Corporate Tax Rates
Corporate tax rates and Section 179 expense limits are noted here for your use.
- Flat 21% corporate tax rate. Includes personal service corporations.
- No alternatives minimum tax (AMT)
Pass Through Entities (S corps, partnerships and sole proprietors)
- Tax as ordinary income.
- 20% qualified business income deduction available. Income threshold is $182,100 in 2023 for single, separate and head of household filers ($170,050 in 2022) and $364,200 for joint filers in 2023 ($340,100 in 2022)*
*Select companies above these limits may have the income deduction reduced based on wages, property and type of business.
Section 179 Business Expensing Limits
- Business equipment Sec. 179 expense deduction $1,160,000 ($1,080,000 in 2022)
- Total purchase limit for full Sec. 179 expense deduction $2,890,000 ($2,700,000 in 2022)
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