Invest in yourself
Put your money to work with Section 179 Tax Incentives.
Under current law, Section 179 limits have increased significantly, and 100% bonus depreciation is now permanent. Business owners who acquire equipment for their business: machinery, computers, and other tangible goods can deduct a much larger share of the cost in the year they put it to work, rather than spreading it out over several years.
Section 179 Deduction
The Section 179 deduction limit is now $2.56 million, with the phase-out threshold beginning at $4.009 million in total qualifying purchases and the deduction fully phasing out at $6.65 million. That means many businesses can deduct the entire cost of qualifying equipment in the year it’s placed in service. But remember, you may never deduct more than the total cost of the equipment. Section 179 changes the timing of the deduction, not the total amount you can write off.
Bonus Depreciation
100% bonus depreciation is now permanent for qualified equipment, new or used, placed in service after January 19, 2026. Unlike the prior law’s step-down schedule, this deduction is no longer set to phase out. Combined with Section 179, this can lead to significant tax savings for small and medium-sized businesses. Talk to your tax advisor to find out how these incentives can benefit your business. To see what your savings could be, use our savings calculator.
This information is provided for general educational purposes only and should not be considered tax advice. Some equipment categories have limitations, and every business situation is different — manufacturers should always coordinate with their CPA.
Financing Your Future
As you shop for the latest technology and equipment, learn more about your financing options. Industrial Equipment Capital can structure a program that will meet your needs. Contact IEC Today.
