Year end tax planning – Depreciation-related tax breaks still beckon businesses

Description

Abstract: The tax code has long offered businesses the opportunity to lower their tax bills by claiming depreciation-related breaks, and accelerating asset purchases into the current tax year can accelerate the tax savings. But time is running out on a couple of these breaks in their current form (though Congress might extend them). This article discusses current rules regarding the Section 179 expense deduction, along with this year’s accelerated depreciation and 100% bonus depreciation. A sidebar examines whether vehicle purchases are eligible for these breaks.