Vehicle-expense deduction ins and outs for individual taxpayers

It’s not just businesses that can deduct vehicle-related expenses. Individuals also can deduct them in certain circumstances. Unfortunately, the Tax Cuts and Jobs Act (TCJA) might reduce your deduction compared to what you claimed on your 2017 return. For 2017, miles driven for business, moving, medical and charitable purposes were potentially deductible. For 2018 through … [Read more…]

Avoid Partnership Due Date Problem!

Shakespeare’s words don’t apply just to Julius Caesar; they also apply to calendar-year partnerships, S-Corporations and limited liability companies (LLCs) treated as partnerships or S corporations for tax purposes. Why? The Ides of March, more commonly known as March 15, is the federal income tax filing deadline for these “pass-through” entities. Not-so-ancient historyUntil the 2016 … [Read more…]

Depreciation-related breaks on business real estate: What you need to know when you file your 2018 return

Commercial buildings and improvements usually are depreciated over 39 years, meaning you can deduct a share of the cost every year over the depreciation period. (Land is not depreciable.) However, special tax breaks that allow deductions to be taken more quickly are available for specific real estate investments. Some of these were enhanced by the … [Read more…]

What will your marginal income tax rate be?

While the Tax Cuts and Jobs Act (TCJA) usually reduced individual tax rates for 2018 through 2025, some taxpayers might see their taxes go up due to reductions or eliminations of certain tax breaks—and, in some cases, due to their filing status. However, some might see additional tax savings due to their filing status. Unmarried … [Read more…]