You are no longer required to attach a statement to your tax return to elect to amortize start-up or organizational costs paid or incurred after September 8, 2008. See Starting a Business, later.

Amortization is a method of recovering (deducting) certain capital costs over a fixed period of time. It is similar to the straight line method of depreciation.

The various amortizable costs covered in this chapter are included in the list below. However, this chapter does not discuss amortization of bond premium. For information on that topic, see chapter 3 of Publication 550.

See chapter 12 for information about getting publications and forms.

To deduct amortization that begins during the current tax year, complete Part VI of Form 4562 and attach it to your income tax return.

To report amortization from previous years, in addition to amortization that begins in the current year, list on Form 4562 each item separately. For example, in 2007 you began to amortize a lease. In 2008, you began to amortize a second lease. Report amortization from the new lease on line 42 of your 2008 Form 4562. Report amortization from the 2007 lease on line 43 of your 2008 Form 4562.

If you do not have any new amortizable expenses for the current year, you are not required to complete Form 4562 (unless you are claiming depreciation). Report the current year's deduction for amortization that began in a prior year directly on the "Other deduction" or "Other expense line" of your return.