The Reference Section

A collection of wealth improvement articles

Corporate Tax Rates

Corporate tax rates and Section 179 expense limits are noted here for your use.

C Corporations
  • Flat 21% corporate tax rate. Includes personal service corporations.
  • No alternative minimum tax (AMT).
Pass-Through Entities (S corps, partnerships and sole proprietors)
  • Taxed as ordinary income.
  • 20% qualified business income deduction available. Income threshold is $164,900 ($163,300 in 2020) and $326,600 joint $329,800 ($326,600 in 2020)*
*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 $1,050,000 ($1,040,000 in 2020)

  • Total purchase limit for full Sec. 179 expense deduction $2,620,000 ($2,590,000 in 2020)