CFS Tax Software, Inc.

Overlooked Provisions of the Economic Stimulus Bill of 2008
Postal rates change in May.
Spring renewal notices are in the mail!
Use your 20% first-time purchase discount to try CFS LivePayroll!

Overlooked Provisions of the Economic Stimulus Bill of 2008
While the stimulus rebates that will be issued starting in May were a hot topic for tax clients during this past tax season, other provisions of the stimulus bill may have been overlooked. There are rather generous expensing and bonus depreciation rules that may affect your business clients when purchasing equipment—especially automobiles—in 2008. Among the provisions:

For tax years beginning in 2008, the maximum 179 expensing limit for new equipment is $250,000.
For equipment placed in service in 2008, there is a bonus first-year depreciation deduction of 50% of the adjusted basis of the qualifying property.
The luxury auto cap on first year depreciation increases by $8,000 for vehicles that qualify.
Bonus depreciation will be allowable for AMT as well as regular tax purposes.

For example, businesses looking to purchase new equipment will be able to write off that equipment under two generous provisions: bonus first year depreciation is $50% of the adjusted basis of newly purchased equipment, and the allowable section 179 expense is $250,000 for 2008 instead of the $128,000 it would have been limited to under the pre-stimulus rules.

For businesses looking to purchase automobiles, the luxury auto limits that would have been $2,980 for autos under the pre-stimulus laws have increased to $10,960 for 2008. Generally, depreciation on luxury autos is limited to the lesser of bonus plus first-year depreciation or the luxury auto depreciation limit.

Be sure to make your business clients aware of these "overlooked" provisions of the stimulus bill. Also, be sure you have downloaded the TaxTools 2008 update containing the latest version of the MACRS Depreciation module, incorporating changes made by the stimulus bill. You can download the update from within TaxTools 2008, or by clicking here.

Postal rates change in May.
On May 12, the U.S. Postal Service will adjust prices for mailing services— First-Class Mail, Standard Mail, Periodicals, Package Services, and Special Services. The cost of a First-Class Mail stamp will increase to 42¢. However, you can continue to use Forever Stamps purchased for 41¢ prior to May 12. There is no change in the additional-ounce price for First-Class single-piece mail. Select prices include:

Spring renewal notices are in the mail!
You may have already received your CFS Spring Renewal mailer; if not, it will arrive soon. Included are:

A renewal form for software, forms and tax return supplies;
A copy of our spring software catalog;
A copy of our spring paper products catalog;
A copy of the "CFS Software News" newsletter; and
A business reply envelope.

Remember—you can save time by using your MyCFS online account to renew your CFS products. To log in to your MyCFS account and access your renewal information, click here. If you don't have a MyCFS account, it's easy to register. Just go to www.taxtools.com and click on "Create Account" under the MyCFS menu, or click here. You will need to provide a valid e-mail address and a password. NOTE: If you renew online, you do not need to return the paper renewal form.

Apply last year’s vouchers to this year’s order;
Earn vouchers on this year’s order to apply to next year’s order;
Take 30% off forms, envelopes, folders, checks, and labels; and
Take 20% off any first-time software purchase.

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Print returns and paychecks in minutes with the same intuitive,
easy-to-use interface found in other CFS programs.
Process live payroll or enter paychecks after-the-fact with CFS 941/940 (included).
Enter payroll data on a daily, quarterly, monthly or paycheck basis.
Automatically calculate wages based on the employee’s annual salary or hours worked and hourly rate, federal withholding, state withholding, local withholding, Social Security, Medicare, and other payroll deductions.
Customize income, tax, and deduction items for each employer.
Print pay stubs or checks.
Print to preprinted checks or blank check stock using included MICR font (a $139 value).
Produce payroll for an unlimited number of employers with an unlimited number of employees.
Import QuickBooks^® after-the-fact paycheck data to save data entry time.
Use all features of CFS 941/940, included with your purchase at no extra charge.