UPGRADE YOUR END OF LIFE AND OUTDATED EQUIPMENT + GET A TAX BREAK!
Year end is quickly approaching and deciding on those year-end purchases is probably already on your mind. As you may know, Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment and/or software purchased or financed during the tax year. That means that if you buy or lease (only certain leases qualify) a piece of qualifying equipment, you can deduct the FULL PURCHASE PRICE from your gross income.
The Section 179 deduction limit for 2021 was also raised to from the 2020 deduction but note that to be eligible for a 2021 Section 179 deduction, the eligible equipment must be purchased and put into service by midnight 12/31/2021. It is not enough to simply buy the equipment. Please keep in mind the delivery times due to supply chain/cost issues when buying as there are currently no plans to waive the “put into service” requirement so don’t wait…
The following items are a few that generally qualify for the Section 179 Deduction.
- Computer “Off-the-Shelf” Software
- Equipment (machines, etc.) purchased for business use
- Office Furniture
- Office Equipment
- Find the complete list here
Please note – the above equipment qualifies whether new or used (but must be new to you), and also regardless of whether it was purchased outright, or financed or leases that meets certain criteria to qualify.
Workstations, servers, laptops, network devices, & software all qualify for the Section 179 Tax Deduction. If you’re interested in upgrading or adding on new computer equipment/software, the time to act is now!