The Senate this morning approved a massive year-end tax and budget package that includes the Protecting Americans from Tax Hikes (PATH) Act. The PATH Act passed the House yesterday and will, among other things, reinstate bonus depreciation and increase Sec. 179 expensing for 2015 and beyond. President Obama is expected to quickly sign the legislation, thereby restoring a semblance of certainty to the tax code and federal budget.
Under the PATH Act for 2015, the bonus depreciation amount will be 50% and the Sec. 179 expensing level will be $500,000, with a $2 million phase out cap.
For a section-by-section summary of the bill with more details about the bonus depreciation and Sec. 179 expensing provisions, click here.
For the Joint Committee on Taxation's detailed explanation of the PATH Act, click here.
To see how your representative voted on PATH Act, click here.