California Competes Tax Credit Applications Closes April 14

03/20/2014

Businesses may now apply for the first round of awards under the California Competes Tax Credit program. The last date to register for the current application window is April 14, 2014. The California Competes Tax Credit was part of Governor Brown’s three part successor program to the Enterprise Zone tax credit, which is currently being … Read More

Rev. Proc. 2014-16 – IRS releases procedural guidance to implement Final Repair Regulations

01/27/2014

The IRS recently released Revenue Procedure 2014-16, providing the procedural rules taxpayers follow to make “automatic” accounting method changes under the Final Repair Regulations. This revenue procedure modifies Rev. Proc. 2011-14 and supersedes Rev. Proc. 2012-19 regarding certain changes for amounts paid to acquire, produce, or improve tangible property. IRS PROCEDURE 2014-16 The automatic accounting … Read More

Case Study: Retirement of Building Components

01/27/2014

The Final Repair Regulations clarified the rules related to whether a building expenditure is a capital improvement or can be a repair expense. However, one of the most significant rules that has changed under these Regs is in regards to the disposition of structural components of buildings. In the past, when a taxpayer renovated an … Read More

IRS issues Final Revised Tangible Property Repair Regulations

09/16/2013

On Friday (9/13/2013), the IRS issued the final, revised Tangible Property Repair Regulations for Sections 162(a) and 263(a) which modify and supersede the Temporary Regulations that were issued on December 23, 2011. While this is the fourth iteration of the Repair Regulations the IRS has released, it is the first time they have issued them … Read More

New Legislation Replaces California Enterprise Zones

07/11/2013

URGENT ACTION REQUIRED! 2013 will be the last tax year for which businesses may engage in qualified Enterprise Zone hiring or purchasing. Business should document as much Enterprise Zone tax credit as possible now to preserve credits for the eleven year carry forward period. » Contact us and MAXIMIZE your Enterprise Zone credits! Governor Brown … Read More

Texas Governor Signs R&D Credit Legislation

06/17/2013

On June 14, 2013, Texas Governor Rick Perry signed into law HB 800 reinstating the research and development (R&D) tax credit for Texas companies. Although not permanent, both the sales tax exemption and research credit are extended through 2026 and are expected to be a boost to Texas manufacturing and high-technology industries. Details regarding the … Read More

Texas Research and Development Tax Credit Legislation on Governor’s Desk

06/05/2013

On May 25, the Texas state senate approved HB 800 and sent it to Governor Rick Perry for his signature. The bill reinstates franchise tax credits for companies conducting qualified research and development (R&D) activities within the state. The Texas R&D credit was repealed in 2006, but proponents of the bill claim the tax incentives … Read More

Maryland’s Research and Development Tax Credit Extended and Annual Limits Increased

05/01/2013

On April 9, 2013, Maryland’s Governor, Martin O’Malley, approved HB 386 extending and expanding Maryland’s research and development (R&D) tax credit. Maryland’s current R&D tax credit law provides a credit against regular Maryland tax for companies incurring qualified research expenses (QREs) within the state. Maryland currently caps its R&D credits at $6 million per calendar … Read More

Taxpayer Negligence Penalty for Poor Cost Segregation Study

03/12/2013

Summary: In the recently released Chief Counsel Memo #20125201F, the IRS makes it clear that even if you engage a third party to perform a cost segregation analysis, taxpayers cannot avoid penalties for aggressive positions taken in the cost segregation report. The taxpayer attended a presentation that addressed open-air parking structures in which the presentation … Read More