Bills › 88th General Assembly
Relating to the increased expensing allowance deduction by corporations, financial institutions, and partnerships and limited liability companies taxed as corporations, and including effective date and retroactive applicability provisions. Effective 3-15-19
Sponsored by the Senate Ways and Means Committee
Topics:Taxes
Same legislation: SSB 1098
Where it is now
- Done: IntroducedFebruary 7, 2019
- Skipped: SubcommitteeSkipped
- Done: Senate committeeFebruary 7, 2019
- Done: Passes the SenateFebruary 18, 201948–0
- Done: House committeeFebruary 28, 2019
- Done: Passes the HouseMarch 11, 201987–7
- Done: To the GovernorMarch 13, 2019
- Done: Signed into lawMarch 15, 2019
Signed into law What’s a funnel?
What’s in it
This bill relates to the increased expensing allowance deduction (section 179 of the Internal Revenue Code) when computing net income by corporations, financial institutions, and partnerships and limited liability companies taxed as corporations. The bill expands the increased expensing allowance deduction on section 179 property available for individual state income tax purposes to include corporations, financial institutions, and partnerships and limited liability companies taxed as corporations.
Read the full explanation
The bill allows such a corporation, financial institution, partnership, and limited liability company, in tax year 2018, to qualify for the increased expensing allowance deduction on section 179 property for purposes of computing net income, but limits the maximum deduction and investment limitation to $70,000 and $280,000, respectively. Currently, for tax year 2018, the maximum expensing allowance deduction and investment limitations on section 179 property for such entities is limited to $25,000 and $200,000, respectively. The bill takes effect upon enactment, and applies retroactively to January 1, 2018, for tax years beginning on or after that date.
House subcommittee
Named February 19, 2019. On February 26, 2019 it recommended passage.
Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part
Fiscal note
Less revenue: up to $620,000 Compare with other bills
The Section 179 expansion to corporate entities will reduce net General Fund revenue by an estimated $620,000 in FY 2019 and $430,000 in FY 2020. 0 million. With the change effective for TY 2018 and with tax filing for that tax year currently underway, the change will result in amended returns and additional Department of Revenue administrative expenses. Source Department of Revenue /s/ Holly M.
- Final Fiscal Note - Corporation Section 179 Expensing · June 5, 2019
- Corporation Section 179 Expensing · February 18, 2019
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88th General Assembly