AGC will send Senate Finance Chairman Max Baucus (D-Mont.) a letter commenting on the “Cost Recovery and Accounting Tax Reform Discussion Draft,” released on Nov. 21, 2013. The staff discussion draft addresses a number of areas of concern for construction companies, including depreciation of tangible assets, accounting rules, business expensing and specific deductions such as Section 179D.
The letter AGC is sending the committee tomorrow will address:
- Proposed depreciation pools
- Retroactive date for replacement of a new depreciation system
- Limitations on Repair Regulations
- Section 179 expensing levels
- Maintaining Section 199
- Cash-basis threshold
- Threshold at which the PoC method of accounting is required
- Repeal of the home construction contracts exception
- Taxation of income while in dispute
- Look-back calculations
- Repeal of Section 1031 like-kind exchanges
- Repeal of the Section 179D deduction