Revenue Procedure 2021-9 provides a safe harbor that allows a trade or business that manages or operates a qualified residential living facility, as defined in the revenue procedure, to be treated as a real property trade or business, solely for purposes of qualifying to make the election under Internal Revenue Code section 163(j)(7)(B) to be an electing real property trade or business. This safe harbor has no effect on any determination for purposes of section 469 of the Code.
Revenue Procedure 2021-9 will appear in Internal Revenue Bulletin 2021-3, dated Jan. 19, 2021.