On December 19, the President signed into legislation the Tax Increase Prevention Act of 2014
. The package includes provisions that extend for one year retroactively to January 1, 2014 and through December 31, 2014, some 54 expired tax provisions.
Some of the key provisions extended are as follows:
Individual Provisions Extended
- Optional sales tax deduction (in lieu of state and local income taxes)
- Above-the-line higher education deduction
- Exclusion of income from mortgage debt cancellation on a principal residence
- Above-the-line classroom expense deduction
- Mortgage insurance premium deduction
- Tax-free charitable distributions from IRAs
Business Provisions Extended
- 50-percent bonus depreciation
- Enhanced code section 179 expensing ($500,000 expense limit; $2,000,000 investment limit)
- Research & experimentation tax credit
- Work Opportunity Tax Credit
- New Markets Tax Credit
- 100% exclusion for gain on qualified small business stock
- Reduced recognition period for S corporation built-in gains tax
Should you have any questions on how this new law could impact you, please contact your RubinBrown advisor.
Any federal tax advice contained in this communication (including any attachments): (i) is intended for your use only; (ii) is based on the accuracy and completeness of the facts you have provided us; and (iii) may not be relied upon to avoid penalties.
All Tax Consulting News Tax Consulting Services