2.304 -Election to Deduct and Amortize Business Start-up Costs

Item	Description	FY2011	FY2012	FY2013	FY2014	FY2015
2.304	Election to Deduct and Amortize Business Start-up Costs Taxpayers who pay or incur business start-up costs and who subsequently enter the trade or business can elect to expense up to $5,000 of the costs. The $5,000 deduction amount is reduced dollar for dollar when the start-up expenses exceed $50,000. The balance of start-up expenses (if any) is amortized over a period of not less than 180 months, starting with the month in which the business begins. The election must be made no later than the date (including extensions) for filing the return for the tax year in which the business begins or is acquired. A taxpayer is deemed to have made an election to deduct and amortize start-up expenses for the tax year in which the active trade or business to which the expenses relate begins. A taxpayer who does not make the election must capitalize the expenses. Origin: IRC, S. 195 Estimate: $0.6	0.9	0.7	0.6	0.7	0.6

Key:

ORIGIN
IRC	Federal Internal Revenue Code (26 U.S.C.)
M.G.L.	Massachusetts General Laws
U.S.C	United States Code
ESTIMATES	All estimates are in $ millions.