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Investors may realize a lower effective tax rate on their commercial real estate investments as compared to their ordinary income because options: a) depreciation allows
Investors may realize a lower effective tax rate on their commercial real estate investments as compared to their ordinary income because
options: a) depreciation allows for a deferment of taxes.
b) the holding period for commercial real estate investments is usually less than investments in stocks and bonds.
c) investors will only realize a lower effective tax rate on levered investments.
d) ordinary income from commercial real estate investments is taxed at the capital gain tax rate.
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