Pub. 11 2012-2013 Issue 3

N E W J E R S E Y C O A L I T I O N O F A U T O M O T I V E R E T A I L E R S F A L L 2 0 1 2 10 new jersey auto retailer NADA to Automakers: Stop Unfair Business Practices Bill Underriner, Chairman of the National Automobile Dealers Association, outlined two contentious factory issues facing new- car dealers and urged automakers to support a level play- ing field for dealerships of all sizes in remarks made to the Automotive Press Associa- tion in Detroit on October 23rd. This summer, NADA created a special dealer task force to focus on the fairness of stair- step programs, also referred to as two-tier pricing, which is a manufacturer-to-dealer incentive tied to sales goals. Chairman Underriner stated, “The history of our industry is littered with automaker attempts to impose one-size- nada director’s message  continued from page 9 fits-all programs on dealers. These efforts at top-down control almost always fail. We favor lawful, equal and fair treatment by a manufacturer for all its dealers.” IRS Delays Effective Date of Tangible Property Regulations The Internal Revenue Service announced that the tangible prop- erty temporary regulations issued in 2011 will be optional for 2012 and 2013, and that it expects to issue final regulations on the topic in 2013 that will have a January 1, 2014 effective date. These regulations address whether expenditures for tangible prop- erty are considered repairs, which may be currently expensed, or capitalized improvements, which must be depreciated. Consult your accountant for additional details. The Federal Reserve and CFPB Announce January 1 Increase in TILA and Consumer Leasing Act Thresholds The Federal Reserve Board and the Consumer Financial Protec- tion Bureau (CFPB) announced that the dollar thresholds in Regu-