CARES Act Provides Tax Advantages for Building Upgrades

April 29, 2020

Act now to maximize your equipment depreciation and minimize taxes.

On December 22, 2017, the government passed the Tax Cuts and Jobs Act (TCJA) which will allow taxpayers to potentially expense the purchase of capital expenditures in the year in which the expenditure is placed in service.

On March 27, 2020, the government passed the Coronavirus Aid, Relief, and Economic Security Act (CARES), which made an important correction to an error in the TCJA with respect to accelerated depreciation.

Who qualifies?

All taxpayers qualify for these deductions. When dealing with the government or non-profit entities that do not pay tax, the accelerated deductions are not as important to them.

What assets will allow taxpayers to take advantage of accelerated expensing of purchases?

Tax law is very complex, and each taxpayer has different circumstances and fact patterns. We recommend that taxpayers consult with their tax advisors.

Click here to read our full document: Highlights of 2017 Tax Reform, 2020 CARES Act, and Accelerated Depreciation.

Questions? Email us at info@boland.com.