Tax items to consider as we approach another tax filing season:
There is nothing to report on the 2013 individual return related to the individual health care mandate or the credit. Reporting on these items is scheduled to start on the 2014 calendar year tax return.
- IRA limits for 2013 are $5,500. If you are 50+ years of age, you can add an additional $1,000.
- IRA contributions for 2013 can be made the earlier of up until April 15th or when you file your return.Let us know if you would like to consider contributing to an IRA when we are preparing your 2013 return.
IRS Section 179 Depreciation & Bonus Depreciation:
- From the 2010 – 2013 tax returns, the election to expense capital purchases has had high limits ($500,000). As of now, the limit of eligible property that can be expensed in 2014 is $25,000. There has also been a “bonus depreciation” rule in place since 2008.
- As of now there will be no bonus depreciation available in 2014.