Tax Law Highlights - 2012

Section 179 Income Limitation

The Section 179 deduction cannot be used to create or add to a loss. Income from all trades or businesses in which the taxpayer is engaged is counted in determining the income limitation, Wages received by taxpayer AND wife from activities unrelated to those created the 179 deduction are treated as income in determining the income limitation. The maximum deduction allowed in 2012 is the lesser of $500,000 or the Section 179 Income.

Need Professional Help?

If you need help with "Tax Law Highlights - 2012" or have other tax questions, we can help you find a local licensed tax preparer for a free, no-obligation consultation.