How did the Tax Cuts and Jobs Act change business taxes? Q.How did the Tax Cuts and Jobs Act change business taxes? A.The Tax Cut and Jobs Act made significant changes to the corporate income tax and taxes on pass-through businesses. While the individual income tax provisions and pass-through provisions expire after 2025, many of the other business tax provisions are permanent. Read more about How did the Tax Cuts and Jobs Act change business taxes?
How does tax law allow businesses to recover the costs of capital assets? Q.How does tax law allow businesses to recover the costs of capital assets? A.Cost recovery is the ability to recover (deduct) the costs of an investment. The recovery of investments in tangible assets happens through depreciation, and the recovery of intangible assets is through amortization. Depreciation and amortization can be measured for economic, financial, or tax purposes. Read more about How does tax law allow businesses to recover the costs of capital assets?
How did the major COVID-19 pandemic relief bills affect taxes? Q.How did the major COVID-19 pandemic relief bills affect taxes? A.The onset of the COVID-19 global pandemic in early 2020 prompted a sharp and severe global recession, as health authorities urged individuals to isolate as much as possible to slow the spread of the disease. To help keep businesses afloat during this period and aid people who lost work as layoffs surged, Congress adopted a series of measures, including tax cuts, to mitigate the economic damage and promote a faster recovery. Read more about How did the major COVID-19 pandemic relief bills affect taxes?