This Dean Mead e-Alert provides you with important information about new legislation enacted: the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010.
On December 17, 2010, President Obama signed the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. This Bill retroactively reinstates and extends a number of provisions which either expired in 2009 or were set to expire at the end of 2010. Some of the more important provisions include:
- Extension of the 2001 Bush tax cuts through 2012, thereby maintaining the current federal income tax rates, capital gains rates, and preferential dividend rates through such period.
- Creation of a special depreciation rule for qualified property acquired after September 8, 2010 and before January 1, 2012, allowing the taxpayer to deduct one hundred percent of the acquisition.
- Creation of a temporary employee payroll tax cut in 2011, so that Social Security taxes withheld from employee paychecks will decrease to 4.2%.
- Major changes to the estate and gift tax are the subject of a separate e-Newsletter. Please see the link here to reference the article posted on the Dean Mead Website: http://www.deanmead.com/CM/News/Articles.asp .
For more information on this bill, please contact any member of Dean Mead’s Tax Department. Visit us at deanmead.deme.dev
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