Former President Dwight D. Eisenhower is revered by countless Americans, listing him among the best Commanders-in-Chief that the U.S. has ever had. During his time in office from 1953 to 1961, there were plenty enduring programs and innovations that the country still benefits from up to today. Some examples were the Interstate Highway System, the establishment of NASA, the Civil Rights Act of 1957, and the Atomic Energy Act, among others.
His presidency was also known for widespread economic prosperity throughout his two terms, save for a minor recession that hit the nation in 1958. One of the economy-related legislations that gave investors additional opportunity to build wealth was the Real Estate Investment Trust (REIT) Act in 1960, which was contained in the Cigar Excise Tax Extension.
REIT merged real estate and stock-based investment, giving small investors an avenue to access an investment instrument that had previously been available only to large institutions or high-net-worth individuals.
The act also aimed to encourage REITs through a unique tax status – companies that meet strict, specific criteria as REITs are exempted from contributing income tax on qualifying income.
More than five decades after the REIT Act was passed, REIT.com reports that “the industry has grown to a $1 trillion equity market capitalization and nearly $2 trillion in real estate assets.” That number is from the U.S. alone. Investors around the world are embracing the investment instrument because of the many advantages it brings.
Bharti Jogia-Sattar is a financial expert who started her career with a real estate institution. For similar articles, subscribe to this website.
 |
Image source: forbes.com
|
REIT merged real estate and stock-based investment, giving small investors an avenue to access an investment instrument that had previously been available only to large institutions or high-net-worth individuals.
The act also aimed to encourage REITs through a unique tax status – companies that meet strict, specific criteria as REITs are exempted from contributing income tax on qualifying income.
More than five decades after the REIT Act was passed, REIT.com reports that “the industry has grown to a $1 trillion equity market capitalization and nearly $2 trillion in real estate assets.” That number is from the U.S. alone. Investors around the world are embracing the investment instrument because of the many advantages it brings.
 |
Image source: rentecdirect.com
|
