FTI Experts’ Hub: Are You Ready for Next Year’s Tax Policy Changes?

The Super Bowl of Tax or Taxmageddon—just a couple of the labels that experts have put on 2025 when referring to imminent tax policy changes. With a new administration in the White House, commercial real estate owners, developers and asset managers need to be ready for what’s next. Key provisions of Trump’s 2017 Tax Cuts and Jobs Act are set to expire at the end of 2025, so a lot of time will be spent next year on passing a new tax package.

“Tax policy is definitely going to dominate the discussion, but don’t expect any meaningful changes until the last quarter of 2025,” said Leland Collins, senior director in FTI Consulting’s Real Estate Tax Advisory Group, in this episode of the FTI Experts’ Hub podcast. 

Some of the key aspects that developers, investors and asset managers should closely monitor in the following year are bonus depreciation provisions, 199A pass-through deductions, interest expense deductibility, the corporate tax rate, the IRA repeal and tariff regimes.

“Companies should proactively prepare for these changes by looking closely at their operating models to explore how they can manage the increased tariffs and other non-tariff barriers,” said Asha Shettigar, managing director in the same FTI Consulting department.

Here’s what else Shettigar and Collins told Commercial Property Executive Senior Editor Laura Calugar in this podcast episode:

• How 2025 looks like from a tax perspective (1:06)
• Expiring TCJA provisions and how to prepare (3:00)
• The corporate tax rate (7:57)
• Offsetting revenue losses from reducing business taxes (10:19)
• Where do tariffs fit in? (13:27)
• Previous proposals that are off the table (17:39)
• What’s most worrisome to CRE players (19:56)

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