Personal Holding Company
Personal holding companies are subject to an additional tax at 20% (15% in 2012, 2011 and 2010) on any undistributed personal holding company income. (Code Sec. 541)
Accumulated Earnings Tax
In addition to the regular tax, a corporation may be liable for an additional tax at 20% (15% in 2012, 2011, 2010) on accumulated taxable income in excess of $250,000 ($150,000 for personal service corporations). (Code Sec. 531)
Miscellaneous Business Data
Maximum Section 179 Expense Deduction
Phaseout-- $2,000,000 for 2014, 2013, 2012, 2011 and 2010; $800,000 for 2009.
Note. The Sec. 179 deduction reverts by law to a maximum of $25,000 for taxable years beginning
after 2014. (That's calendar year 2015 and subsequent years for most taxpayers.) The phaseout drops to $200,000. It's expected that the deduction and phaseout will be increased substantially with any tax law changes or an extender package.
Note. An increased Sec. 179 deduction is available to enterprise zone businesses and renewal community business in certain situations. In addition, an increased Sec. 179 deduction is available for certain Sec. 179 Disaster Assistance property. Check the rules in place at the time the property is placed in service. Finally, the maximum deduction for heavy sport utility vehicles and certain other vehicles is restricted to $25,000.
Contribution limit prorated for partial year (1/12 per month).