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Wednesday, Nov 26, 2014
Quincy, IL News - QuincyJournal.com
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1950Brutus - REBEL MEDIA: Dick is here to make it all better - Quincy, IL News - QuincyJournal.com
Besides being an idiot, he seems to be starting his campaigning for the next election. The numbers in this last election may have scared him a bit. Anybody think Hiliary will pick Durbin as her running mate?? What a ticket that would be - rates right up there with Abbot and Costello.
cjohnfall - REBEL MEDIA: Dick is here to make it all better - Quincy, IL News - QuincyJournal.com
so durbin is convening a hearing for dec. 9 when he gives up his chairmanship to cruz in january?! i think this is more evidence that dick durbin is an idiot.
qfingers - Jail Committee to draft ¼ per cent sales tax ballot resolution - Quincy, IL News - QuincyJour
Can't do a sunset provision? It's a referendum...unless Illinois has specific language requirements for sales tax (which I can't seem to find) you can put anything you want on a referendum. After the referendum passes they create an ordinance...and the idea that somebody would sue that you can't put a sunset provision in an ordinance sounds pretty ludicrous to me. A self-restricting…
pjohnf - REBEL MEDIA: Dick is here to make it all better - Quincy, IL News - QuincyJournal.com
There's also 7.6 million Illinois residents that aren't being represented by little Dickie Durbin. Yes the majority rules in our republic but that doesn't mean the minority shouldn't be represented and their rights protected. Durbin is a typical liberal democrat who believes that the socialist agenda comes above all things. The Herald Rag endorsed Durbin because he brings home…
Cardinalquincy - Darren Wilson Grand Jury evidence and testimony - Quincy, IL News - QuincyJournal.com
A word of advice. Always get plenty of sleep before coming into contact with Kevin Taute. He may look at your eyes and be so bold, not only as to accuse you of having consumed marijuana, but then additionally suggest you're growing it in a planter pot to distribute as well. What a tool! If only we could all aspire to such douchebaggery.

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Will Congress fix depreciation?

7 months ago from DTN AgDay

Anticipate that most of the items in the "tax extender" package will be renewed

QUESTION

What do you think the chances are for Congress to extend the 50% bonus depreciation another year? I am trying to make a decision on constructing a $100,000 machine shed. I am going to have a high-income year from liquidating a cow-calf herd, and the $50,000 deduction would be helpful. I need to move now on the machine shed decision and cannot wait for Congress on this for many more months. Or should I forego the needed shed to purchase other machinery that would be eligible to use against the Section 179 expected increase?

ANSWER

Your question is the classic illustration of how congressional inaction can paralyze business decisions. We are one-third of the way through 2014, and we still do not know what the depreciation rules are for this year's asset acquisitions!

We anticipate that most of the items in the "tax extender" package will be renewed. But these first-year depreciation deductions are less certain because they represent temporary incentives that Congress was using to spur a recessionary economy. Our expectation coming into 2014 was that Congress would finally let the 50% bonus expire, and scale back the first year Section 179 deduction to its pre-recession level. With inflation indexing, that would bring the Section 179 deduction to about $145,000. If this is the outcome in the tax legislation, there would be no 50% bonus for your new shed, and as a general-purpose building it is ineligible for Section 179. Your depreciation would be spread over a 20-year recovery period.

However, the Senate Finance Committee recently moved forward on renewing the 50% bonus for new assets for 2014 and the continuation of the $500,000 Section 179 deduction. But it's early in the process; this legislation hasn't yet moved to full Senate passage. And of course it also needs to pass the House, where spending concerns and the size of the deficit are occasionally acknowledged. So, long story short, it is probably a toss-up as to whether the 50% bonus gets renewed. I would be more optimistic about a larger Section 179 amount, as that deduction is only available to smaller businesses and does not have the budgetary cost of the 50% bonus deduction.

And finally, a business thought. Your question described the machine shed as a needed improvement. If so, you should put that improvement ahead of machinery acquisitions that might be more driven by their depreciation benefit. In the big picture, this is only about the timing of the deductions. You should really focus primarily on what is most important for the efficiency and growth of your business, with the taxes as a secondary aspect.


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