DMSH (DeMinimus Safe Habor) election 2014

[Gretel]

Let me try again. I was not talking about procedures being in writing, only that the election for the company's books needs to be made before the tax year beginns, and once made depreciation and sec.179 are no longer available.

[ATSMAN]

Thanks. Got it.

[DaveinTexas]

Administration Cost?

I would love to see the IRS try to administer 1/100th of 1% of these cases. When they are so focused, and will be focused, on ACA procedures, rules and the fact that this will probably be the highest CP and matching letter tax years of all time, the IRS won't have any resources, time or heart to challenge these regs.

When you are on hold (our office today) with PPS for 2 hours, then you hear a "due to technical difficulties, we are re-routing your call.........Please indicate whether you are calling for an Individual, Business (the prompt started over)"....what does that say about the IRS budget and concern to administer and properly interpret these crazy new laws/regs?

This Administration, this Commissioner and this IRS is a joke ladies and gentlemen. I will play by the rules, but I don't expect anyone at IRS to understand them or administer them correctly. Hang on to your hats, it should be quite a ride over the next few years.

[TaxGuyBill]

Let me try again. I was not talking about procedures being in writing, only that the election for the company's books needs to be made before the tax year beginns, and once made depreciation and sec.179 are no longer available.

The "accounting procedures" to expense items for $500 or less for BOOK purposes needs to be made at the beginning of the year. Books and taxes are not necessarily the same. You can have the "accounting procedures" for BOOK purposes to deduct items under $500 or even $500,000; neither affects the ability to NOT claim the safe harbor election for TAX purposes..