Save 10-20% if by 12-30-2016
Save 10%-20% if you sign a contract by December!
Want to save 20% to 40% on your next machine purchase?
Section 179 Deduction
Purchasing new equipment and saving a great deal of money is simple! Because the government has actually increased the 179 tax deduction—tax savings are practically possibly for everyone! This increase actually is encouraging the purchase of new equipment. Businesses can write off upwards of $500,000 within the very first year alone. And put this alongside the standard bonus and normal depreciation that happens and you’ll find you really can shovel in quite a savings to apply for your next major purchase. Due to the fact that every tax situation can vary, we encourage a consultation with a professional tax adviser.
|Machine Cost (Example)||650.000.00|
|Section 179 Deduction for 2016:||$500.000.00|
|* Bonus 50% Depreciation for 2016:||$75.000.00|
|20% Standard Depreciation:||$15.000.00|
|Total First Year Deduction:||$590.000.00|
|Cash Savings on your Equipment Purchase
(Assuming a 35% tax bracket)
|Lowered Cost of Equipment||$443.500.00|
Note: This table assumes standard depreciation over five years. The above table is for illustration purposes only. Everyone’s tax situation is different, please consult your tax advisor.
Section 179 American Recovery and Reinvestment Act
Section 179 will be at the $500,000 level. Businesses exceeding a total of $2 million of purchases in qualifying equipment will have the Section 179 deduction phase-out dollar-for-dollar and completely eliminated above $2.5 million. Additionally, the Section 179 cap will be indexed to inflation in $10,000 increments in future years.
Also, 50% Bonus Depreciation will be extended through 2019 but is only available on New equipment purchases. Businesses of all sizes will be able to depreciate 50 percent of the cost of equipment acquired and put in service during 2015, 2016 and 2017. Then bonus depreciation will phase down to 40 percent in 2018 and 30 percent in 2019.