American Tax Payers Relief Act Benefits Small Businesses

March 12, 2013 James Heinsman In the News

The U.S. Congress has reinstated a number of expiring tax provisions as part of the American Taxpayers Relief Act. The news especially benefits small businesses. According to Anchin, Block & Anchin tax partner Paul Gevertzman, another significant advantage the act provides is certainty.

In an interview, the Anchin Block accounting expert explained that “not knowing the tax rules makes it very difficult to plan.”

The four beneficial provisions of the American Taxpayers Relief Act include:

  • The Estate Tax
  • Section 179 & Accelerated Depreciation Rules
  • Leasehold Improvements
  • The R&D Tax Credit

Anchin’s Gevertzman explained that the larger estate tax exemption plays a significant role in transferring family-earned wealth to the next generation. He added that leasehold improvements are also significant. “If you are a tenant, as many small businesses are, the likelihood is that you would qualify for the 15-year write off” for capital improvements for business premises. “That’s a big break. Once it’s 15-year property, then theoretically it’s eligible for one of the accelerated depreciations, the bonus depreciation.”

American Taxpayers Relief Act, Anchin Block & Anchin, Paul Gevertzman, Small Businesses,

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