Nonprofit
How Nonprofits Can Stay Aligned and Adapt as Conditions Change
Stronger alignment and shorter planning cycles help organizations stay focused on what matters most while adjusting more effectively to changing conditions.
Update 12/22/14: Since this post was first published, President Obama has signed the items discussed below into law.
Congress has passed, and sent to President Obama for signature, a bill (Tax Increase Prevention Act of 2014) extending a number of tax provisions that had expired on December 31, 2013.
The bill restores a number of tax incentives utilized by individuals, businesses and nonprofits. These benefits include:
- Expenses incurred by secondary school teachers
- Deduction for state sales taxes (if greater than that for state income taxes)
- Tax-free distributions from an Individual Retirement Account to a charitable organization.
- Research Tax Credit
- New Markets Tax Credit
- Work Opportunity Tax Credit
- Bonus depreciation equal to 50% of the cost of new business property
- 15-year depreciable life for certain leasehold improvements
- Expensing of up to $500,000 of business property (Section 179 Expense)
- Exclusion of 100% of gain on the sale of Qualifying Small Business Stock
- Special deduction (179D) associated with energy efficient commercial buildings
- Residential Energy Credit
The above list is not all-inclusive; please contact us if you have any questions about the status of a specific item.
As was the case in preceding years, these tax extenders are temporary and will expire on December 31, 2014. The new Congress being seated in January has expressed a desire to enact legislation of a permanent nature in its upcoming session.
