Capital Corner:  Spring Traditions

Jim Brandenburg, CPA, MST, Shareholder - Tax  email | bio
April 2010

Key signs of spring include golf at The Masters, opening day for baseball and the April 15th tax filing day.  Yes, it's the annual opportunity we have each year to perform our civic responsibility and patriotic obligation of paying taxes. 

2009 was full of legislation including the stimulus bill, which resulted in many changes for this year's tax returns.  As Congress spent considerable energy and effort in passing health care reform legislation, other tax bills and legislation were left on the back burner.  Similar to 2009, 2010 is sure to bring much more activity to Washington, including the following possible tax bills that will soon be addressed.  

• Extender Legislation - Various tax measures that expired at the end of 2009 may be extended through 2010, including the R&D credit and an Alternative Minimum Tax (AMT) exemption patch.
• Small Business Legislation - A small business tax bill may develop, although the House and Senate differ as to the specific measures to include in the legislation.
• Estate Tax Legislation - Estate tax ended as of December 31, 2009, but will return in 2011 at 2001 estate tax rates unless Congress acts.  Look for a bill to get pushed through this year (perhaps by this summer); the specific provisions are still being sorted out.
• Financial Market Legislation - Significant legislation is being considered at the Capitol to overhaul the financial markets, which could include several tax items.  It is still uncertain as to whether this bill will be enacted this year.    

Each new change this year brings about more forms with special exceptions and limitations, more complexities and much more anxiety for next April.  Similar to The Masters, continual legislative changes make April 15th a tradition unlike any other.