Tax Time: What’s an allowable investment expense?

Tax Time: What’s an allowable investment expense?

Here is the basic premise about interest expense ...

Ways to manage the limit on the business interest expense deduction - WCS - Accounting Firm in Washington DC

Prior to the enactment of the Tax Cuts and Jobs Act (TCJA), businesses were able to claim a tax deduction for most business-related interest expense. The TCJA created Section 163(j), which generally limits deductions of business interest, with certain exceptions. If your business has significant interest expense, it’s important to understand the impact of the deduction limit on your tax bill. The good news is there may be ways to soften the tax …