While tax season is a few months away, there are federal tax law changes that may affect your upcoming taxes and return. Keeping on top of these laws will help you make sure you aren’t missing anything important. Check out some of common changes enacted in 2015:
Employees using their own car for business purposes are able to deduct certain operating expenses two different ways:
- Use a general rate-per-mile driven for business, which does not include commuting costs
- Log details of specific expenses such as tires, repairs, gas and more and claim their business-use percentages
IRA Rollover Limits
2015 marked the beginning of the IRA rollover one-per-year limit. If you’re withdrawing funds from one IRA and depositing the funds into another IRA, you’ll only be able to complete one rollover before withdrawals are taxed.
If you or your business receives any form of virtual payment in 2015 and beyond, it is now taxable. This means that the value of the bitcoin should be included in your annual income. Keep in mind that how you use bitcoins or other virtual currencies (investing vs. compensation) will determine what kind of tax rates apply.
2015 has seen a slight increase in the standard deduction for both single and married persons, filing separately and together, due to inflation adjustments.
Itemized deductions have been influenced by the recent Pease limitations enacted by former Rep. Don Pease. While these limitations have been eliminated in the recent past, they are now active again which means an increase in top marginal tax rates.
Wondering about leasing tax law? According to the U.S. Small Business Administration, leasing equipment for your business may make you eligible for tax advantages. Find out how Tiger Leasing can help you with a customized solution for your equipment leasing needs before tax season.
Labels: Business Tips