Page 20 - Supplement to Income Tax 2019

Forms, Tables, Worksheets

connection with your performance of services as a member property placed in service in 2018 that is eligible for bonus
of the reserves, you can figure your travel costs on Form depreciation and used 100% for business, there is no need to
2106 (20.1). If you use your vehicle for this travel, you elect first-year expensing; the entire cost can be written off using
can deduct your mileage at the 2018 rate of 54.5 cents per bonus depreciation."
mile. You can also deduct the cost of lodging and 50% of Heavy trucks, vans, and SUVs (page 740). The last two
meal costs, up to the regular federal per diem rate.” sentences of the first paragraph should read as follows:
Filing Schedule H for household employment taxes (page “Further, if bought and placed in service and used over
662). In the first paragraph of 38.3, the last sentence 50% for business, bonus depreciation (42.18) of up to
should read as follows: “Total household employment taxes 100% can be used, thereby avoiding the $25,000 limit on
from Schedule H are entered as an “Other tax” on Line 60a first-year expensing. In effect, the cost of a heavy SUV bought
of Schedule 4 of Form 1040.” and placed in service in 2018 can be fully deducted using
bonus depreciation, assuming business use is 100%.”
One-person 401(k) plan (page 708). The last sentence of the
Planning Reminder should refer to the 2019 overall limit. IRS interest rates (pages 774, 779). For the first quarter of
2019, the IRS interest rate on refunds and underpayments
Bonus depreciation (page 734). In the second paragraph increases to 6%. If you are subject to a penalty for
of 42.18, the last two sentences should read as follows: underpaying estimated tax for the first 15 days of April
“Then, you figure bonus depreciation on the depreciable 2019, the 6% rate applicable in March applies for figuring
cost (business portion) of the property minus the the penalty, even if the IRS changes the interest rate for the
first-year expensing allowance. As a practical matter, for April 1–June 30 quarter.

Forms, Tables, Worksheets

On the following pages, you will find IRS Form 1040, and find tables showing 2018 year-end redemption values and
selected Forms, Schedules, Tables, and Worksheets, all of interest earned for Series EE and I bonds. Please go to irs.gov
which are current as of February 11, 2019. You will also to obtain IRS instructions and other tax forms.

16 | Supplement to J.K. Lasser’s Your Income Tax 2019