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Support for New Businesses: Increased Tax Deductions and Loss Protection

This act simplifies starting new businesses by increasing the amounts entrepreneurs can deduct for start-up and organizational expenses. It also protects initial losses and tax credits for new businesses during ownership changes, potentially reducing business risks.
Key points
Increases the immediate deduction for start-up and organizational expenditures to $20,000, with inflation adjustments.
Remaining initial costs will be amortized over 180 months, providing a longer deduction period.
Allows deduction of unamortized start-up or organizational expenditures upon liquidation or disposition of a business.
Protects net operating losses and unused tax credits of new businesses after an ownership change, supporting business stability.
article Official text account_balance Process page
Expired
Citizen Poll
No votes cast
Additional Information
Print number: 117_HR_7503
Sponsor: Rep. Buchanan, Vern [R-FL-16]
Process start date: 2022-04-14
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Summarized by: gemini-2.5-flash
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

American Innovation Act of 2022

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 117_HR_7503.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2022-04-14.

What are the main provisions?

Key points include:

  • Increases the immediate deduction for start-up and organizational expenditures to $20,000, with inflation adjustments.
  • Remaining initial costs will be amortized over 180 months, providing a longer deduction period.
  • Allows deduction of unamortized start-up or organizational expenditures upon liquidation or disposition of a business.
  • Protects net operating losses and unused tax credits of new businesses after an ownership change, supporting business stability.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Buchanan, Vern [R-FL-16].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Ways and Means.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2026-01-02.

CATEGORIES

Taxes Economy