New 100% Depreciation Deduction Benefits Business Taxpayers

Tax reform legislation passed in December 2017 includes changes that affect businesses. One of these changes allows businesses to write off most depreciable business assets in the year they place them in service.

Here are some facts about this deduction to help businesses better understand how to claim it:

The 100-percent depreciation deduction generally . . . → Read More: New 100% Depreciation Deduction Benefits Business Taxpayers

Combat-Injured Disabled Veterans May Be Due Refund

The IRS is alerting certain veterans that they may be due a credit or refund. This is a result of the Combat-Injured Veterans Tax Fairness Act passed in 2016. It affects veterans who received disability severance payments after January 17, 1991, and included that payment as income.

Here is what these veterans should know:

. . . → Read More: Combat-Injured Disabled Veterans May Be Due Refund

Is There a Light in the Farm Economy?

By Mark Harring, Standing Chapter 12 and 13 Trustee for the Western District of Wisconsin (Madison, WI)

Since 2013, net farm income, a broad measure of farm profitability, has declined by 52%, and in 2018 is projected to be at a 12 year low.1

According to the USDA, farmers are facing unrivaled income volatility, . . . → Read More: Is There a Light in the Farm Economy?

For the Academic Set

U.S. Banking De-Regulation, Financial Engineering, and Bankruptcy Reform: How Banks Took Control over Consumer Insolvency Law

By Anita C. Butera, PhD, JD and Robert D. Manning, PhD

New from the author of Credit Card Nation a review of the legislative history of banking deregulation and bankruptcy reform. It provides a brief explanation of financial . . . → Read More: For the Academic Set

IRS Urges Taxpayers to Prepare For Natural Disasters

Because a natural disaster can strike any time, the IRS reminds individuals and businesses to take time now and create or update their emergency preparedness plan. Individuals, families and businesses begin getting ready for a disaster with a preparedness plan that includes key documents, lists of belongings and property.

Copies of key documents Original . . . → Read More: IRS Urges Taxpayers to Prepare For Natural Disasters

Here’s How the IRS Contacts Taxpayers

Everyone should know how the IRS contacts taxpayers. This will help people avoid becoming a victim of scammers who pretend to be from the IRS with a goal of stealing personal information.

Here are some facts about how the IRS communicates with taxpayers:

The IRS doesn’t normally initiate contact with taxpayers by email. . . . → Read More: Here’s How the IRS Contacts Taxpayers

Veterans Owed Refunds for Overpayments Attributable to Disability Severance Payments Should File Amended Returns to Claim Tax Refunds

The IRS is advising certain veterans who received disability severance payments after January 17, 1991, and included that payment as income that they should file Form 1040X, Amended U.S. Individual Income Tax Return, to claim a credit or refund of the overpayment attributable to the disability severance payment.

This is a result of the . . . → Read More: Veterans Owed Refunds for Overpayments Attributable to Disability Severance Payments Should File Amended Returns to Claim Tax Refunds

Law Change Affects Moving, Mileage and Travel Expenses; Offers Higher Depreciation Limits for Some Vehicles

IRS provided information to taxpayers and employers about changes from the Tax Cuts and Jobs Act that affect:

Move related vehicle expenses Un-reimbursed employee expenses Vehicle expensing

Changes to the deduction for move-related vehicle expenses

The Tax Cuts and Jobs Act suspends the deduction for moving expenses for tax years beginning after Dec. 31, . . . → Read More: Law Change Affects Moving, Mileage and Travel Expenses; Offers Higher Depreciation Limits for Some Vehicles

Tax Reform: Changes to Depreciation Affect Businesses Now

IRS reminds businesses that passage of the Tax Cuts and Jobs Act may affect their depreciation deductions and taxes. Business taxpayers can generally depreciate tangible property except land, including buildings, machinery, vehicles, furniture and equipment.

Changes to depreciation and how they will affect businesses may include:

Businesses can immediately expense more under the new . . . → Read More: Tax Reform: Changes to Depreciation Affect Businesses Now

Combat Zone Tax Benefits Now Available to Armed Forces Members Who Served in the Sinai Peninsula; IRS Accepting Retroactive Tax Refund Claims Back to 2015

April 13, 2018

Under the Tax Cuts and Jobs Act (TCJA) enacted in December 2017, members of the U.S. Army/Navy/Marines/Air Force/Coast Guard who performed services in the Sinai Peninsula of Egypt can claim combat zone tax benefits retroactive to June 2015. Eligible service members should review Publication 3, Armed Forces’ Tax Guide, available on . . . → Read More: Combat Zone Tax Benefits Now Available to Armed Forces Members Who Served in the Sinai Peninsula; IRS Accepting Retroactive Tax Refund Claims Back to 2015