We wanted to share two significant incentives included in the tax bill expected to be signed by the President today or tomorrow.   

• 100% bonus depreciation will be effective for qualified original use assets placed in service after September 8, 2010 and before January 1, 2012.  This effectively enables you to expense qualified  original use asset purchases for tax purposes for this period of time.  50% bonus depreciation will be available for the 2012 tax year. 
• Payroll tax cut -  this reduces the employee share of OASDI portion of Social Security taxes from 6.2 % to 4.2% for calendar year 2011 wages. 

The bill has a substantial number of provisions in it, but we wanted to get these two time sensitive items to you.  We will be providing additional information in the near future. 

Please contact Mike Vogel, CPA, at (800) 880-7800 if you would like to discuss these or other provisions of the bill further.