Wed, Jul 23, 2014, 5:41 PM EDT - U.S. Markets closed

Recent

% | $
Click the to save as a favorite.

NorthStar Realty Finance Corp. Message Board

  • dar200 dar200 Jan 28, 2009 1:40 PM Flag

    Income from discount debt buyback

    The Senate has attached a provision to the stimulus bill to defer tax on the discount, not forgive it. At least the subject is on the table. Don't know which way it will go.

    Here is a blurb from the Senate:

    "The Chairman's modification provides that certain income from the cancellation of indebtedness recognized by the taxpayer as a result of a repurchase in 2009 or 2010 by (1) the taxpayer or (2) a related person of a "debt instrument" that was issued by the taxpayer is deferred and recognized in later years. Such cancellation of indebtedness income realized in 2009 is deferred and included ratably in income in each of the eight taxable years beginning two years after the year of realization, and such cancellation of indebtedness income realized in 2010 is deferred and included ratably in income in each of the eight taxable years beginning one year after the year of realization."

    Recognizing the income from the discount over 8 years takes an aweful lot of pressure off the REITS.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
 
NRF
16.92-0.03(-0.18%)Jul 23 4:04 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.