SAFE-STRIDE

 

TAX BENEFITS FOR COMPLIANCE OF ADA

Let Uncle Sam pay for a Safe-Stride Installation

THE LAW PROVIDES TWO TAX INCENTIVES TO BUSINESSES THAT ABIDE BY THE ACT. ONE IS FOR ALL BUSINESSES AND THE OTHER IS FOR SMALLER BUSINESSES.

TAX CREDITS.

SMALL BUSINESSES CAN CLAIM TAX CREDITS FOR THE EXPENSE OF BRINGING THE BUSINESSES INTO COMPLIANCE WITH THE REQUIREMENTS OF ADA.

TO QUALIFY FOR THE CREDIT, A COMPANY MUST HAVE GROSS RECEIPTS OF $1 MILLION OR LESS AND HAVE NO MORE THAN 30 FULL-TIME EMPLOYEES DURING THE TAX YEAR BEFORE IT ELECTS TO TAKE THE CREDIT.

IF ONE OF THOSE CONDITIONS FIT, THE COMPANY CAN TAKE A TAX CREDIT FOR 50 PERCENT OF ANY EXPENSE OF MORE THAN $250 BUT NOT MORE THAN $10,250. AND THE MAXIMUM CREDIT A COMPANY CAN CLAIM IN ONE YEAR IS $5,000.

UNCLE SAM WILL ALLOW TAX CREDITS FOR ANY CHANGES WHICH ARE REQUIRED UNDER THE NEW LAW.

DEDUCTIONS---A SECOND OPTION.

ALL BUSINESSES CAN APPLY FOR A TAX DEDUCTION FOR THE MONEY THEY SPEND TO GET IN STEP WITH THE ACT.

ANY BUSINESS THAT IS REQUIRED TO COMPLY WITH THE ACT CAN CLAIM A DEDUCTION FOR UP TO $15,000 OF EXPENSES FOR REQUIRED COMPLIANCE FOR THE DISABLED AS WELL AS ELDERLY WORKERS OR CUSTOMERS.

WITHOUT THIS SPECIAL PROVISION, THESE COMPANIES WOULD BE REQUIRED TO DEPRECIATE THE COSTS AS YEARS WENT BY.

SET UP AS AN ELECTION ON THE CORPORATE TAX RETURN, THE CATEGORIES FOR THE EXPENSE ALLOWED IS NARROWER THAN ARE THE CREDITS WHICH CAN BE CLAIMED BY SMALLER COMPANIES.

FOR TAX CREDIT INFORMATION, REFER TO IRS FOR 8826, DISABLED ACCESS CREDIT.

SAFE-STRIDE INSTALLATION AND A SLIP METER TO MEASURE COEFFICIENT OF FRICTION OF FLOOR SURFACE CAN QUALIFY FOR TAX CREDITS OR DEDUCTIONS UNDER THE REQUIREMENTS OF THE ACCESS BOARD. IF YOUR CPA HAS ANY DOUBTS OR QUESTIONS, HAVE HIM REFER TO THE FOLLOWING IRS INSTRUCTIONS.