Saturday, November 1, 2008

TIC Agreement - Problems

Problems

There are also a few problems that come with the TIC: Agreement however, and these problems can easily become very complex. One of the biggest problems is that this agreement does not cover current issues, and even worse, if the persons involved do not have any agreement at all then neither will be covered and serious liabilities and expenses may occur as a result.

By being aware of both the pros and cons of this agreement before getting into it, people will be more prepared and also more understanding on what they have available to them. In summary however, these investments do offer many huge advantages, which should definitely be taken into consideration by potential investors.

As long as you also consider the practical issues that are involved here and ensure that the TIC will not be treated as a partnership solely for tax purposes, then all in all you will be making a wise decision.

No comments: