Post #2604870
2026-05-08 17:41 UTC
@atpfm@mastodon.social @siracusa@mastodon.social
tl;dr: The tax code has vacillated back and forth between treating development of new features and "maintenance activities" differently for purposes of expensing. That matters, because its the difference between taking $xyz paid to developers off your profits this year and having to amortize $xyz over 15 years.
Replies (1)
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@j4ck@iosdev.space 2026-05-14 18:06
@andrew@esq.social @atpfm@mastodon.social @siracusa@mastodon.social just started listening to episode #691, regarding this tax change Quartz cites Trump tax cuts from 2017 as the instigator of this change and resultant job losses https://qz.com/tech-layoffs-tax-code-trump-section-174-microsoft-meta-1851783502 “One such provision was the delayed change to Section 174, which transitioned from immediate expensing of R&D to mandatory amortization over five or even 15 years. This change, which took effect in 2022, was designed to make the TCJA appear "deficit neutral" over a 10-year period.” 🫠