Spring 2013 issue of Horizons

LIFE SCIENCES

∙ The top rate for long-term capital gains and qualified dividends will be 23.8% when the 3.8% surtax is included

Energy-Related Tax Breaks Extended through 2013 were the following credits:

Businesses: Depreciation Provisions The Act extends:

∙ Cellulosic biofuel credit

∙ Credit for biodiesel and renewable diesel

∙ 50% bonus depreciation applicable for new property placed in service after December 31, 2012 and before January 1, 2014 ∙ Increased Code Section 179 expensing limitations ($500,000 with a $2,000,000 investment limit) has been extended through 2014 Extended through 2013 were the following credits and incentives: ∙ Research tax credit

∙ Credits with respect to facilities producing energy from certain renewable resources

No Change For New Tax On Medical Devices As expected, the 2.3% tax in the 2010 health care law will go into effect beginning in 2013. This tax applies mainly to medical devices used and implanted by medical professionals. The tax is expected to raise $29B in government revenues through 2022.

∙ Various empowerment zone tax incentives

∙ Work opportunity tax credit

RubinBrown Tax Services Group RubinBrown provides specialized accounting, tax, and business advisory services to animal health, human health, renewable energy, and plant sciences companies around the country.

Steve Hays, CPA – Saint Louis Partner-In-Charge Life Sciences Services Group 314.290.3336 steve.hays@rubinbrown.com

Rodney Rice, CPA – Denver Partner Life Sciences Services Group 303.952.1233 rodney.rice@rubinbrown.com

Felicia Malter, CPA – Saint Louis Partner Life Sciences Services Group 314.290.3249 felicia.malter@rubinbrown.com

Leigh Ellebrecht – Saint Louis Financial Analyst Life Sciences Services Group 314.290.3444 leigh.ellebrecht@rubinbrown.com

Todd Pleimann, CPA – Kansas City Managing Partner, Kansas City Office 913.499.4411 todd.pleimann@rubinbrown.com

page 26 | horizons Spring 2013