A partnership can terminate for federal income tax purposes without the partners knowing it. This is called a technical termination, and can expose the partnership to costly late-filing penalties. What is a technical termination? Technical … [Read more...]
Tax Deductions: Working Away From Home
Deductible travel expenses are the ordinary and necessary expenses of traveling away from home for your business, job or profession. To qualify, the travel must be away from the general area of your tax home for a period substantially longer than an … [Read more...]
Deducting Business Meals & Entertainment
Part of the costs of entertaining clients and other business contacts can be deducted on your tax return, but special rules apply. 50% Limitation Entertainment expenses must meet certain tests below to qualify as tax deductions. Even then, the … [Read more...]
Truck and SUV Depreciation for 2013
Click here for the 2014 update! In our last post on auto depreciation we discussed the depreciation limits for most autos and trucks weighing less than 6,000 pounds. Today let’s look at the rules for larger trucks and … [Read more...]
Auto Depreciation for 2013
In our last post on bonus depreciation, we noted that there are special rules for depreciating cars and trucks. Today we’ll look at those rules. This discussion assumes that the vehicle is being used more than 50% for business purposes. If the … [Read more...]
Bonus Depreciation for 2013
In our last post we talked about Section 179 expensing of fixed asset acquisitions. Another way to accelerate tax deductions for purchases of fixed assets is through additional first-year “bonus” depreciation. The cost of property with a useful … [Read more...]