Message from Nelson & Company, P.S., CPAs
Happy Birthday, Tax Codes
On October 11, 2013, the US Income Tax Code turned 100 years old. The code was then only 400 pages, and contained about 12 pages of instructions and forms.
Today, the code is 73,608 pages, and regulations, forms, and instructions number into the millions - no one really knows for sure.
Equipment and Leasehold Write-offs Limited
The amount you can expense for equipment for 2013 is $500,000. This drops to $25,000 for 2014. Also, leasehold improvements, currently at $250,000 will be reduced for 2014 to $25,000.
Under the new capitalize expenditure rules, low-cost material and supplies costing less than $200 can be written off at time of purchase. For most businesses, items more than $500 will have to be depreciated.
2014 Tax Season Will Start Late, But April 15th Remains Unchanged.
The IRS announced a delay of the 2014 tax season due to the 16-day federal government shutdown. The delay will be approximately one to two weeks. The original opening date was January 21, 2014. The IRS will start accepting and processing 2013 returns no earlier than January 28, and no later than February 4.
The April 15th deadline remains unchanged.
David S. Nelson, CPA, CTRS
NELSON & COMPANY, P.S.
Certified Public Accountants
IRS Times & Inquirer
Reality TV's K. Michelle Owes the Tax Man
Recording artist and reality TV star K. Michelle owes the IRS $52,415.09 in back taxes, according to tax liens originally obtained by celebrity news website TMZ.
K. Michelle, whose real name is Kimberly Michelle Pate, first introduced herself to wide audiences with the single “Fakin’ It,” featuring Missy Elliott.
Most Americans, however, know K. Michelle from her role in the VH1 reality show Love & Hip Hop: Atlanta, which premiered in April and follows the lives of four women involved in the hip-hop music industry.Following her appearance on the reality show, K. Michelle signed a new recording contract with Warner Bros. Records.
====NOTICE REQUIRED BY IRS====
This bulletin is intended to inform you about the services provided by N&C. It is not intended nor should it be used as a substitute for any professional tax or accounting advice. You should seek advice directly from a qualified professional before making any decisions or taking any action on any accounting or tax related issues. We provide this "as is" and disclaim all warranties.