Invest in Your Business with the Section 179 Tax Deduction
When a new employee joins your business, chances are they are provided a laptop that has been handed down many times before. It’s not unusual for companies to attempt to extend their computer system capabilities throughout a decade, and as the dust settles in, it’s not a surprise when computers “suddenly” quit working.
We see technology as a way to make life easier, but when your tech starts to stop working, it slowly produces brand-new difficulties and ultimately costs you more cash in downtime and lost productivity than it would cost to buy brand-new devices.
Here’s the bright side: The federal government understands this desire to save money by upgrading your equipment less frequently–and they’re combating it with Section 179.
What’s the Section 179 Tax Deduction? Well, instead of waiting on your devices to fall apart on you, Section 179 lets you deduct the full rate of any permitted equipment or software purchased or rented throughout the year. This includes:
Bought, financed or rented equipment
Workstations, laptop computers, tablets, mobile phones
Servers, printers, routers, network switches, network security devices
Off-the-shelf software (productivity, administrative, operating systems, etc.)
Now, there’s no need to put off buying or renting equipment when you can write-off the total. Organizations that purchase, finance or lease less than $2M in brand-new or pre-owned businesses equipment qualify. You just need to make sure the equipment and software are put into use by December 31, 2017.
For a lot of scenarios, applying the tax break will be as easy as deducting the total of the purchase as a Section 179 expense; although, sometimes it can be a bit more difficult. To learn more about Section 179 or if you need help getting started, contact us to request your free, no-obligation Section 179 assessment.