Some popular deductions to go out with the old
Crain’s Detroit Business
Published November 24, 2013
New Year's Eve this year won't be nearly as dramatic for tax policy as last year, but dozens of deductions — including an investor favorite for charitable donations — are set to expire when the ball drops in December, according to a report in Crain’s Detroit Business.
The publication reported that 57 so-called tax extenders will no longer exist, including federal tax deductions for individuals for state and local taxes and tax credits for businesses for research and development. Another provision that will bite the dust is one that allows tax-free distributions from individual retirement accounts for charitable contributions.
All the extenders can be applied to 2013 tax returns that are due April 15. But next year, the tax breaks won't be available unless Congress extends them once again in a process that has been repeated regularly to maintain the provisions, according to the story by Mark Schoeff Jr.
"Our major concern is the uncertainty of the tax code," Jeff Porter, chairman of the tax executive committee of the American Institute of CPAs (AICPA), said during a media conference call. "How can a businessperson make a decision to expand a business when they don't know what the state of the law is?" Ed Karl, AICPA vice president for taxation added.