Year-End Tax Planning for 2017 for Businesses

Year-End Tax Planning for 2017 for Businesses

If you've been following the news out of Washington, you probably know that corporate tax reform is a real possibility. It's likely that the bill will be sent to the President to sign into law by year's end. Most of the changes would not take effect until next year, and many of the details are still up in the air.

The following are some year-end strategies we should review with respect to your business.

Section 179 Expensing and Bonus Depreciation

If you are looking to reduce your business's taxable income, two of the biggest deductions from which your business may benefit are the Code Sec. 179 expense deduction and bonus depreciation. For 2017, the maximum amount of qualifying property that your business can expense is $510,000. That amount is reduced one-for-one to the extent qualifying property purchased during the year exceeds $2,030,000.

Vehicle-Related Deductions and Substantiation of Deductions

Expenses relating to business vehicles can