Recent Tax Updates

Extended Business Provisions Applicable to 2014 Only


The following business related provisions were extended for one year and are applicable for 2014 federal returns:

  • Increased Section 179 Expense Deduction Amounts
    • Maximum Deduction: $500,000
    • Maximum cost before the limit is reduced: $2,000,000
  • Qualified Real Property category for Section 179 Expense Deduction
    • Maximum deduction: $250,000
    • Qualified property includes: leasehold improvements, restaurant property, and retail property
  • 50% bonus depreciation on qualifying property
  • 15 year straight line depreciation for qualified leasehold restaurant and retail improvements
  • New Markets Tax Credit
  • Work Opportunity Credit
  • Work Opportunity Credit for hiring qualified veterans
  • Research and Development Credit
  • Credit for construction of new energy efficient homes
  • Accelerated Depreciation for Indian reservations
  • Indian employment credit
  • Exception under Subpart F for Active Financing Income
  • American Samoa Economic Development Credit
  • Deduction allowable with respect to income attributable to Domestic Production activities in Puerto Rico
  • Qualified Zone Academy Bonds
  • Maintaining railroad tracks credit
  • 7 year recovery period for certain motorsports racetrack property
  • Tax treatment of certain payments to controlling exempt organizations
  • Basis adjustment to stock of an S Corporation making charitable contributions of property
  • Employer wage credit for active duty members of the uniformed services
  • Election to accelerate AMT and research credits in lieu of additional first year depreciation
  • 100 percent exclusion of gain on sale of qualified small business stock
  • Enhanced deduction for charitable contributions of food inventory
  • Tax incentives for empowerment zones
  • Mine Rescue Team Training Credit
  • Election to Expense advanced mine safety equipment
  • Special expensing rules for certain film and television productions