Lifecycle Financial Planning: Tax Planning - Depreciation

Overview

Depreciation can be a very large and important deduction for owners of rental properties and small businesses. It can allow these taxpayers to be cash flow positive while declaring significantly less taxable income. However, this gets tricky. Are there elections we can make that may help us in later tax years? When does depreciation need to be recaptured? And when can missed depreciation deductions be made up? Using easy to follow examples and discussion, we will explore these issues and many others, so that we can get the best results possible for this unique group of clients!

Highlights

• Tax basis depreciation and useful life categories
• Half
• Year & Mid
• Month Conventions
• Special Elections
• Straight
• Line & ADS
• Listed Property
• Sec 179 Rules
• Bonus Depreciation & Luxury Auto Limits
• Sec 1231 Recapture Rules
• Sec 1245 Recapture Rules
• Sec 1250 Recapture Rules
• Sec 291 Recapture Rules
• Allowed or Allowable
• Planning Considerations

Prerequisites

Basic understanding of tax rules for the taxation of small businesses and rental property.

Designed For

Tax and financial advisors who have clients who have clients with small businesses and rental property.

Objectives

• Recognize the different accelerated depreciation methods available and when they can be used.
• State how depreciation recapture differs under Sec 1245, Sec 1250, and Sec 291.
• Identify different planning techniques available utilizing depreciation.

Preparation

None

Notice

This is a self-study/on demand course offered by a 3rd party vendor. Course access information will be emailed directly to you by Peters Professional Education (PPE). The course expires one year from the purchase date.