act, signed into law on December 18, 2015, is the most comprehensive piece of tax legislation enacted in recent history. It not only made permanent many of the temporary tax extender provisions, but also made substantive changes to the FIRPTA rules, made taxable most REIT spin-off transactions, and extended the bonus depreciation provisions through 2019. Taxpayers and their advisors must evaluate each provision and its application on a case-by-case basis to determine whether the changes made by the PATH Act are favorable to a given investor and the entities in which he or she invests. The authors detail how the PATH Act affects the FIRPTA tax rules, REIT spin-offs, and bonus depreciation; in addition, they provide a chart summarizing, section by section, the full extent of the Act\'s tax extender changes.

Keywords: Protecting Americans from Tax Hikes (PATH) Act, FIRPTA, REITs, bonus depreciation, extender(s), spin-offs

Affiliations:  1: Baker & Hostetler LLP; 2: Baker & Hostetler LLP.