Cut Your Taxes Using Section 179

Posted by Sam Stone

A Great Opportunity For Tax Relief While Acquiring New Office Technology

“Section 179 of the IRS tax code allows businesses to deduct the full acquisition price of qualifying office equipment and software purchased during the current tax year.”

That’s correct. By purchasing or leasing new office equipment by December 31, 2020, your business can reduce your tax liability for 2020. Section 179 of the IRS tax code allows for the immediate deduction of the expense to acquire depreciable equipment. Some of the hardware include:

Just to name a few.

This year, for 2020, Section 179 includes special opportunities to deduct qualifying COVID-19 purchases caused by the pandemic. If you purchased special equipment relevant to conforming to COVID-19 regulations, they might qualify. Items like:

Since so many businesses have needed to meet pandemic regulations and guidelines, this year is the year to look for ways to make reopening your office safer. Businesses, places of worship, and schools look to items like the Temperature Check Kiosks to welcome employees and guests to their office while protecting employees from being in close contact with potential risk guests.

What are the Deduction details in 2020?

2020 Deduction Limits = $1,040,000

This deduction is good for NEW and USED equipment, as well as off-the-shelf software. To take the deduction for the tax year 2020, the equipment must be financed or purchased and put into service between January 1, 2020, and the end of the day on December 31, 2020.

2020 Spending Cap on Equipment Purchases = $2,590,000

This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar for dollar basis. This spending cap makes Section 179 a true “small business tax incentive” (because larger businesses that spend $3,630,000 or more on equipment won’t get the deduction.)   

Bonus Depreciation: 100% for 2020

Bonus Depreciation is generally taken after the Section 179 Spending Cap is reached. The Bonus Depreciation is available for both NEW and USED equipment.

How can I look at my numbers?

Are you interested in seeing what the numbers look like? Here is a link to the online calculator to help you visualize the potential tax benefits of Section 179.

Let Stone’s Office Equipment help you navigate through year-end decisions.


Questions? Ready for a Free Quote?

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Links to sites for reference

