Businesses Get Boost with 100% Bonus Depreciation and Code Sec. 179 Expensing

  • January 4, 2011

Businesses will benefit from a number of extended and enhanced tax breaks under the recently enacted Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 (2010 Tax Relief Act). The 2010 Tax Relief Act boosts 50-percent bonus depreciation to 100 percent through 2011 and provides increased Code Sec. 179 expensing in 2012.

Guidelines for 2011 Payroll Tax Cut

  • December 22, 2010

With the recently enacted payroll tax cut for employees beginning in January 2011, the IRS has issued some guidelines for this 2.0% reduction in social security tax for your employees. It provides some relief for you, as an employer, so that your payroll software provider or services provider has time to make the necessary programming changes for this new law

Tax Provisions in the 2010 Tax Relief Act

  • December 17, 2010

The recently enacted “Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010” is a sweeping tax package that includes, among many other items, an extension of the Bush-era tax cuts for two years, estate tax relief, a two-year “patch” of the alternative minimum tax (AMT), a two-percentage-point cut in employee-paid payroll taxes and in self-employment tax for 2011, new incentives to invest in machinery and equipment, and a host of retroactively resuscitated and extended tax breaks for individuals and businesses.

More Updates about Health Care Reform

  • December 3, 2010

IRS has issued the second wave of detailed guidance on the small employer health insurance credit created by the Patient Protection and Affordable Care Act and proposed regs phase in next year's e-file mandate. Read more about recent health care reform updates.

IRS Eases Interim Rules for Grandfathered Health Plans

  • December 1, 2010

Reversing course, the IRS has amended interim final rules the agency issued earlier this year to allow certain changes in coverage without loss of "grandfathered status" under the Patient Protection and Affordable Care Act (PPACA). All group health plans may switch insurance companies and preserve their grandfathered status, as long as the structure of the coverage does not violate one of the other rules for maintaining grandfathered plan status.

IRS Releases Audit Technique Guide on Deductible Repairs vs. Capitalized Expenses

  • December 1, 2010

The IRS has released an Audit Techniques Guide (ATG) that addresses whether an expense should be considered a currently deductible repair or is required to be capitalized under current law. This latest ATG is important for taxpayers in two respects: first, it provides insight into how examiners will review a taxpayer's change in accounting method (CAM) request dealing with the recharacterization of previously capitalized expenses as currently deductible.

Deficit Commission’s Tax Proposals Spark Debate

  • December 1, 2010

A preliminary report by the National Commission on Fiscal Responsibility and Reform has sparked debate over the preservation of many popular tax credits and deductions. The preliminary report generally proposes to eliminate a host of tax credits and deductions, both for individuals and businesses, in exchange for lower individual and corporate tax rates. The Commission is expected to send a final report to Congress on December 1, 2010, where it is almost certain to receive a controversial welcome.

Year-End Planning: Last Minute Tips for Individuals

  • December 1, 2010

With the end of the 2010 tax year rapidly approaching, there is only a limited amount of time for individuals to take advantage of certain tax savings techniques. This article highlights some last-minute tax planning tips before the end of the year.

Tax Rates in Turmoil as 2010 Draws to a Close

  • December 1, 2010

As 2010 ends, taxpayers are confronted with the reality that scheduled increases in individual income tax rates, significant reductions in many popular tax incentives and more changes will occur when the calendar reads 2011. One year ago, it appeared highly unlikely that taxpayers would be faced with such uncertainty. Today, that uncertainty is generating many questions and few answers.