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Full-Text Articles in Life Sciences
Reforestation Timing Influences After-Tax Present Value Of Costs, Steven H. Bullard
Reforestation Timing Influences After-Tax Present Value Of Costs, Steven H. Bullard
Faculty Publications
Public Law 96-451 provides federal income tax incentives for reforestation. Taxpayers are allowed an investment tax credit in the year reforestation costs are incurred and deductions of one-fourteenth of reforestation costs on their first tax return, one-seventh on each of their next six tax returns, and one-fourteenth on their eighth tax return. The amount amortized is 95 percent of costs if a 10-percent tax credit is claimed or 100 percent of costs if an 8- percent credit is chosen. The credit and deductions can be applied for up to $10,000 of reforestation costs each year.
What Is Your “Effective” Rate Of Reforestation Cost?, Steven H. Bullard, Thomas J. Straka
What Is Your “Effective” Rate Of Reforestation Cost?, Steven H. Bullard, Thomas J. Straka
Faculty Publications
If you are considering a reforestation investment, you should be concerned with its effective cost; ,that is, the cost of reforestation after considering interest arid timing of the tax savings and cost-share payments. Effective regeneration costs depend on your interest rate, marginal tax rate, and whether or not you receive assistance from a state or federal cost-share program.