Why Section 179 is good news for your business.
Our government regularly allows tax deductions to encourage small business growth. One of the oldest and most popular deductions is Section 179, which has fluctuated over the last 5 years but has recently topped $500,000! This means that your business could deduct half a million dollars per year for items like machinery, equipment and other tangible capital investment items.
Who qualifies for Section 179?
The best part about Section 179 is that it’s available to all businesses that purchase or finance less than $2,000,000 in new or used business equipment during the 2016 tax year. Businesses with equipment purchases over $2,000,000 can still take advantage of Section 179, but at a reduced scale.
What purchases qualify for Section 179?
Qualifying items include:
- Office Furniture
- Business Equipment
- Business Vehicles (weighing more than 6,000 lbs)
For a complete list of items, visit http://www.section179.org
All items must be used by your business more than 50% of the time. They must be purchased/financed and put into service by the end of the day on December 31, 2016.
How do you take advantage of Section 179?
This is the easy part!
- Make a purchase this year.
- Receive and implement the item by the end of the day on December 31, 2016.
- Take the depreciation for this calendar year.
It’s really that easy. Have you had your eye on a piece of equipment from Cherry’s Industrial? All of the equipment we offer qualifies, so there’s no better time to buy. Take advantage of Section 179—it is a use it or lose it write off.