As the deadline for filing tax returns fast approaches, every spa business owner should be aware of the many recent changes to tax laws, changes that will affect the tax bill for 2008 and for many years to come.
Naturally, not all of last year’s tax law changes apply to spa facilities and businesses. Last summer’s passage of the Housing and Economic Recovery Act of 2008, for example, was notable for the absence of significant business-related tax incentives, as the bill’s First-Time Homebuyer Tax Credit, the Reduced Home Sale Exclusion and other consumer-oriented provisions virtually hid the acceleration of large-corporation estimated tax payments.
Stimulating the economy
Earlier in the year, however, the Economic Stimulus Act of 2008 was signed into law, complete with rebates and business incentives. Most noticeable for the recovery rebates, reaching as high as $600 for individuals and $1,200 for married couples, the new law also included $44.8 billion in business incentives.