The SBA Summarizes 2008 Economic Stimulus Package Benefits for Small Businesses

The Small Business Administration 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 center, is located at www.sba.gov/stimulus.

According to the SBA, 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.

SBA's new tax savings resource center demonstrates the benefits entrepreneurs can gain from the 2008 economic stimulus package. Access the center, at www.sba.gov/stimulus. There are three resources:

1. Fact Sheet The fact sheet provides a clear explanation of the small business tax benefits.
   
2. Depreciation 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.

Since there are exceptions and additional requirements, the SBA encourages small businesses 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.