While Halloween has passed, the scariest season for businesses has started to send shivers down their spines– tax season. But, do not let the doom and gloom of tax season get you down, Section 179 may simply be the trick that lifts you up.

What is the Section 179 Tax Deduction?
Instead of slowly depreciating equipment over numerous years, Section 179 permits you to deduct the full cost of any qualifying hardware or applications acquired or leased throughout the year. It’s designed to motivate businesses to stay competitive and move on by buying the technology they require while also benefiting their bottom line.

What qualifies?
Bought, financed or leased equipment
Workstations, laptop computers, tablets, mobile phones
Servers, printers, routers, network switches, network security devices
Off-the-shelf applications (productivity, administrative, operating systems, etc.)

What do I have to do?
Must be acquired, financed or leased and implemented by midnight Dec. 31, 2017.
Must be acquired for business use more than 50% of the time.

What are my limitations?
$ 500,000– Maximum total amount you can write off of equipment purchased in 2017.
$ 200,000– Maximum total amount you can write off of leased equipment in 2017.
$ 2M– Maximum total amount of equipment acquired in 2017 eligible for full deduction.

How can I take advantage of the Section 179 Deduction?
Merely make the purchase and use Form 4562 to claim your tax break.
The full tax break can be claimed till you’ve reached $2M in hardware or application purchases.
Previous the $2M point, the reduction decreases on a dollar-for-dollar basis and disappears as soon as $2.5 M worth of software and hardware is acquired.

Devaluation is frequently one of the most intricate products a business has to deal with. Our goal, along with your tax accounting professional, is to make your taxes as easy as possible. For additional information about Section 179 or if you require assistance starting, contact us to request your free, no-obligation Section 179 assessment.