S. 1402

Small Business Jump Start Act of 2009

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II

111th CONGRESS

1st Session

S. 1402

IN THE SENATE OF THE UNITED STATES

July 7, 2009

Mr. Merkley (for himself and Mr. Alexander) introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To amend the Internal Revenue Code of 1986 to increase the amount allowed as a deduction for start-up expenditures.

1.

Short title

This Act may be cited as the Small Business Jump Start Act of 2009.

2.

Increase in amount allowed as deduction for start-up expenditures

(a)

In general

Subsection (b) of section 195 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:

(3)

Special rule for taxable years beginning in 2009, 2010, or 2011

In the case of a taxable year beginning in 2009, 2010, or 2011, paragraph (1)(A)(ii) shall be applied—

(A)

by substituting $10,000 for $5,000, and

(B)

by substituting $60,000 for $50,000.

.

(b)

Effective date

The amendments made by this section shall apply to amounts paid or incurred in taxable years beginning after the date of the enactment of this Act.