The basics about Section 179 and your business.
Leasing and Equipment Financing:
Non-tax capital leases and equipment finance agreements qualify for Section 179 depreciation.
With a lease or equipment finance contract, businesses can acquire and write-off up to $500,000 worth of qualifying equipment during the 2017 tax year.
Equipment purchased must be put to use by December 31, 2017.
Businesses may purchase new or used equipment, and or retail software, to qualify under Section 179.
Cost of Equipment
Businesses are entitled to deduct up to $500,000 of the cost of qualifying equipment acquisitions.
The maximum cap on equipment purchases is $2,000,000 during the 2017 tax season. Once this amount is reached, businesses can take bonus depreciation — for new equipment only.
Advance Acceptance equipment financing and leasing services can help your business acquire the equipment needed this year, to maintain an operational edge in 2018. Always check with your tax adviser for specific details related to your business.