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Depreciation

Could a cost segregation study help you accelerate depreciation deductions?

Cost Segregation Study, Depreciation, Internal Revenue Service, Small Business, Tax, Tax Cuts and Job Acts (TCJA) /

Businesses that acquire, construct or substantially improve a building — or did so in previous years — should consider a cost segregation study. It may allow you to accelerate depreciation deductions, thus reducing taxes and boosting cash flow. And the potential benefits are now even greater due to enhancements to certain depreciation-related breaks under the […]

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Defer tax with a Section 1031 exchange, but new limits apply this year

Depreciation, Small Business, Tax Cuts and Job Acts (TCJA), Tax Deduction /

Normally when appreciated business assets such as real estate are sold, a tax is owed on the appreciation. But there’s a way to defer this tax: a Section 1031 “like kind” exchange. However, the Tax Cuts and Jobs Act (TCJA) reduces the types of property eligible for this favorable tax treatment. What is a like-kind

Defer tax with a Section 1031 exchange, but new limits apply this year Read More »

Make sure repairs to tangible property were actually repairs before you deduct the cost

Buildings, Depreciation, Exemptions, Repairs and Maintenance, Safe Habor, Small Business, Tangible Property Deductions, Tax Credits, Tax Deduction /

Repairs to tangible property, such as buildings, machinery, equipment or vehicles, can provide businesses a valuable current tax deduction — as long as the so-called repairs weren’t actually “improvements.” The costs of incidental repairs and maintenance can be immediately expensed and deducted on the current year’s income tax return. But costs incurred to improve tangible

Make sure repairs to tangible property were actually repairs before you deduct the cost Read More »