Legal Q&A: Get on top of new tax tools for 2010

Thimmesch: 2010 will be an interesting year. The tax provisions discussed above are largely a result of a weak economy and taxpayer difficulties. It looks like many of those tools have a realistic chance of being extended into 2010, but the performance of the economy into the new year may dictate what happens from there. Taxpayers interested in expanding their businesses should keep their eyes on the bonus-depreciation provision and the 179 Expense Deduction. The other area where Congress is providing many tax benefits these days is in renewable and alternative energy. There are many tax-credit programs that have recently been enacted or extended in this area. Taxpayers who have the opportunity to expand in those areas may find some great tax tools to help lower the costs of such an endeavor. On an individual side, taxpayers should watch Congress to see what happens to the 2001 tax cuts, which are set to expire after this year.

Disclaimer: The information provided herein is general in nature, is not complete, and may not apply to a taxpayer’s specific situation. Taxpayers should consult with their tax advisers regarding their tax needs.