extra costs will pass them along to customers, resulting in higher
consumer prices and more limited access.
The FCC proposed these rollbacks in December as part
of the Trump Administration’s regulatory review and reform
efforts. Senate Democrats utilized the Congressional Review
Act (CRA) to force a vote on restoring the previous Open
Internet order. The Senate passed this resolution with bipartisan
support. Despite its momentum, the effort is unlikely to garner
enough support from House Republicans to be brought up for
consideration in that chamber.
NAA/NMHC will continue to work with Congress and the
Administration to ensure that they understand the importance
of reliable telecommunications services for apartment
operations and resident satisfaction.
APARTMENT INDUSTRY REMINDS WAYS AND
MEANS COMMITTEE OF TAX REFORM REGULATORY
PRIORITIES
NAA/NMHC submitted a statement to the House Ways
and Means Committee calling on Congress to clarify provisions
in last year’s tax reform bill pertaining to issues such as
depreciation and the new 20 percent tax deduction for
pass-throughs. The statement follows similar letters to the
Senate Finance Committee and Treasury Secretary
Steven Mnuchin.
Among other issues, the apartment industry’s statement
requests that Congress either pass technical corrections to
the legislation or that the Trump administration swiftly issue
administrative guidance to address an unintended consequence
from last year’s tax reform legislation that impacts the
depreciation period of apartment properties in existence prior
to 2018. The law was intended to allow firms to choose whether
they would like to deduct business interest.
And if they were to do so, they then must depreciate the
property for 30 years instead of 27.5 years. However, du e to a
mistake in the legislative language, the law can be read to only
apply to properties placed in service after 2017.
Because of the drafting error in the statute, existing
buildings that opt to deduct business interest would have to be
depreciated over 40 years. NMHC/NAA continue to make the
case to policymakers that Congress never intended a 40-year
depreciation period.
www.aamdhq.org
JUNE 2018
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