Tax News

CCH (cch.taxgroup.com) reports:

  Florida legislation that would decouple the corporation income tax from federal bonus depreciation and IRC §179 asset expense election limitation increases has passed both houses of the Legislature. The bill would conform Florida laws to the Internal Revenue Code as amended on January 1, 2008 (previously, January 1, 2007). However, specific provisions would disallow all bonus depreciation under IRC §168(k) and would limit the asset expense election to $25,000, thereby also disallowing the 50% bonus depreciation and the asset expense election limitation increase to $250,000 enacted by the Economic Stimulus Act of 2008 (P.L. 110-185). If enacted, the legislation would take effect retroactively to January 1, 2008.

H.B. 5065, as passed by the Florida House of Representatives and the Senate, and enrolled on May 1, 2008.