Where will special tax districts end up on tax reform and why do you care?

Most people in Colorado live in one or more special taxing district.  If you own real estate in Colorado it is important to understand how special districts affect your bottom line of owning real estate.  Some areas, particularly newer developments, have multiple levels of special taxing districts.  Special taxing districts have been a tax deduction.  If this change goes through-pricing homes with special tax districts will change.  HOA fees have never been tax deductible, which has been a strong incentive to do what can be accomplished through a special district, in lieu of a HOA.  A thoughtful piece on the cuts of state and local tax deductions can be found here: https://www.washingtonpost.com/opinions/the-gop-gets-a-big-part-of-its-tax-plan-backward/2017/11/07/63a7ad1e-c3f4-11e7-afe9-4f60b5a6c4a0_story.html?utm_term=.01ce0be160a2

Stay tuned for further blogs on the potential disruptions and fall out to the real estate markets from the “tax reform”.  

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