2010 Open Championship at St. Andrews

It is the last day of the year and clients are scrambling to close real estate transactions and take tax losses because of the federal tax law allowing businesses to offset losses in 2009 against gains in the prior 5 years and receive cash refunds for taxes paid in those prior years. In a simple example, if a homebuilder sells property with a basis of $2 million for $1 million, which is its fair market value today, it realizes a $1 million loss, but will receive approximately $360,000 as a tax refund from the federal government if it paid at least that much in taxes over the prior 5 years. Therefore, the homebuilder actually receives cash of $1.36 million and reduces its loss to $640,000. This creates a potential bonanza for investors or others that can buy properties at distressed prices, with possibly even a larger discount because of the tax benefits to the seller.

But back to important things like golf! While waiting to confirm that closing documents have been recorded and wire transfers have been received, I was looking at the Arizona Golf Association website and it has a trip from July 18-26, 2010 for up to 20 people to St. Andrews to see the final day of the 2010 Open Championship and then stay for 7 rounds of golf in Scotland, including the Old Course (by daily ballot), Carnoustie, Kingsbarns, The New, The Jubilee, The Dukes and the new Castle Course, including breakfast daily, three hosted dinners, first class 5-star accommodations at The Fairmont Hotel in St. Andrews, all land transportation by private luxury coach, valet and gratuities. This looks promising!