Did You Get All the Tax Breaks You Deserve?

    With all of the stop and go in Naperville, taxes and tax breaks can be overlooked at ease.  Last year was a very difficult year economically however; it has been an amazing year in tax breaks.  Were you aware that there is a new tax break that the administration announced for business losses?

As you know, a large number of businesses were operating in the negative during 2009.  Economists say that with business losses, you carry them back a couple of years and apply them to income to gain a tax refund.  The tax breaks of 2009 allow you to carry the loss back between 3 and 6 years!
 
This unique and amazing opportunity is part of the Homeownership and Business Assistance Act.  It was signed into law on November 1, 2009 by President Obama.  Some of you are thinking, “why wasn’t this issues a year or so ago?”  No worries, you are not crazy.  Close to the same tax break was issued as a part of the Stimulus from last February.  The Stimulus had a cap to it and the new break is available to all businesses.  Is the tax break still not enough to cover your losses?  Well, you can carry forward the loss up to 20 years which allows you to apply this to future gains.

Now is the era of tight credit, high unemployment numbers and a great need for funding in whatever fashion you can find it.  A silver lining has appeared in the form of applying those 2009 losses against past gains for an exuberant tax refund.  Now- if we could only get Naperville taxes to decrease!