We have heard that Small Business get a tax break as part of the stimulus bill but what are they? Here we list the changes.

Qualified property expense ceiling raised

The Section 179 tax break that allows companies to expense qualified assets in the first year of service has been increased from $133,000 to $250,000 in the first year that qualifying assets are placed in service.

Bonus depreciation extended

Originally instituted in 2008, businesses will again be able to take an additional bonus depreciation expense of up to 50 percent of the cost of newly acquired fixed assets.

Loss carry back expanded

Only available to companies with sales less than $15 million, a business which incurs operating losses in tax years ending after Dec. 31, 2007, can offset such losses against income earned in previous years and obtain a refund on previously paid taxes. Losses can now be carried back for five years instead of two.

Vehicle depreciation expense increased

The depreciation expense for passenger vehicles in their first year of service — limited only to those placed into service in 2009 — was increased from $2,960 to $10,960. The depreciation expense for light trucks and vans increased from $3,160 to $11,160.