Tax Deductions for Office Equipment: The 179 Tax Law
New Equipment Today. Full Write-off This Year.
Finance new or used equipment before December 31st to use Section 179 for a 100% tax deduction.
If you’ve been considering a new copier for your office, a new smartboard for your conference room or a postage meter that won’t jam every four envelopes, the time to buy or lease them is between now and the end of the 2020. Why? I’ll answer with three numbers: 1, 7 and 9.
Tax write-offs enable filers to save on their tax bill, and they are always evolving and changing, in most cases, to provide even more savings. For instance, this year, recent changes to the 179 Tax Deduction will enable small businesses to write off even more for their business office equipment. In fact, reports show that millions of small businesses are already taking advantage of the deduction and reaping noticeable results.
However, if you are a small business and you plan to benefit from the deduction this year, it is important to do so before the close of the 2020 tax year.
Most people think the Section 179 deduction is some mysterious or complicated tax code. It really isn’t, as you will see below.
Essentially, Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment and/or software purchased or financed during the tax year. That means that if you buy (or lease) a piece of qualifying equipment, you can deduct the FULL PURCHASE PRICE from your gross income. It’s an incentive created by the U.S. government to encourage businesses to buy equipment and invest in themselves.
Contact us today to learn how you can acquire products via leasing or purchase and take advantage of the section 179 bonus.
*We are not tax professionals and this should not be constituted as Tax Advice.