Industry Week ran an interesting story for those of you who are involved in the capital cycle. This is a major revision to what you learned in your Engineering Economics course, and may affect your planning cycles for the next 5 years at least.
- 100% expensing of capital expenditures for equipment back to September 27 of last year. Forget depreciation.
- Equipment for capital expenditures used to be for NEW equipment only. Now, used equipment (NEW to you) is treated the same way as new. Full expense in year purchased
- LIFO inventory method was not touched. You can still use it
- The article linked below also talks about the history and reason to reconsider the corporate structure of your firm. If you are a small to medium size firm, this may affect you.
- Also of interest are the changes and tax credits for family leave.