Jim Witmer, National Managing Partner of Tax Increases grant ThorntonParticipated in a video interview during Neret’s REITWISE: 2024 Law, Accounting & Finance Conference held March 19-21 in Hollywood, Florida.
Witmer highlighted the serious tax challenges facing the industry, particularly focusing on redemption issues, competitive pressures and the importance of proactive governance.
Reflecting on current market dynamics, Witmer highlighted how the market downturn has put pressure on investors. The recession has led to an increase in redemptions, which has impacted the treatment of shareholder distributions, he said.
Witmer also addressed concerns regarding permissible services and the need for clarity in regulatory guidance. He warned that critical services could jeopardize REIT status, urging caution in property-level operations.
In terms of technology, Witmer underlined the importance of embracing change, noting its role in streamlining tax processes. He stressed the need for reliable information for effective technology integration, underscoring the risks associated with applying technology to flawed data.
