President Signs Tax Extenders Bill; Limited-Time Tax Benefits End Dec. 31, 2014

Dec. 20, 2014 - PRLog -- President Obama has signed a measure that increases small-business expensing and bonus depreciation, which allows car and truck dealers and their customers to expense a larger portion of equipment purchases for 2014. Customers must act quickly to take advantage of these tax benefits. This provision may provide substantial potential savings for business customers, but they must purchase qualifying vehicles before Dec. 31, 2014

Here is a look at what the bill does:

First, the bill contains a retroactive increase of the limit on business equipment eligible under Section 179 small business expensing to $500,000 for eligible new and used equipment purchased in 2014. Without this bill, the maximum eligible for Section 179 expensing in 2014 would have been limited to $25,000.

The bill also includes an extension of the 50 percent bonus depreciation deduction for new business equipment acquired and placed in service in 2014. In addition to these changes, there is an extension of the additional $8,000 in first-year depreciation for certain business vehicles purchased in 2014.

With a very few business days left in the year, Midstate Chrysler Dodge Jeep Ram has a good stock of commercial vehicles with special year-end savings during Chrysler’s “Big Finish 2014” event.

Customers are encouraged to consult their tax advisors to determine the exact amount of their potential tax savings, which depends on their own particular tax situation and the provisions described above.