Updates to Bonus Depreciation

[WBB]

The law appears to have changed in mid January 2024 extending back to tax year 2023 the 100% Bonus Depreciation for qualified assets.  However, as of today (January 25th) Pro Series is still capping the Bonus Depreciation for 2023 at 80% of basis.  Any ideas when this will be updated in the Pro Series program?

[abctax55]

"The law appears to have changed in mid January 2024 extending...."

I would be interested in seeing your cite for that.

[TaxGuyBill]

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@WBB wrote:

The law appears to have changed in mid January 2024 extending back to tax year 2023 the 100% Bonus Depreciation for qualified assets.

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As Anna mentioned, where are you getting that information?

There is a bill in Congress that proposes that change.  But it was only passed the the Senate last week.  It has not been voted on in the House or signed by the President (yet).  So it is not law yet.

However, it seems fairly likely it may become law.  *IF* it does become law, it will be quite a while before ProSeries is ready.  With most retroactive tax law changes, generally you need to wait until the IRS updates any forms and Publications, then after that is done, another two weeks for Intuit to update the software.

[IRonMaN]

One out of three is pretty good for batting in baseball but kinda sucks for taxes.

[BobKamman]

Was there a Senate vote?  I thought it was voted out of committee by Ways & Means Committee of the House, where revenue laws are supposed to originate.  (Of course, there are loopholes to get around that.)  And then the kids in the House went to the playground this week (for recess) so we won't know until next week whether there will be a vote on it.  

[WBB]

thank you for you input.  I misread the article from Wolters Kluwer and see that it in fact only passed the House.  

I appreciate those that took the time to provide positive feedback.  I apologize to those that took time from your busy schedule just to poke and ridicule.  Not sure what positive outcome you hoped to impart - other than that I will not use this community again to ask questions.  You may count that as a success for your time spent.

[abctax55]

I asked for a cite, just in case " I " missed something.

Not quite sure why that was such an irritant for you.

You'll be missed 'round here........

Hope you have wonderful tax season.

[IRonMaN]

We accept your apology??????????

[sjrcpa]

@BobKamman No.

Excerpt from today's Tax Notes Today:

Senate taxwriters seeking to introduce changes to the tax deal through a markup are grappling with the timing for the bill as the opportunity to pass it before the filing season kickoff has come and gone.

Senate Finance Committee Republicans, led by ranking member Mike Crapo, R-Idaho, are seeking to change the details of a tax deal that has received resounding support in the House Ways and Means Committee. The desire for a chance to amend the bill was echoed by one Democratic taxwriter who said he would like to see the bill marked up but admits that isn’t realistic.

While getting the bill done in both chambers by the start of filing season on January 29 has become a fantasy, completing the legislation soon after is becoming a herculean task as well.

The Senate has a scheduled two-week recess starting February 12, leaving it only a week to pass the tax deal should the House get it across the full-floor finish line by the end of January. Adding a markup with changes before a full Senate vote and then sending the new bill back to the House would stretch the timeline even further.