Technical Updates

See the latest changes that can affect your tax liabilities

Cost Segregation

07.28.2020 THE CURRENT STATE OF ADS UNDER THE TCJA AND CARES ACT

Technical UpdateTHE CURRENT STATE OF ADS UNDER THE TCJA AND CARES ACTJuly 28, 2020 by Charles DuncanWith the recent release of Rev. Proc. 2020-25 and Rev. Proc. 2020-22, many tax advisors have turned their attention to how the Alternative Depreciation System (“ADS”)...

06.27.2020 PROPOSED § 1031 REGULATIONS

TECHNICAL UPDATE PROPOSED § 1031 REGULATIONS June 29, 2020 by Charles DuncanOn June 12th, 2020, the Treasury published REG-117589-18 in the Federal Register. These proposed reliance regulations provide guidance on the definition of “real property” under Code § 1031....

08.05.2019 Revenue Procedure 2019-33

TECHNICAL UPDATE REVENUE PROCEDURE 2019-33 August 5, 2019On July 31, 2019, the IRS released Rev. Proc. 2019-33. This revenue procedure allows taxpayers to make or revoke certain elections for bonus depreciation under the Tax Cuts and Jobs Act of 2017 (TCJA) for the...

01.14.2019 Treatment Tenant Improvements Sec. 110 Overview

TECHNICAL UPDATE TREATMENT OF TENANT IMPROVEMENTS & SECTION 110 OVERVIEW January 14, 2019As we have discussed in a prior installment of iTaxblog, the Tangible Property Regulations have focusedpractitioners’ attention on the treatment of tenant improvements. This new...

11.15.2018 New IRS Practice Units on Partial Asset Dispositions

TECHNICAL UPDATE NEW IRS PRACTICE UNIT ON PARTIAL ASSET DISPOSITIONS November 15, 2018On November 5th, 2018, the Internal Revenue Service released a practice unit presentation for their Large Business & International division agents. A practice unit is a training...

06.12.2018 Off-Site Improvements

TECHNICAL UPDATE OFFSITE IMPROVEMENTS September 12, 2017When taxpayers develop real estate for use in their trade or business, they frequently must construct improvements that allow customers to access their property. In some cases, taxpayers must acquire additional...

02.14.2018 TCJA- Bonus Depreciation Considerations

TECHNICAL UPDATE TCJA - BONUS DEPRECIATION CONSIDERATIONS February 14, 2018Understanding bonus depreciation is not so simple: Most taxpayers and tax practitioners view bonus depreciation in a straightforward manner: If an asset is placed-in-service between certain...

01.26.2018 Tax Cuts and Jobs Act and Section 179

TECHNICAL UPDATE TAX CUTS AND JOBS ACT AND SECTION 179 January 26, 2018On December 22nd, 2017, the President signed Public Law Number 115-97, known as the Tax Cuts and Jobs Act. This wide-ranging act has changed many familiar provisions of the Internal Revenue Code...

09.02.2017 De Minimis Safe Harbor and New Construction

TECHNICAL UPDATE THE DE MINIMIS SAFE HARBOR AND NEW CONSTRUCTIONSeptember 02, 2017The De Minimis Safe Harbor (DMSH) of section 1.263(a)-1(f) provides a relatively straightforward way for taxpayers to avoid capitalizing assets and improvements under section 263(a)....

12.15.2016 Updates to the Cost Segregation Audit Techniques Guide

TECHNICAL UPDATE UPDATES TO THE COST SEGREGATION AUDIT TECHNIQUES GUIDE December 15, 2016On November 3rd, the Service released its first major update to the Cost Segregation Audit Techniques Guide (ATG) in over a decade. First introduced in 2004, the Cost Segregation...

01.07.2016 Section 754 and Cost Segregation

TECHNICAL UPDATE SECTION 754 AND COST SEGREGATION January 7, 2016This memorandum provides a simplified, non-technical overview of the benefits of cost segregation and section 754 for real estate partnerships.Partnerships: Cost Segregation and Section 754...

08.05.2015 Demolition Costs Under New Tangible Property Regulations

TECHNICAL UPDATE REVENUE PROCEDURE 2019-33 August 5, 2019On July 31, 2019, the IRS released Rev. Proc. 2019-33. This revenue procedure allows taxpayers to make or revoke certain elections for bonus depreciation under the Tax Cuts and Jobs Act of 2017 (TCJA) for the...

06.30.2015 Replacement Tenant Improvements-TPRs

TECHNICAL UPDATE REPLACEMENT TENANT IMPROVEMENTS & THE TPR’SJune 30, 2015The enactment of the Tangible Property Regulations (“TPR”) has confused many taxpayers on how to deal with tenant improvements. The most common area of confusion is whether tenant improvements...

06.18.2015 MACRS Treatment of Solar Powered Water Heater

TECHNICAL UPDATE MACRS TREATMENT OF SOLAR POWERED WATER HEATERS June 18, 2015As we seek solutions for ever greener buildings, the use of renewable energy sources are going to be increasingly common as are questions regarding the proper treatment of these assets. For...

05.08.2015 Treatment of Remediation Costs Under Final Regulation

TECHNICAL UPDATE TREATMENT OF REMEDIATION COSTS UNDER THE FINAL REGULATIONSMay 8, 2015IntroductionAs the first tax season under the final tangible property regulations progresses, many tax practitioners have turned their attention to the treatment of environmental...

07.15.2014 Lukens Case Study: When a Building is Not a Building

TECHNICAL UPDATE LUKENS CASE STUDY: WHEN IS A BUILDING NOT A BUILDINGJuly 15, 2014Though cost segregation is a very popular tax savings strategy, some aspects are seldom encountered in practice. One rarely encountered situation is the proper reclassification of what...

R&D TAX CREDIT

06.29.2020 VA EXTENDED APPLICATION DEADLINE TO SEPTEMBER 1, 2020

TECHNICAL UPDATE VA EXTENDED APPLICATION DEADLINE TO SEPTEMBER 1, 2020 June 18, 2020In a recent legislative update, the Virginia General Assembly modified the two state research credit programs resulting in changes that have both current and future implications.The...

01.25.2019 Reminder: Minnesota Increased Its R&D Tax Credit Rate

TECHNICAL UPDATE REMINDER: MINNESOTA INCREASED ITS R&D TAX CREDIT RATEJanuary 25, 2019For tax year 2017 and forward, companies spending significant research dollars in Minnesota can now claim larger tax credits. For each incremental dollar of R&D expenses over $2...

02.14.2018 Tax Cuts and Jobs Act Impacts R&D Tax Credit

TECHNICAL UPDATE TAX CUTS AND JOBS ACT IMPACTS R&D TAX CREDIT February 14, 2018Given the recent passage of the Tax Cuts and Jobs Act, we want to keep you up-to-date on the Act’s impact to the Research and Development (R&D) Tax Credit. While the credit did not...

04.15.2016 Research Credit Enhancements Included in the Path Act

TECHNICAL UPDATE RESEARCH CREDIT ENHANCEMENTS INCLUDED IN THE PATH ACT April 15, 2016Enhancement 1: Start up companies are able to use the research credits generated in tax years beginning after December 31, 2015 against payroll tax What is the definition of a...