More about Carey M. Heyman, CPA
- Carey M. Heyman, CPA
- Managing Principal of Industry - Real Estate
- CliftonLarsonAllen LLP
- Century City (Los Angeles)
Carey is the Managing Principal of the Real Estate Industry at CLA. He is a trusted advisor with close to 20 years of experience providing accounting, assurance, tax, and consulting services to real estate industry owners, operators, family offices, developers and syndicators. Carey has a strong track record of helping clients build and retain capital by leveraging tax- and cost-saving strategies and employing tax credits and incentives. He also consults with high net worth individuals, large family groups, and owners of closely-held businesses on all aspects of tax planning, estate planning, and retirement planning.
Blog Posts by Carey M. Heyman, CPA:
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Section 467 Rental Agreements – Back with a Vengeance?
Enacted in the early 1980’s to prevent the abusive use of the accrual basis of accounting (specifically income and deduction timing differences between accrual and cash basis taxpayers), Section 467 is again a hot-button topic thanks to the ongoing COVID-19 pandemic and its impact on sectors like the commercial real estate industry. Up until this […]
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The Tax Effect of a Lease Termination Payment to a Lessee
This past week, a client called with a question about the potential tax effect of a ground lease termination payment on their long-time leasehold interest. The facts (changed, of course, for privacy reasons): In 1985, ABC Partnership (“ABC”) entered into a 40-year ground lease agreement with a municipality (“City”) to develop and construct an affordable […]
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Related-Party Rules for Section 1031 Exchanges
In a Section 1031 exchange, no gain or loss is recognized on an exchange of real property that is held for productive use in a trade or business or for investment if such real property is exchanged solely for real property that is like kind, which is to be held either for productive use in […]
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Debt-Financed Distributions and Interest Tracing Rules
It’s been a slow news week, so let’s talk about a common concept to real estate investing: debt-financed distributions and interest tracing rules. A debt-financed distribution occurs when a passthrough entity, such as a partnership, secures debt and then distributes a portion of the debt proceeds to its owners. Generally speaking, mortgage interest is deductible […]
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IRS Notice Spells More Relief for Qualified Opportunity Funds and Investors
The IRS recently issued Notice 2021-10, which provided additional relief to Qualified Opportunity Funds (QOF’s) and their investors due to the ongoing COVID-19 pandemic. The following will compare the relief between Notice 2020-39, which was issued by the IRS on June 4, 2020, and Notice 2021-10. 180-Day Investment Requirement for Investors in QOF’s Notice 2020-39: […]
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Faster Depreciation, Please!
There was an important clarification made in the Consolidated Appropriations Act, 2021 with respect to the Alternative Depreciation System (ADS) recovery period of residential real property held by an electing real property trade or business. Under the Tax Cuts and Jobs Act of 2017, a taxpayer could elect out of the Sec 163(j) business interest […]
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The Section 179D Deduction is Here to Stay!
The Energy Efficient Commercial Buildings Deduction (Section 179D) became a permanent addition to the Internal Revenue Code on December 27, 2020 upon the President’s signing of the Consolidated Appropriations Act, 2021, which included the Taxpayer Certainty and Disaster Tax Relief Act of 2020. Section 179D permits a first-year tax deduction for energy efficient improvements made […]
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IRS Sending Letters to Qualified Opportunity Funds and Investors
The IRS announced that it is sending letters to Qualified Opportunity Funds (QOFs) and investors. The letters are intended to be a “heads up” that a QOF or investor might need to correct or perfect a filing/election. Failure to act on these letters may cause the IRS to refer taxpayers for examination. Letter 6250, Self-Certifying […]
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The Energy-Efficient Home Credit (45L Credit) Gets a One-Year Extension
The Taxpayer Certainty and Disaster Tax Relief Act of 2019 retroactively extended the New Energy-Efficient Home Credit, also known as the 45L credit, for 2018, 2019, and 2020. This credit, along with thirty-two other temporary federal tax provisions, were scheduled to expire at the end of 2020. With the President’s signing of the Consolidated Appropriations […]
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Thinking Ahead: Consider Extending Your 2020 Partnership Tax Returns!
The Bipartisan Budget Act (BBA) of 2015, which replaced the Tax Equity and Fiscal Responsibility Act (TEFRA) of 1982, became effective for tax years beginning January 1, 2018. The most notable change under the BBA is how adjustments can be made to previously filed partnership tax returns. Generally speaking, amended tax returns are no longer […]