Revision: Feb. 16, 2010, midnight
SB 502-FN-A – AS INTRODUCED
2010 SESSION
09/04
SENATE BILL 502-FN-A
AN ACT requiring use of the federal tax treatment for deduction of costs of section 179 business property under the business profits tax.
SPONSORS: Sen. Bragdon, Dist 11; Sen. Barnes, Jr., Dist 17; Sen. Bradley, Dist 3; Sen. Carson, Dist 14; Sen. Downing, Dist 22; Sen. Gallus, Dist 1; Sen. Letourneau, Dist 19; Sen. Roberge, Dist 9
This bill requires use of the federal tax treatment for deduction of costs of section 179 business property under the business profits tax.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
10-2954
09/04
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Ten
AN ACT requiring use of the federal tax treatment for deduction of costs of section 179 business property under the business profits tax.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Paragraph; Business Profits Tax; Reasonable Compensation Deduction. Amend RSA 77-A:4 by inserting after paragraph XVIII the following new paragraph:
XIX. In the case of a business organization which treats the cost of any section 179 property, as that term is defined in 26 U.S.C. section 179, as an expense not chargeable to capital account in accordance with the provisions of 26 U.S.C. section 179 as such section is in effect for the tax period, the gross business profits of the organization shall be adjusted by:
(a) Adding to gross business profits the amount of such cost that would be deducted with respect to such section 179 property under the United States Internal Revenue Code as defined in RSA 77-A:1, XX in arriving at federal taxable income; and
(b) Deducting from gross business profits the amount allowable as a deduction under 26 U.S.C. section 179 as such section is in effect for the tax period.
2 Applicability. Section 1 of this act shall apply to taxable periods beginning on or after January 1, 2010.
3 Effective Date. This act shall take effect upon its passage.
LBAO
10-2954
02/08/10
SB 502-FN-A - FISCAL NOTE
AN ACT requiring use of the federal tax treatment for deduction of costs of section 179 business property under the business profits tax.
FISCAL IMPACT:
Due to time constraints, the Office of Legislative Budget Assistant is unable to provide a fiscal note for this bill at this time. When completed, the fiscal note will be forwarded to the Senate Clerk's Office.