Thinking about starting a new business? Changes in the tax law allow you to write off more of the start up expenses.
Boosted deduction for start-up expenditures. The Small Business Jobs Act allows taxpayers to deduct up to $10,000 in trade or business start-up expenditures for 2010. The amount that a business can deduct is reduced by the amount by which startup expenditures exceed $60,000. Previously, the limit of these deductions was capped at $5,000, subject to a $50,000 phase-out threshold. ( This information provided by: © 2010 Thomson Reuters/RIA. All rights reserved.)
If you have questions about how this new change in the tax law applies to your business, contact Larry Marietta, CPA.