Maximize Your Business Potential with Section 179 Deductions
Instead of cutting back to save, save money by investing in your business.
Section 179 of the Internal Revenue Code encourages small businesses to invest in their growth by providing accelerated depreciation and tax deductions on qualifying business purchases. This is intended to help your business keep pushing forward and not sacrifice in an effort to save.
Jan 2, 2023 Update – The Section 179 deduction for 2023 is $1,160,000 (this is up from $1,080,000 in 2022). This is a full $80,000 increase from last year. This means U.S. companies can deduct the full purchase price of ALL qualified equipment purchases, up to the limit of $1,160,000. In addition, the “total equipment purchase” limit has been raised to $2,890,000 (up from $2.7 million in 2022). The deduction can include both new and used qualified equipment.
In addition, businesses can take advantage of 80% bonus depreciation on both new and used equipment for the entirety of 2023. Remember to keep supply chain issues and delivery times in mind when making your Section 179 purchases for 2023, as equipment must be purchased and put into service by midnight 12/31.
Please see the fully updated 2023 Section 179 Calculator to see how the Section 179 tax deduction can benefit your company in 2023.
Business equipment included under Section 179 (including, but not limited to):
- Computers/servers
- Business phone systems
- Security/Surveillance systems
- Software
- Machinery/vehicles
- Office furniture
For more information, visit www.section179.org and contact your Tax Advisor to see how your business may benefit from this tax deduction this year!