Archive for November 12th, 2008
2008 AMT Exemptions
Posted by taxguru on November 12, 2008
Q:
Subject: any update on AMT for 2008?
Just trying to get a handle on what my liability will be. Last year we crept over the line and we subject to AMT for the first time. I suspect we will be again this year, but would like to get a better fix on how big it will be.
thx
A:
As part of the big bail-out bill that was passed last month, the AMT exemption amounts were increased for 2008 to:
$46,200 for people filing as Single or Head of Household
$69,960 for Married Filing Joint or Qualifying Widow
$34,975 for Married Filing SeparateAs it stands now, these amounts will drop for 2009 to:
$33,750 for people filing as Single or Head of Household
$45,000 for Married Filing Joint or Qualifying Widow
$22,500 for Married Filing SeparateWhether those figures will be changed is completely up in the air now that we have an anti-success Socialist administration ready to take over control of the tax code next year.
You can download the complete 24+ page pdf summary of the latest tax bill from The TaxBook at:
www.thetaxbook.com/updates/thetaxauthority_update_service/pdf/bulletin/10-10-2008_update.pdf
Good luck. I hope this helps.
Kerry Kerstetter
Posted in AMT | Comments Off on 2008 AMT Exemptions
Bonus Depreciation – New or Used?
Posted by taxguru on November 12, 2008
Q:
Subject: Special Bonus Dep and Section 179
Hello:
I saw on your website that used vehicles qualify for section 179 deduction, but will a used vehicle qualify for the 50% special bonus depreciation allowed under the 2008 eco stimulus package…or does it have to be a new vehicle?
Thank you
A:
While Section 179 deductions have always been available for business equipment that had been previously owned by unrelated parties, one of the requirements for special first year bonus depreciation has always been that it was only available for the first user of that specific asset. So, a used vehicle will not qualify for the special bonus depreciation.
Your personal professional tax advisor should be able to give you more specific advice for your unique circumstances.
Good luck.
Kerry Kerstetter
Follow-Up:
Super. Great website. Thank you for your response and clarification. Best of luck to you!
Posted in 4562 | Comments Off on Bonus Depreciation – New or Used?
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