re: House republicans vote to increase debt substantially

I confused...if an accelerated depreciation schedule is now debt, what do you call the money that a bank lends you to invest in new equipment?

Anyone think Obama--leader of the fiscally responsible democrat party would veto this?

You know... like he did with those irresponsible Bush-era Republican tax cuts that expired...

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Sad troll.

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It's like driving by a car crash.

You just can't take your eyes off of it.

So sick of liberals crying "corporate welfare" when they hear about tax cuts, acting like it's money being taken directly from the citizens, and then turning around and saying that we need to increase entitlements which are actually hand-outs from the government, taken directly from citizens.

No son. It is your lack of knowledge that is on display. I advise you to Google and educate yourself.

I will give you a few pointers. A 1031 exchange will prevent recapture being recognized. Second, it is only relevant when an asset is sold at a gain. This is really like second year associate stuff. I assume you don't really know your arse from a hole in the ground in this area however. I'll tell you a little story.

Once upon a time I worked in public accounting. I worked for a big 4 firm doing boring menial shite like thousands and thousands of fixed asset schedules with hundreds of sales every year. The big 4, being good at accounting advised 1031 exchanges regularly when there were big dollars involved and it was feasible which was all the time. Additionally most assets that weren't part of a 1031 exchange were loss assets and recapture doesn't apply in that case. The government will not get back half of the depreciation taken through recapture or anywhere close. Additionally some smaller companies don't even know Wtf it is and still others will intentionally not report it.

Next time you want to run your mouth, please know the difference between your arse and a random hole in the ground. You take that advice, and it will help you down the road son. Guaranteed.

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I will give you a few pointers. A 1031 exchange will prevent recapture being recognized. Second, it is only relevant when an asset is sold at a gain. This is really like second year associate stuff. I assume you don't really know your arse from a hole in the ground in this area however. I'll tell you a little story.

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What the f*ck does a 1031 exchange have to do with whether we implement bonus depreciation?

Whether we have bonus depreciation or not, you can still enter into a 1031 exchange. Further, the asset you get will take the same carryover basis -- and therefore have the same depreciation recapture potential IF NOT MORE -- as the asset exchanged.

When the asset (whether the 1031 exchanged asset or the original asset) is disposed of, there will be ordinary gain - to the extent of any gain.

Further, any gain is based upon the depreciated value. So, if you have a 5-year asset and you give 100% bonus depreciation (like we had between 2008-2012), the minute that asset is sold ALL OF THE PROCEEDS will be ordinary income.

So, if an asset is purchased in year one for $1 million and 100% bonus depreciation is elected, if the company then sells the asset in year three for $500K, the entire amount is ordinary income. Whereas, under MACRS, there would be part ordinary income and part capital gains.

Seriously, stop making a complete a$$ of yourself.

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Additionally most assets that weren't part of a 1031 exchange were loss assets and recapture doesn't apply in that case.

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First, I also worked at a Big 4. In the tax department (and at the National Tax Practice). I didn't just spend my time adding up columns and ticking them off as a bookkeeper -- I'm sorry "auditor".

Second, where there is 100% bonus depreciation, there is no such thing as a "loss" asset. Once you depreciate it fully, ANYTHING you get for it is GAIN. Gain is based on the depreciated basis, not your original basis -- moron. So, unless you just throw the thing away because it's worth NOTHING, there will always be depreciation recapture. And, if you do throw it away because it's worth nothing, the government hasn't "lost" anything. The taxpayer would get a loss deduction.

Bonus depreciation is strictly a deferral. That's it. What's "lost" in Year 1, will be made up in Years 2-7, or however long the class life of the asset is. That's why when we had bonus depreciation, companies were allowed to elect out of it -- if you think that you will be in a higher bracket in later years (think start-up companies), you would be foolish to take bonus depreciation.

Seriously, and once again, stop making a complete f*cking a$$ of yourself. I don't believe you could ever have worked for a Big 4, but if you did, I truly feel sorry for its clients.

Wow. So I finally read some of your posts. You are really off on how 1031!exchanges work. ...and you are even more off if you thinkthe commissioner can't assign gains it feels are being alluded. Obviously, you have never been a party to tax litigation. But please don't tell others they are I'll informed, when you obviously don't know how it works. B

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I confused...if an accelerated depreciation schedule is now debt, what do you call the money that a bank lends you to invest in new equipment?

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Windfall profits