The 2010 Small Business Jobs Act has some tax changes that could affect you – in a good way.

If you’re a small business owner, you’re probably ready for a little good news right about now. The 2010 Small Business Jobs Act has some tax changes that could affect you – in a good way. Forbes writer Robert W. Wood gave a good run-down of the highlights last week, to include:

• Small Business (Section 179) Expensing. Under the old rules, you could generally expense up to $250,000 of certain property placed in service during the year. But for tax years 2010 and 2011, the limit is increased to $500,000, and can include up to $250,000 of qualified leasehold improvement, restaurant or retail improvement property.
• 100% Exclusion for Small Business Stock Gains. Ordinarily, individuals can exclude 50% of their gain on selling qualified small business stock (QSBS). But now the exclusion is increased to 100% for QSBS acquired after Sept. 27, 2010 and before January 1, 2011 and held for more than five years.
• Reduced S-Corp Holding Period for Appreciated Assets. The new law temporarily shortens the holding period a C-Corp must retain appreciated assets to avoid built-in gains when converting to S-status.

For a more complete explanation, I encourage you to read the entire article online.