Planning Options if Individual Tax Rates Rise to Pre-2003 Levels

If Congress takes no action with respect to individual tax rates prior to 2013, then individual tax rates will revert automatically to their pre-2003 levels, which would mean that the highest marginal individual income tax rates will jump from 35% to 39.6% (a comparison of the 2012 and estimated 2013 individual marginal income tax rates,…

Read More

Overstatement of Basis Does Not Extend Statute of Limitations

The U.S. Supreme Court has now reconciled a split in the Circuit Courts regarding whether an overstatement of a taxpayer’s basis in property that was disposed of in a recognition transaction could result in the application of a 6-year statute of limitations, instead of  the normal 3-year limitations period.   In US v. Home Concrete &…

Read More

Section 179D Deduction for Energy Efficient Property

Section 179D generally allows a deduction for the cost of all or part of energy efficient commercial building property placed in service during the taxable year.  The energy efficient improvements must be placed in service before January 1, 2014.  Of special note for clients in the construction business is the provision providing that, where the…

Read More