Congress Passes Tax Extender Legislation

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.