IRS clarifies rule for software cost deductiblity.(Small Business)(enterprise resource planning software)

Crain's Cleveland Business, November, 2002 by Grassi, Carl

Byline: Carl Grassi In today's competitive, fast-paced marketplace, many businesses turn to enterprise resource planning software to improve their operations. Enterprise resource planning software, commonly called ERP software, is a shell computer program that integrates different software modules for different elements of a business, such as financial accounting, inventory control, production and human resources.

Although vendors offer an almost endless variety of such software, purchasing it is merely the first step in implementing the package. The prepackaged software itself is not usable until the implementation process is completed. Consultants generally are hired to implement the software by tailoring the programs and routines within the shell...