The following is an excerpt from Practice Perspectives: Vault's Guide to Legal Practice Areas.
Partner Kristen Winckler practices in the tax department of Ropes & Gray, focusing on tax planning and structuring of domestic and cross-border investments and business transactions. She advises on the tax aspects of private investment fund formation, investments by non-U.S. and tax-exempt investors, and a wide range of complex real estate-related transactions, including joint ventures, acquisitions and dispositions, co-investments, financings, and restructurings. She also counsels public and private companies and equity and debt real estate investment trusts (REITs) on REIT and transactional tax matters. Kristen represents sponsors of and institutional investors in private equity real estate funds and advises on tax structuring to accommodate the diverse tax sensitivities of non-U.S. investors such as sovereign wealth funds and qualified pensions, U.S. public and private pensions and other tax-exempt organizations, corporate institutional investors, and private client groups.
Describe your practice area and what it entails.
My specialty area of practice is federal income tax law. I advise clients on the tax aspects of asset management and transactional matters, primarily in the real estate space. As a tax attorney, I must decipher the applicable tax rules, apply them to clients’ circumstances, and advise on the tax treatment and any potential risks and alternatives.
What types of clients do you represent?
I work closely with real estate fund sponsors, institutional investors, and REITs.
What types of cases/deals do you work on?
I provide tax structuring advice in connection with the formation of U.S. and non-U.S. real estate equity and debt funds and business transactions such as joint ventures, portfolio acquisitions and dispositions, financings and restructurings, and investments by and in public and private REITs.
How did you choose this practice area?
My law professor encouraged me to explore an L.L.M., and I found that I enjoy working within a regulatory framework. Tax law is complex—it requires focus and creative problem-solving skills. It’s like solving a puzzle, and there’s always a puzzle to solve.
What is a “typical” day like and/or what are some common tasks you perform?
I spend most days analyzing tax issues that have come up on transactions, talking with clients about tax structuring questions that arise in fund formations and operations, and meeting with attorneys to discuss progress and questions. I also spend a lot of time on associate training, DEI initiatives at the firm, and recruiting.
What training, classes, experience, or skills development would you recommend to someone who wishes to enter your practice area?
I recommend that law students take Federal Income Tax and Partnership, Corporate, and International Tax, if possible. A corporate transactional class would also be good to take to gain an understanding of how business transactions work. A tax attorney needs to understand the economics and commercial arrangements of a deal in order to properly structure the tax aspects.
What do you like best about your practice area?
The ability to engage in creative problem-solving. I like the intellectual process of sorting through legal tax concepts, identifying potential pitfalls and benefits, and finding a structure or solution that can accommodate various constituents.
What misconceptions exist about your practice area?
Two misconceptions jump out immediately. One is that tax attorneys have the entire tax code memorized. Tax law comprises thousands of rules, interpretative regulations and guidance, and case law that is constantly changing. Another is that tax attorneys are very busy around April 15. Tax attorneys are not tax accountants. We operate on transaction deadlines and are busy year round, just like legal professionals in other practices.
How do you see this practice area evolving in the future?
Tax practice seems to be becoming more and more specialized. Clients seek tax attorneys who have extensive experience in specific industries. Young attorneys preparing themselves for a tax practice must find the right balance between being a generalist and getting a broad-based understanding of tax with a specialized focus area. At Ropes & Gray, we believe in the benefits of having broad and deep experience so that no matter the area of specialization, our attorneys can tackle the thorny issues and find solutions. Much of our attorney training and development efforts are focused on achieving that goal.
What kinds of experience can summer associates gain in this practice area at your firm?
Summer associates are encouraged to be involved in many projects. They may not have specific legal tax background, but that is not a barrier to understanding the transaction or project and analyzing the tax issues. We’re ready to give them intellectually engaging and meaty assignments—research, analysis, memo writing, verbal presentations, etc. Summer associates also have the opportunity to participate in conference calls with clients, adjacent teams within the firm (e.g., real estate or corporate), and opposing counsel (subject to confidentiality and appropriateness, of course). We hope they’ll come away from the experience with a keener sense of what life is really like in the tax practice.