SBA Launches Tax Savings Resource Center

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 center, located on www.sba.gov/stimulus, contains three resources on the package: 1. Fact Sheet The fact sheet provides a clear explanation of the small business tax benefits. 2. Deprecation Calculator This useful tool provides an estimate of the first- year depreciation available under the provisions. 3. 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. Also read Gary Bartecki's "Incentives to Spend" where the Contributing Writer to Equipment Today leads a discussion determining if a benefit is provided for you or your company by changes in the tax code.

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