This article gives an overview of 13 of those changes that most directly affect home and business owners. Employer-provided educational assistance. This change enhances the value of this educational fringe benefit to your employees. Greater deductions for charitable donations of computer technology. The Internal Revenue Code presently allows tax deductions for charitable contributions.
Adjusted basis is the cost of the donated item minus any depreciation.
The augmented deduction will be equal to the adjusted basis plus an amount equal to one-half the difference between the adjusted basis and the fair market value of the equipment or software. Reduction in capital gains tax rate. Previously, if you sold your business, you would generally pay tax on the net sale proceeds at a rate of up to 28 percent. The 28 percent maximum rate will still apply for assets owned less than 18 months. These changes will reduce your taxes if you sell your business.