Our primary goal is to help all business became better while staying financially ahead. With the upcoming changed in tax return laws, we pledge to help any individual and business cope up with any new tax law. We have created a list of fundamental changes in tax return laws for business owners to consider any plan for 2017.
To review the complete guide business, owners should visit IRS website for full tax planning. According to the Section 179 expensing/bonus depreciation here are things to check:
Business capital investment worth $500,000 for certain property placed in business service from 2015 to 2019 will be taken as an expense deduction rather than depreciation. These include anything such as HVAC units and the break phases out asset purchase above $2 million and thus application in the tax return filing process.
Bonus depreciation provision
When undertaking your business tax returns, the business can claim additional depreciation for certain property in the 1st year of the recovery period. In the case of properties placed in business service in the year 2015, 2016 and 2017. The business bonus on depreciation rate is 50 percent while the rate is 40 percent for 2018 and 30 percent for 2019.
Tax deadline review
Tax return filing dates are expected to change. Thus the flow-through entity return deadlines are before investors return periods. More changes, partnership operating on the tax calendar year will have a new deadline of March 15. This the same due dates for S-Corporation.
The tax calendar year based C Corporation with the deadline of April 15; you can check the complete list online.
Expanded eligibility for R&D tax credit
In the past years, most internal use of the software was not eligible for R&D tax credit. Currently business can now receive credit as along as the software in place passes the three-part test that includes:
- The software is highly innovative
- Software involves significant economic risk
- The software is commercially unavailable for taxpayers use.
New partnership audit rules
This will be effective in 2018, where the partnership may be liable for the entity rather than partners level for tax collection review. The changes are important impacting on how partnership interest are valued and transferred, and those involved should consult their tax advisors.
The pending estate planning tax changes
Early in the year, IRS has proposed changes in how minority stakes in the family-owned company valued …