New Sage Fixed Assets 2013.1 Helps Businesses Address American Taxpayer Relief Act of 2012
Automated fixed asset management solution helps businesses stay in compliance and get the most from new tax laws
HERNDON, Va., (February 20, 2013) – Sage North America announced today the release of Sage Fixed Assets 2013.1 with new enhancements to aid businesses in taking advantage of the latest tax laws, such as those recently enacted with the American Taxpayer Relief Act of 2012.
The latest edition of Sage Fixed Assets incorporates detailed modifications to help ensure businesses are capitalizing on new fixed asset exemptions and deductions for which their organizations may qualify. With this new version, companies can quickly identify assets that may be eligible for extra depreciation under recently enacted tax laws.
The American Taxpayer Relief Act of 2012, signed into law on January 2, 2013, avoids the scheduled increases to individual income tax rates for most Americans and extends a host of expired and expiring tax provisions for both individuals and businesses, many of which have been retroactively reinstated for 2012. This means more options exist to take additional depreciation for assets that may have already been placed into service and depreciated. There are a number of principle tax provisions included in this Act that affect fixed asset management, involving areas such as bonus depreciation, Section 179 expensing, MACRS cost recovery periods, mine safety equipment and Indian reservation property.
One example of the impact of the American Taxpayer Relief Act of 2012 shows a leasehold improvement asset of $5,000 with a savings of up to $833 after three years instead of $379.
“With Sage Fixed Assets 2013.1, we’ve made it simple for our customers to maximize their potential tax savings as well as navigate complex compliance issues,” stated Joe Langner, EVP of Mid-Market Solutions for Sage North America. “We realize it’s important for businesses to manage their fixed assets in compliance with new tax laws and regulations to reduce a chance of audits and penalties. And we believe it’s even more critical to claim all allowable deductions and exemptions to ensure the organization’s fiscal health.”
The Audit Advisor in Sage Fixed Assets is now updated to run queries for previously claimed assets and ascertain if they qualify for the 2012 extended or retroactive provisions, including those under Section 179 such as:
- An extension of increased expensing limitation for Section 179 property to the 2011 $500,000 annual limit and the $2 million threshold limit.
- An extension of eligibility to expense qualifying leasehold improvements, restaurant property, and retail improvement property up to $250,000.
- An extension of expensing for off-the-shelf computer software.
- An extension for the designation of an empowerment zone and expensing an additional $35,000 (or the cost of the qualifying property, if less).
Audit Advisor also checks your assets against other important provisions in the American Taxpayer Relief Act of 2012 to see if they qualify for (among others):
- A one-year extension of 50% bonus depreciation for qualifying property and equipment.
- A one-year extension of $8,000 luxury vehicle deprecation for vehicles placed in service in 2013, including passenger automobiles, light duty trucks, and vans.
Sage is a leading global supplier of business management software and services for small and midsized businesses. The Sage Group plc, formed in 1981, was floated on the London Stock Exchange in 1989 and now employs more than 13,500 people and supports more than 6 million customers worldwide. For more information about Sage in North America, please visit the company website at NA.Sage.com. Follow Sage North America on Facebook, Facebook.com/SageNorthAmerica, and Twitter, Twitter.com/SageNAmerica.
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