Tax Savings
Section 179:
The Big Tax Break for Small Business
Thanks to Section 179 of the IRS tax code, upgrading equipment may cost less than you think. Rather than taking a depreciation tax deduction over a number of years, you can deduct the full cost of qualifying equipment the year you buy it.
Thanks to Section 179 of the IRS tax code, upgrading equipment may cost less than you think. Rather than taking a depreciation tax deduction over a number of years, you can deduct the full cost of qualifying equipment the year you buy it.
Quick facts on Section 179 savings
When you file your taxes, you can deduct your equipment costs from your profits. Talk to your tax advisor about the facts and benefits which include…
- Maximum deduction of $1,220,000 for 2024 (A 60K increase from 2023)
- Ability to deduct just about any type of machinery
and equipment used for business - Applies equally to equipment that’s fully or partially financed
You can find the most recently published rules for the Section 179 deduction on page 15 IRS Publication 946
As with any tax rules, you should consult with your CPA or Tax Advisor to determine applicability to your specific equipment purchase and business situation.
