Charles S Nelson

December 27, 2022 | New York Law Journal

When an instrument denominated as debt has "equity-like" features, should it be respected as debt or recharacterized as equity for income tax purposes? In this edition of their Real Estate Financing column, Ezra Dyckman and Charles Nelson discuss a recent opinion from the Tax Court which came to a "taxpayer-friendly result" on this issue.

By Ezra Dyckman and Charles S. Nelson

4 minute read

October 25, 2022 | New York Law Journal

On Aug. 16, President Joe Biden into law the "Inflation Reduction Act," which, among other things, extended the limitation on the deduction of certain business losses from Jan. 1, 2027 to Jan. 1, 2029. The authors believe that this extension provision, although not highly publicized, could have a significant effect on businesses that have tax losses, including rental real estate businesses.

By Ezra Dyckman and Charles S. Nelson

4 minute read

August 24, 2022 | New York Law Journal

Although both the New York State and New York City statutes use almost identical language, the two jurisdictions take conflicting positions with regard to bulk sales of residential condominium units.

By Ezra Dyckman and Charles S. Nelson

4 minute read

June 21, 2022 | New York Law Journal

In their Real Estate Financing column, Ezra Dyckman and Charles Nelson discuss the recent Ninth Circuit case, 'Milkovich v. United States,' which raises a number of interesting issues relating to distressed debt and serves as a reminder of the importance of the distinction between cancellation-of-indebtedness income and gain from the sale of property.

By Ezra Dyckman and Charles S. Nelson

5 minute read

April 26, 2022 | New York Law Journal

A discussion of the Treasury Department's 2021 regulations regarding qualified opportunity funds which "provide a significant benefit to taxpayers who purchased property in qualified opportunity zones prior to 2018." The authors warn, however, that there are "several pitfalls that must be avoided."

By Ezra Dyckman and Charles S. Nelson

5 minute read

February 22, 2022 | New York Law Journal

Joint Venture transactions involving entities owning real property in New York can sometimes raise complicated New York State and City real property transfer tax questions. In their Real Estate Financing column, Ezra Dyckman and Charles Nelson discuss the recent case, State ex rel. Saric v. GFI Breslin, which illustrates many of the issues that can arise.

By Ezra Dyckman and Charles S. Nelson

5 minute read

December 21, 2021 | New York Law Journal

In their Real Estate Financing column, Ezra Dyckman and Charles Nelson discuss the Hurricane Ida relief issued by the IRS which may provide a significant benefit to certain taxpayers in the NYC area that are engaging in Section 1031 exchanges, however they warn that the consequences of failing to meet a Section 1031 deadline are severe.

By Ezra Dyckman and Charles S. Nelson

4 minute read

October 26, 2021 | New York Law Journal

In recent years, promotors have marketed so-called "monetized installment sales," which would purportedly allow a seller to benefit from installment sale treatment while still effectively receiving the cash proceeds in the year of the sale. In their Real Estate Financing column, Ezra Dyckman and Charles Nelson discuss the IRS's Chief Counsel Advice Memorandum which explains why such transactions should not be respected for income tax purposes.

By Ezra Dyckman and Charles S. Nelson

4 minute read

June 22, 2021 | New York Law Journal

In their Real Estate financing column, Ezra Dyckman and Charles Nelson discuss New York's new pass-through entity tax regime which can provide a significant federal tax benefit to businesses owned through pass-through entities, such as real estate and other closely held businesses, however taxpayers need to be aware of several uncertainties and complexities regarding the application of the new law.

By Ezra Dyckman and Charles S. Nelson

6 minute read

April 27, 2021 | New York Law Journal

In their Real Estate Financing column, Ezra Dyckman and Charles Nelson discuss the new 2020 partnership tax basis capital account reporting requirements which "give the IRS much more visibility into the tax situations of partners in partnerships."

By Ezra Dyckman and Charles S. Nelson

5 minute read