JC / Railbird

Taxes

Tax Break

Get a FREE racehorse in 2011, courtesy of the IRS. From an analysis of the recently passed federal tax bill in today’s TDN:

Bonus Depreciation was increased to 100 percent for eligible horses or farm equipment placed in service after September 8, 2010 and before January 1, 2012. In other words, the entire cost of eligible horses or farm equipment purchased and place [sic] in service during that period can be written off. For example, two yearlings purchased and placed in service in 2011 at a total cost of $1 million can be entirely written off that year.

Just in time for Keeneland January shopping. (And a reminder that there are more ways to support ownership than increasing takeout for purses.)

I haven’t done more than skim the sale catalog online, but @irish_1 pointed out on Twitter this morning that Antoniette, dam of G1 La Brea winner Switch, is up for auction next month as hip #267 in foal to Roman Ruler.

Posted in Industry on December 29, 2010 / Tagged Bonus Depreciation, Federal Tax Law, Keeneland, Racehorse Ownership, Sales, Taxes