Online tools will educate small business owners on economic stimulus package
benefits
WASHINGTON, DC —SBA has created an online tax savings
resource center to help small businesses understand how they can benefit
from the 2008 economic stimulus package signed into law by President Bush
earlier this year.
The package includes the following tax incentives for businesses: a 50%
bonus depreciation allowance on equipment purchased and placed in service in
calendar 2008 and an almost 100% increase in the amount (from $128,000 to
$250,000) that a business can expense for equipment purchased and placed in
the business tax year beginning in 2008.
“The stimulus package is designed to spur the economy by putting money back
into the pockets of American workers and encouraging small businesses to
invest and expand,” said SBA Acting Administrator Jovita Carranza. “However,
many small business owners are unaware of how it could boost their bottom
line. In the roundtables I held with dozens of small business owners last
week on tax policy, many were amazed to learn how much their companies could
benefit from the temporary tax incentives in the package.”
SBA’s new tax savings resource center demonstrates the benefits
entrepreneurs can gain from the 2008 economic stimulus package. The center,
located on www.sba.gov/stimulus, contains three resources on the package:
-
Fact Sheet The fact sheet provides a clear
explanation of the small business tax benefits.
-
Deprecation Calculator This useful tool provides an
estimate of the first-year depreciation available under the provisions.
-
Online Seminar This brief tutorial summarizes the tax
benefits and concludes with the depreciation calculator.
These resources should help small businesses take
advantage of the stimulus package. However, because there are exceptions and
additional requirements, small businesses are encouraged to contact their
tax advisor to determine exactly how the provisions and implementing tax
code of the 2008 economic stimulus package apply to their business.
They may also refer to the IRS Web site:
http://www.irs.gov/newsroom/article/0,,id=179227,00.html
for additional information regarding tax changes.
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