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December 2004 Newsletter continued |
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EDITOR'S NOTE: Should you have questions with respect to the information contained in this newsletter or need help with your personal or business financial, tax and accounting activities, please call. |
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E-Mail Halliday@hallidaycpa.com |
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This newsletter offers factual and up-to-date information on the subjects discussed, but should not be regarded as a complete analysis of these subjects. No party assumes liability for any loss or damage resulting from reliance or use of this material. |
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• 4th quarter corporate estimated tax payments due December 15, 2004 • Individual estimated state of Utah tax prepayments due on or before December 31, 2004. |
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But you can still get a large write-off before year-end by taking advantage of the $25,000 write-off, bonus depreciation, which expires 12-31-2004, and regular depreciation. For example, a $60,000 SUV used 100% for business could claim a total write off of $46,000 in 2004. |
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Retirement plans and social security increases for 2005 |
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The 401 (k) maximum rises to $14,000, those born prior to 1954 can contribute an additional $4,000. The SIMPLE maximum rises to $10,000, $12,000 if born before 1954. The payin ceiling for defined-contribution plans, Keoghs and profit sharing plans is $42,000 for 2005.
Social security benefit checks will be 2.7% larger in 2005. The earnings limits for beneficiaries will rise as well. Individuals between 62 and 65 and six months can make $12,000. Individuals who will be age 65 and six months in 2005 can earn $31,800 until they reach that age. There is no cap for individuals over age 65 and six months. |