Governor Reynolds Has Signed Bill Allowing $70,000 Section 179 Deduction in 2018 for All
As expected,
Governor Reynolds signed
SF 220 into law today. Effective for tax years
beginning on or after January 1, 2018, but before January 1, 2019, the law allows corporations and financial institutions the same Section 179 deduction as everyone else ($70,000 deduction / $280,000 investment limitation).
The bill only applies to the 2018 tax year because all entities and individuals are subject to a $100,000 Section 179 deduction limit with a $400,000 reduction limitation for 2019. In 2020, Iowa law is scheduled to fully couple with federal law for the Section 179 deduction. For more information on this issue, read this
blogpost.
Better late than never! Hope you're wrapping up those entity returns and extensions!