Measure Includes Return To $500,000 Expensing Limit
The
Senate on Friday is expected to take up a House-passed measure to extend expiring tax provisions. The measure retroactively extends small
business expensing limits for tax year 2014 at $500,000.
The cap on deductions had fallen to $25,000 when the tax break expired in
January 2014.
NFIB manager of legislative affairs Matt Turkstra called the expensing limit
increase the “tax extenders” bill’s “most important provision,” noting, “It has
had a big impact” on the purchasing decisions of small-business owners. NFIB is
urging lawmakers to make the $500,000 expensing limit permanent.
What This Means For Small Business.
The expensing provision is vital for small businesses. While having the provision renewed for 2014 is welcome, small businesses need
the provision to be made permanent in order to provide certainty going forward.
Additional Reading.
The Wall Street Journal reports on the tax
extenders bill. The Hill reports on Senate Majority Leader
Reid’s plans for Friday’s session, including a vote on the $1.1 trillion
government-funding bill approved by the House Thursday night and a vote on the
tax extenders bill.
This news article is intended to keep small business owners apprised of current events that may affect them. It does not necessarily reflect NFIB’s policy position on such issues.
