The 2017 Tax Cuts and Jobs Act added one of the largest tax benefits to small business owners in decades. The IRC section 199A Qualified Business Income deduction (QBI) allows flow-through entities to claim a deduction of up to 20% of their qualified business income. These flow-through entities include: Sole proprietorships Partnerships S-corporations, and Certain… Read more »
Posts Tagged: Tax Cuts and Jobs Act
New Family Leave Credit-IRC Section 45S
Eligible employers can claim a general business credit from 12.5 percent to 25 percent of the cost of each hour of paid leave. In order to qualify, employers will have to provide at least two weeks of leave to employees at a minimum of 50 percent of their regular earnings. General Highlights of the New… Read more »
If Your Company’s Gross Receipts are Less Than $25,000,000, You Need to Read This
Beginning 1/1/18, for companies with annual average gross revenues in the prior three years is less than $25,000,000, you: Use the cash method of accounting, Are not subject to the Uniform Capitalization Rules of IRC Section 263A, Can use the completed contract method for long-term contracts, And are not subject the 30% limit on interest… Read more »
100% Bonus Depreciation and other Depreciation Changes Under the Tax Act
The Tax Cuts and Jobs Act made significant changes to depreciation on assets placed in service during the year. The changes allow business owners greater accelerated write-offs for most assets purchased during 2018; some of these changes went into effect for assets placed in service after 9/27/2017. 100% Bonus Depreciation on Qualifying Assets Available for… Read more »