IRS Releases New Practice Unit on IRC 179D Deduction: Why Expert Guidance is Key to Compliance
On February 27, 2025, the IRS Large Business and International (LB&I) division released a comprehensive Practice Unit on the IRC 179D Energy Efficient Commercial Building Deduction. This document—aimed at IRS examiners—serves as both a training tool and procedural guide for audits and claims involving 179D deductions. While not official law, these Practice Units offer a […]
Energy Efficiency Pays Off: Section 179D Certification for a New York Multifamily Project
Introduction Energy-efficient construction not only lowers utility bills – it can also unlock significant tax savings. One prime example is a recent multifamily housing and parking garage project in New York, completed in 2022, where the developer partnered with Walker Reid to achieve a Section 179D certification. This collaboration highlights how commercial property owners and […]
Navigating IRS Crackdowns, Section 174 Adjustments, and How 179D Deductions Can Help Architects, Engineers, and ESCOs
The IRS Is Watching: What Architects, Engineers, and ESCOs Need to Know The IRS is ramping up its enforcement efforts, and if you’re in the architecture, engineering, or energy services industries, you need to be paying attention. The latest IRS campaign focuses on tax disclosure compliance, whistleblower incentives, and cracking down on taxpayers who aren’t […]
The Phase-Out of Bonus Depreciation: Unlocking New Opportunities with 179D in 2025
As we approach 2025, businesses and real estate investors are facing a significant shift in tax strategy due to the ongoing phase-out of bonus depreciation. While this change may initially seem like a limitation, it presents an opportunity to explore other lucrative tax incentives, such as the 179D Energy-Efficient Commercial Buildings Deduction. Understanding how these […]
Why CPA Firms Are Embracing Tax Preparation Outsourcing?
Why CPA Firms Are Embracing Tax Preparation Outsourcing In the aftermath of the tax season, CPA firms are still caught up in a whirlwind of client inquiries, meticulous calculations, and applying for extensions. The surge in workload during this time can be overwhelming for firms striving to provide excellent service to their clients. Amidst this […]
Changes to §179D as part of Consolidated Appropriations Act of 2021
At the end of 2020, the energy tax incentive industry after years of lobbying got a huge win with §179D being made permanent and the one-year extension of §45L Tax Credit (§179D residential little brother). Together, the extension of the legislation also brought some changes to the qualification standards used in order to substantiate the […]
Energy-Efficient Commercial Building Tax Deduction
The Energy-Efficient Commercial Building Tax Deduction is an important financial incentive, giving a break to building owners and designers to at least meet (and preferably exceed) the energy reduction requirements of old and new constructions. The tax reduction above received authorization from the Energy Policy Act of 2005 (P.L. 109-58) for the expenses that business […]
When It Makes Sense to Use the Section 179 Tax Deduction, and When It Doesn’t
Here is some good news for small business owners: You are eligible to receive a substantial, upfront tax break when you purchase new assets under the Section 179 tax deduction. This article will discuss when it is financially prudent to utilize the deduction and when it doesn’t. When you purchase a new asset to use […]
Small Business Owner’s Guide To The Section 179 Tax Deduction
Business owners are always looking for the best way to reduce taxable income. This can be particularly true for a new business enterprise. With so many employees now working from home it is also now essential to be monitoring work from home productivity using software or services so that you can make sure that staff […]
Tax Benefits for Architects, Engineers and Contractors Under Section 179D
Architects, engineers and contractors may be eligible for a significant tax benefit as a result of a provision in the Bipartisan Budget Act of 2018 which became law earlier this year. The budget act extended the provisions of Section 179D through the end of 2017. This article will provide an overview of the provisions of […]
