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How to Take the Deductions. The IRS allows you to deduct $5,000 in business startup costs and $5,000 in organizational costs, but only if your total startup costs are $50,000 or less.If your startup costs for either area exceed $50,000, the amount of your allowable deduction will be reduced by that dollar amount.ow to Take the Deductions. The IRS allows you to deduct $5,000 in business startup costs and $5,000 in organizational costs, but only if your total startup costs are $50,000 or less.
This limit is $6,500 for folks age 50 or older. The IRA can be set up and the contribution made by the filing date of your tax return. Most folks looking for tax deductions focus on things like mortgage interest, real estate taxes and charitable donations. These are known as itemized deductions that are claimed on Schedule A. But tax rule changes that applied in 2013 made them less valuable in cutting taxes for an increasing number of taxpayers.