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In the run-up to (and since) the passage of the Tax Cuts and Jobs Act, analysts have considered the implications of the legislation in real estate. Now, experts are exploring its impact in relocation.

According to a recent report by Weichert Workforce Mobility, 89 percent of corporate mobility professionals expect either more or the same in the year ahead, even with the bill’s changes. Another majority (96 percent) are tax-protecting household goods shipments, and 94 percent are tax-protecting final move expenses. Eighty-six percent are also retaining distance and duration eligibility, despite not being mandated under the Tax Cuts and Jobs Act. Approximately 210 companies participated in the report’s survey.

“The fact that relocation remains a top priority for our respondents indicates that they are not willing to let the tax law define their mobile talent strategies,” says Ellie Sullivan, senior vice president of Weichert’s Advisory Services group and architect of the survey. “Most companies recognize the importance of a robust mobility program to achieving their business goals. Through their survey responses, they’ve made it clear that they will continue to invest in their mobile workforce. Overall, respondents reported that as a result of the favorable new tax rates, they’re pursuing aggressive growth plans, potential acquisitions and new market expansion—all of which require an agile, globally mobile workforce. As one respondent commented, ‘The [tax] increase is small dollars compared to getting the right person in the right place.’

“While we expect most organizations to carefully evaluate the impact of the tax law on their programs and make changes that support their specific strategies, our results show that overall, response to the new law has been remarkably swift,” Sullivan says. “There is a sense of optimism among our respondents. They are thinking long-term and acting boldly, and they’re counting on their mobile workforce to fuel their success.”

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