Michael McDevitt Director Send Email View Full Bio
	Greg Gandy Director Send Email View Full Bio

On September 27, 2010, President Obama signed the Small Business Jobs Act of 2010.
In part, the Act:

• Doubles the Section 179 expensing limit for fixed assets placed in service to $500,000, phasing out at $2 million for tax years beginning in 2010 and 2011, and allows the expensing up to $250,000 of leasehold, retail and restaurant improvements
• Reinstates 50 percent bonus depreciation for qualifying property acquired and placed in service in 2010, and authorizes an increased first-year depreciation limit by $8,000 for passenger autos that are “qualified property”
• Doubles the allowable tax deduction for start-up expenditures to $10,000
• Removes cell phones from the definition of listed property
• Allows self-employed individuals to deduct health insurance costs in paying their 2010 self-employment tax
• Allows small businesses to carry back general business tax credits to offset their taxes from the previous five years and count those credits against their Alternative Minimum Tax (AMT) liability
• Requires information reporting for rental property expense payments

For a more detailed explanation of these new provisions, please call Gregory L. Gandy, CPA, or Michael E. McDevitt, CPA, at (719) 579-9090. Also, for a detailed review of this and many other tax law changes, e-mail Stephanie Johnson to R.S.V.P. for our November Entrepreneurial Corner on November 18, 2010.