Tax Extenders Package?

[Timothy W.]

I just got this e-mail from the Mid-America chapter of the National REIA. Can anyone confirm if this is true? If it is true, this is something that goes beyond mere political debate as it would more than double our taxes for most of us.

Copied from the e-mail I received:

"Congress is considering the “Tax Extenders Package†which currently includes new tax proposals that would place additional burdens on owners and investors in residential and commercial real estate.

Specifically, the proposals would increase the carried interest tax rate from the current 15%, or capital gains rate, to 39.5% which is the ordinary income rate. This would disincentivize real estate investments and stall recovery. In addition, the new proposals include a requirement for all landlords, even those who only own one property, to provide an IRS form 1099 to all contractors with whom they do business if they pay them more than $600 in any year.

The real estate industry is still very fragile and likely to remain so for the foreseeable future. In better times, the real estate industry would be a dynamic engine of job creation, and any new tax burdens on real estate owners in the current economy will dramatically affect ongoing economic recovery. These proposals are ill-advised, inopportune and potentially destructive. Please take action today to tell Congress that the American public wants "No New Real Estate Tax Burdens"."