3 results for tag: Deductions

Section 1031: Don’t Miss This Depreciation Election

As you likely remember, the Section 1031 exchange allows you to sell a piece of appreciated real estate and defer all the taxes as long as you invest the entire proceeds in like-kind property. And then consider this: a cost segregation study allows you to separate qualifying real estate into separate components with shorter depreciable lives that speed up deductions and in many cases create immediate write-offs. Can you (a) defer a large gain via Section 1031 and (b) immediately create a large write-off on the new asset with a cost segregation study? You can, but you have to make sure you donʼt miss this one important step. 1031 Exchange ...

The New Tax Code: Consider Savvy Restructuring

We won't say we were barraged with questions of concern after the announcement of the most sweeping U.S. tax legislation in more than 30 years, but pretty darn close. At least we're starting to have "Strategic" conversation about Taxes now instead of it being an afterthought. The 2017 Tax Cuts and Jobs Act and Opportunities While the new legislation includes many pro-growth features, including a deep reduction in the corporate tax rate, a scaled-back state, and the local tax deduction, full expensing for five years, and lower individual tax rates, discipline is essential. It is essential that discipline be practiced at the corporate leadership ...

The New Tax Code Just Made Sexual Harassment More Expensive

Tax incentives still matter. While “follow the money” is an excellent concept for seeking greater information about “what has happened”, by identifying and following the incentives is far superior for determining what “will” happen”. In economic terms, the differences are substantial. One is a lagging indicator (where we have been) and the other is the leading indicator (where we are going). The new law states, no deduction is allowed for any settlement, payout, or attorney fees related to sexual harassment or sexual abuse if such payments are subject to a nondisclosure agreement. While fiscal purists dislike using the ...