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A comment on The World’s Empty Office Buildings Have Become a Debt Time Bomb. Parent comment

Re:The World’s Empty Office Buildings Have Become a Debt Tim... by klyrs on Monday June 26, 2023 @01:05PM (#36482550)
> and apparently (for a reason I don't fully understand) landlords felt it better to have spaces remain vacant than to lower rents.

As I understand it (but I'm not sure how applicable this is to any specific place), landlords can write down a loss set by either the last rent they received or the market rate in the neighborhood. If those losses are offset by gains elsewhere, they can zero their tax bill -- which, for landlords with diversified holdings, may be very large.

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Re:The World’s Empty Office Buildings Have Become a Debt Tim... by ryanwaggoner on Monday June 26, 2023 @01:44PM (#36483094)
This isn’t true, you can’t deduct lost rent as an expense.
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Re:The World’s Empty Office Buildings Have Become a Debt Tim... by klyrs on Monday June 26, 2023 @01:51PM (#36483218)
Like I said; I'm not sure about all jurisdictions but it's true where I live:

https://www.canada.ca/en/revenue-agency/services/tax/busines...

New York: https://www.tax.ny.gov/pit/letters/rental-loss.htm

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Re:The World’s Empty Office Buildings Have Become a Debt Tim... by ryanwaggoner on Monday June 26, 2023 @01:54PM (#36483265)
No, you can deduct actual expenses, or uncollectible rent. This does not include theoretical rents that you would have received had the property been rented. No part of your deductible expenses is contingent on the market rent, or the last rent you charged.
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Re:The World’s Empty Office Buildings Have Become a Debt Tim... by HeyLaughingBoy on Monday June 26, 2023 @03:26PM (#36484533)
> does not include theoretical rents

If only you could do that then I might still be a landlord :-)

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