EPact 179D
Incentives for the energy conscious…
The EPAct 179D Tax Deduction is a U.S. federal tax incentive that encourages energy-efficient building designs. Energy-efficient improvements made to commercial buildings in the components of lighting, HVAC, and the building envelope systems allows building owners or designers to claim a tax deduction.
The deductions are progressive based on designs and construction, and may also be applied to newly renovated buildings. RPTI has the in-house expertise to make sure you find all the available benefits. If you are contemplating a new construction, reach out to us and let us help guide the design process to make sure you find the correct level of compliance.
Managing depreciation recapture for a tax benefit…
The IRS states in Pub 544, Chap. 3, “When you dispose of depreciable property (§1245 property or §1250 property) at a gain, you may have to recognize all or part of the gain as ordinary income under the depreciation recapture rules.”
The IRS also states in its Form 4797, “If you disposed of both depreciable property and other property (for example, a building and land) in the same transaction and realized a gain, you must allocate the amount realized between the two types of property based on their respective fair market values (FMVs) to figure the part of the gain to be recaptured as ordinary income because of depreciation.”
If managed properly with an RPTI Disposition Analysis, depreciation recapture gains are substantially reduced.
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