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Reprinted with permission from the August 3, 2026, issue of Tax Notes Federal. ©2026 Tax Analysts. Further duplication without permission is prohibited. All rights reserved.
Congress enacted the real estate investment tax rules in 1960, with the primary objective of providing small investors with an opportunity to invest in a diversified portfolio of real estate and real estate-backed loans that would otherwise be unavailable to them.1 However, Congress also intended real estate investment trusts to be widely held, passive investment vehicles that are not engaged in active management or “dealer-like” activities for their real estate portfolios.Click here to read the full article in Tax Notes Federal.
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