Section 179, A Way To Reduce Your Tax Liability
Section 179 is a federal
income tax provision that allows small businesses to deduct the full
100% value of their capital asset purchases in the year of acquisition. The great thing about a lease purchase is you qualify for the full deduction, even if you haven't paid the full value of the asset yet!
The Section 179 deduction is available for both new and used equipment and can
allow you to write off the full value of acquired asset(s) even if you used
leasing or financing to make the acquisition.
The 2016 limit for your
Section 179 deduction is $500,000, and it's important to have the equipment
delivered and working before the end of the tax year, to qualify for the 2016
exemption. Check with your income tax adviser and ask whether Section 179 is right for you.
For more information contact our team:
Phone: 800-441-8577 x 1 (Sales)