Waiting on a “lame duck” Congress to act on tax extenders
Posted On: 10-21-2014 | Posted By: WK Staff
If you’ve been waiting on Congress to act on any of the individual, business or energy tax provisions that expired at the end of 2013, be prepared to wait a little longer.
We expect Congress to take up some of these so-called “tax extenders,” including bonus depreciation and Section 179 expensing, after the November 4 election. IRS Commissioner John Koskinen recently sent a letter to Senate Finance Committee Chairman Ron Wyden urging Congress to take action on the dozens of expired provisions as soon as the week after the election. Koskinen is concerned that tax changes made after the end of November could delay the opening of the 2015 tax filing season.
Many of the expired tax provisions are popular, and while that does not guarantee action on any of them, extension is probable. The timing of those extensions is anyone’s guess. A lame-duck Congress passed tax changes as late as early January in one recent year, retroactive to the previous year, which indeed delayed the start of tax filing season while the IRS updated its forms and software.
We will monitor this issue and apprise you of any changes as soon as possible. In the meantime, contact your WK advisor with any questions or concerns at (573) 442-6171 or (573) 635-6196.