Tax Preparation in South Florida

Tax

Photo courtesy of efile989(CC ShareALike)

With the new year just days old, you are probably still adjusting to writing 2015 instead of 2014 on your checks and business letters. Even though the federal and state deadline for filing your business tax return is over three months away, it’s never too early to gather the information you need for your returns.

It’s also important to educate yourself about tax changes made in 2014 that could affect your small business. A&B Accounting and Business Solutions, LLC researches tax law throughout the year so we can provide the best tax services to our clients. The items discussed below represent just a few of the biggest tax changes in 2014 that small business owners need to know.

Elimination and Reduction of Credit for Certain Business Expenses

In 2013, the IRS allowed business owners to deduct all of the cost of specific assets under Section 179 of federal tax law. The maximum deduction that year was $500,000, but for 2014, it is a mere $25,000. The deduction for bonus depreciation that allowed business owners to deduct up to 50 percent of the cost of property placed in service that year ended in 2013. Another credit that expired last year is the work opportunity credit that gave employers up to a $9,600 credit for hiring veterans and other workers in protected classes. 

Extension of the Energy Credit

The Energy Efficient Commercial Buildings Tax Deduction, which originally expired at the end of 2013, has been extended through the end of 2015. The 179d credit provides financial incentive to make upgrades to your heating and cooling, lighting, and overall building efficiency based on its total square footage. An energy audit from a third-party organization is required to claim the credit.

Schedule Your Tax Preparation Appointment Before the Busy Season

As you can imagine, A&B Accounting and Business Solutions, LLC gets very busy come March and April. To avoid the rush, contact us now to prepare your business tax return or to seek additional advice about maximizing your deductions.