(Black Enterprise) — As tax time draws near, it’s imperative that entrepreneurs be aware of the impact of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010, which was signed into law by President Barack Obama in December. Richard Levychin, CPA, Managing Partner ofKBL, LLP, a New York City-based Certified Public Accounting and business advisory services firm, says small business owners should be aware of the following provisions.
Bonus Depreciation: Under prior law, a 50% bonus depreciation deduction was allowed for qualifying property. The provision has been extended to include property placed in service before Jan. 1, 2011. Additionally, certain property with long production periods and transportation property, including certain aircraft, qualify if placed in service before January 1, 2012. Bonus depreciation also applies to certain qualified leasehold improvements.