AB 1611: Taxation: capital gains and losses: single-family rental homes.
<p>The bill proposes to amend California's personal income tax law and corporation tax law by excluding single-family residential rental real property from like-kind exchange exceptions. Under current laws, gains or losses are not recognized when exchanging property for productive use in business or investment purposes unless an exception applies. The proposed amendment would prohibit this exclusion for taxpayers who own 50 or more such properties at the time of sale, requiring them to recognize any gain from exchanges completed on or after January 1, 2026, for taxable years starting on or after that date.</p> <p>This change would result in higher taxes for affected taxpayers and requires a two-thirds majority vote in both houses of the legislature for passage. The bill takes effect immediately as a tax levy.</p>
| Apr. 27, 2026 | In committee: Set, second hearing. Held under submission. |
| Apr. 21, 2026 | Re-referred to Com. on REV. & TAX. |
| Apr. 20, 2026 | From committee chair, with author's amendments: Amend, and re-refer to Com. on REV. & TAX. Read second time and amended. |
| Apr. 06, 2026 | In committee: Set, first hearing. Referred to REV. & TAX. suspense file. |
| Mar. 02, 2026 | Referred to Com. on REV. & TAX. |