Want to deduct the purchase price of that piece of equipment or software you purchased this year? Well now you can!
This new IRS tax code means that if your piece of equipment or software financed during the tax year qualifies, you can deduct the complete purchase price off your gross income.
Components of Section 179 Deduction:
- Total deduction limit for assets is $1,000,000 (a $500,000 increase from 2017).
- Equipment/ asset (new or used condition) that was financed, purchased, or leased during the tax year 2018 qualifies for this deduction.
As you can see, this change is very beneficial for small business owners, and should definitely be taken advantage of. To see if your equipment qualifies under this deduction it must fall under the following:
Running a business is expensive, so take advantage of this updated tax deduction and purchase that piece of equipment you have been eyeing! Don’t have the capital upfront to purchase it?
Visit https://www.acgcapital.com/equipmentline/default.aspx , where as a Direct Lender we make equipment financing available for small to mid-sized business.