Congress restores expired tax provisions
Posted On: 12-22-2014 | Posted By: WK Staff
The expired tax provisions we’ve been monitoring have been reauthorized, but only through 2014.
On Friday, December 19, President Obama signed into law a bill extending for another year numerous tax provisions that had expired at the end of 2013. The Senate passed the bill on Tuesday before adjourning for the year. At the end of this month, the provisions will expire again, and Congress will have to decide whether to reauthorize them for 2015.
Most of the popular provisions were extended, and only a few were left to expire. We have highlighted a few of the extended provisions below.
- 50% bonus depreciation for assets placed in service in 2014
- Under Section 179, a $500,000 expensing allowance and $2 million phaseout threshold for property placed in service in taxable years beginning in 2014
- Research and development (R&D) credits
- New markets credits
- Work opportunity tax credit
Individual tax provisions
- Itemized deduction for state and local sales taxes
- Tuition deduction
- Tax-free distributions from individual retirement accounts for charitable purposes
- Incentives, credits and special depreciation rules for certain biofuels and related property
- Energy-efficient home improvement tax credit
- Energy-efficient new home credit for contractors
- Not extended: Credits for plug-in electrical vehicles and energy-efficient appliances
To learn more about the provisions that were extended and whether it would be beneficial for you to take advantage of them, please contact your WK advisor at (573) 442-6171 or (573) 635-6196.