IPA Increases 1031 Like-Kind Exchange Advocacy as Biden Releases 2023 Federal Budget
Yesterday, President Biden released the details of his proposed budget. The proposal calls on Congress to “Repeal Deferral of Gain from Like-Kind Exchanges.”
While this is only a proposal, and Congressional leadership will now decide whether include the proposal in any potential budget action, our advocacy must remain strong, vigilant and engaged to ensure that policymakers are educated on the value and importance of 1031 like-kind exchanges for investors, business owners, retirement savers and the broader economic well-being of our communities.
The IPA has worked tirelessly since President Biden first proposed changes to the tax treatment of 1031 like-kind exchanges to oppose any limitation. In 2021, we engaged in direct and grassroots advocacy, with thousands of constituent letters reaching legislators. Our members were on-the-ground in Washington to voice their concerns and emphasize the important role like-kind exchanges play with key members of the Senate Finance Committee and House Ways and Means Committee as well as members the House and Senate.
We must continue to effectively communicate to our supporters in Congress the impacts such a repeal would have on small business owners, farmers, ranchers, retirement savers and our communities. Building on our successful effort to save Section 1031 last year, we must solidify the opposition to limitations, particularly among Democrats, and grow the number of the vocal opponents in Congress. Preserving this important tax provision in the face of an Administration request in a Congress controlled by the President’s party will continue to take hard work, impactful communications and active advocacy.
As always, we will continue to keep you informed of new developments at the White House, on Capitol Hill and in our advocacy efforts as this proposal moves forward. To stay up-to-date on our advocacy efforts, please visit our website dedicated to 1031 like-kind exchange advocacy and plan to join us for our annual IPA Summit in Washington, D.C. on May 4-6 – the registration is open now.
If you have any questions, please don’t hesitate to reach out to Tony or me.
SVP, Government Affairs and General Counsel
Institute for Portfolio Alternatives