BizTaxBuzz

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Year-End Tax Planning Updates

Most corporate tax pros, like business leaders in general, are looking forward to kissing 2009 good-bye with a huge sigh of relief. But there’s still time to score some tax savings for this year and get a jump on 2010. Here are a couple of year-end tax round-ups that can help.


1. Big-10 accounting firm Crowe Horwath has published a federal tax “Survival Guide” with an emphasis on midsize organizations. The update covers six important topics:


The American Recovery and Reinvestment Act. The report offers thumbnails of tax savings opportunities in the stimulus act that you might have missed, including provisions affecting high-yield discount obligations, the reduction of the built-in gains holding period for S Corporations, the work opportunity tax credit, and environmental incentives.


Accounting for uncertain tax positions. Crowe Horwath offers a brief review of the ramifications of FIN 48, just now kicking in for many nonpublic organizations.


Deducting losses from LLCs and LLPs. A couple of taxpayer-favorable court rulings this year may make it easier for partnerships to deduct losses.


Tax methods of accounting. Recent IRS guidance has expanded the types of changes in accounting methods that qualify for automatic consent.


Like-kind exchanges. Developments in 2009 affect exchanges of intangible assets and deals arranged through third-party intermediaries.


Reportable and listed transactions. While the IRS hasn’t changed its list of transactions that must be reported (under penalty of fines of up to $200,000 per transaction), a couple of court cases suggest that the agency is “aggressively pursuing infractions of the reporting rules without exception,” Crowe Horwath notes.


2. For a concise overview of the tax extenders bill that the House passed on Wednesday, you can’t do much better than this tax briefing from business information and software provider CCH, a Wolters Kluwer business. The R&D tax credit extension is the big news here for business, but the report is comprehensive enough to cover some lower-profile tax savings opportunities, including special treatments for qualified leasehold, restaurant, and retail property; film and television production; and environmental remediation. ###

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