What to know about the 100-percent depreciation deduction for business taxpayers
Posted on December 7, 2018
The CPAs at Teipen Selanders Poynter & Ayres have been fielding inquiries about important tax reform legislation passed late last year that include changes that may affect your business.
Among them, a new regulation that allows businesses to write off 100% of most depreciable business assets in the year they place those assets in service.
What you need to know to legally utilize this business deduction:
- What qualifies? Generally, business machinery, equipment, computers, appliances, furniture, and other property acquired and placed in service after Sept. 27, 2017. These business assets must depreciable assets with a recovery period of 20 years or less.
- Confused, missed the deadline, or have specific questions? You are definitely not alone. Talk to your CPA about what your business can do before the end of 2018.
- gov is a good resource. Check out Form 4562 on the IRS.gov website for information, regulations and instructions on Depreciation and Amortization.
It’s always a good idea to talk to your business-savvy Teipen CPA about the tax specifics related to your particular business. Chances are good he or she has a recommendation or two that can save you time, and hopefully, money.