Section 179.org

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          2 => Timber\MenuItem {#2801
            #wp_object: WP_Post {#2595
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              +post_author: "7"
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              1 => "menu-item-type-post_type"
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            +post_name: "2032"
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            #menu: Timber\Menu {#2625}
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      6 => Timber\MenuItem {#2800
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    ]
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    +ID: 2
    +term_id: 2
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      +"container": "div"
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      +"theme_location": "primary_navigation"
      +"location": "primary_navigation"
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    +"taxonomy": "nav_menu"
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      1 => WP_Post {#2608}
      2 => WP_Post {#2607}
      3 => WP_Post {#2606}
      4 => WP_Post {#2605}
      5 => WP_Post {#2604}
      6 => WP_Post {#2603}
      7 => WP_Post {#2602}
      8 => WP_Post {#2601}
      9 => WP_Post {#2600}
      10 => WP_Post {#2599}
      11 => WP_Post {#2598}
      12 => WP_Post {#2597}
      13 => WP_Post {#2596}
      14 => WP_Post {#2595}
      15 => WP_Post {#2594}
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  "menu_secondary" => Timber\Menu {#2788
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      1 => Timber\MenuItem {#2766
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          3 => "menu-item-type-taxonomy"
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        #wp_object: WP_Post {#2781
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      }
    ]
    +id: 74
    +ID: 74
    +term_id: 74
    +name: "Secondary Menu"
    +title: "Secondary Menu"
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      +"container": "div"
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    -_current_item: null
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    #___content: """
      \n
      <div class="wp-block-image"><figure class="aligncenter size-large"><img width="960" height="640" src="https://www.stonesoffice.com/wp-content/uploads/2020/11/Taxes-960x640.jpg" alt="" class="wp-image-3690" srcset="https://www.stonesoffice.com/wp-content/uploads/2020/11/Taxes-960x640.jpg 960w, https://www.stonesoffice.com/wp-content/uploads/2020/11/Taxes-640x427.jpg 640w, https://www.stonesoffice.com/wp-content/uploads/2020/11/Taxes-768x512.jpg 768w, https://www.stonesoffice.com/wp-content/uploads/2020/11/Taxes-1536x1024.jpg 1536w, https://www.stonesoffice.com/wp-content/uploads/2020/11/Taxes-2048x1365.jpg 2048w" sizes="(max-width: 960px) 100vw, 960px" /></figure></div>\n
      \n
      \n
      \n
      <h3>A Great Opportunity For Tax Relief While Acquiring New Office Technology</h3>\n
      \n
      \n
      \n
      <figure class="wp-block-pullquote is-style-default" style="border-color:#000"><blockquote class="has-text-color has-blue-color"><p><strong>&#8220;Section 179 of the IRS tax code allows businesses to deduct the full acquisition price of qualifying office equipment and software purchased during the current tax year.&#8221;</strong></p></blockquote></figure>\n
      \n
      \n
      \n
      <p>That&#8217;s correct. By purchasing or leasing new office equipment by December 31, 2020, your business can reduce your tax liability for 2020. Section 179 of the IRS tax code allows for the immediate deduction of the expense to acquire depreciable equipment. Some of the hardware include:</p>\n
      \n
      \n
      \n
      <ul><li><strong><a href="https://www.stonesoffice.com/brands/sharp/">Copiers/Printers/MFP&#8217;s</a></strong></li><li><strong>Desktop/Laptop Computers</strong></li><li><strong><a href="https://www.stonesoffice.com/products/digital-signage/">Digital Displays/White Board Displays</a></strong></li><li><strong>Paper Shredders</strong></li><li><strong><a href="https://www.stonesoffice.com/brands/sharp/">Production Print Systems</a></strong></li></ul>\n
      \n
      \n
      \n
      <p>Just to name a few.</p>\n
      \n
      \n
      \n
      <p>This year, for 2020, Section 179 includes special opportunities to deduct qualifying COVID-19 purchases caused by the pandemic. If you purchased special equipment relevant to conforming to COVID-19 regulations, they might qualify. Items like:</p>\n
      \n
      \n
      \n
      <ul><li><strong><a href="https://www.youtube.com/watch?v=rb_UNb1LR_U&amp;feature=youtu.be">Temperature Check Stations or</a> <a href="https://www.youtube.com/watch?v=rb_UNb1LR_U&amp;feature=youtu.be">Kiosks</a></strong></li><li><strong>Plexiglass shields/dividers</strong></li><li><strong>Sanitizing Stations</strong></li><li><strong>Printed Signage</strong></li></ul>\n
      \n
      \n
      \n
      <p>Since so many businesses have needed to meet pandemic regulations and guidelines, this year is the year to look for ways to make reopening your office safer. Businesses, places of worship, and schools look to items like the <a href="https://www.youtube.com/watch?v=rb_UNb1LR_U&amp;feature=youtu.be">Temperature Check Kiosks</a> to welcome employees and guests to their office while protecting employees from being in close contact with potential risk guests.</p>\n
      \n
      \n
      \n
      <h3>What are the Deduction details in 2020?</h3>\n
      \n
      \n
      \n
      <p class="has-medium-font-size"><strong>2020 Deduction Limits = $1,040,000</strong></p>\n
      \n
      \n
      \n
      <p>This deduction is good for NEW <em>and </em>USED equipment, as well as off-the-shelf software. To take the deduction for the tax year 2020, the equipment must be financed or purchased and put into service between January 1, 2020, and the end of the day on December 31, 2020.</p>\n
      \n
      \n
      \n
      <p class="has-medium-font-size"><strong>2020 Spending Cap on Equipment Purchases = $2,590,000</strong></p>\n
      \n
      \n
      \n
      <p>This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar for dollar basis. This spending cap makes Section 179 a true “<strong><em>small business tax incentive</em></strong>” (because larger businesses that spend $3,630,000 or more on equipment won’t get the deduction.)&nbsp; &nbsp;</p>\n
      \n
      \n
      \n
      <p class="has-medium-font-size"><strong>Bonus Depreciation: 100% for 2020</strong></p>\n
      \n
      \n
      \n
      <p>Bonus Depreciation is generally taken after the Section 179 Spending Cap is reached. The Bonus Depreciation is available for both NEW <em>and</em> USED equipment.</p>\n
      \n
      \n
      \n
      <h3>How can I look at my numbers?</h3>\n
      \n
      \n
      \n
      <p>Are you interested in seeing what the numbers look like? Here is a link to the <a href="https://www.section179.org/section_179_calculator/">online calculator</a> to help you visualize the potential tax benefits of Section 179. </p>\n
      \n
      \n
      \n
      <h3>Let Stone&#8217;s Office Equipment help you navigate through year-end decisions.</h3>\n
      \n
      \n
      \n
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      <h2>Questions? Ready for a Free Quote?</h2>\n
      \n
      \n
      \n
      <p>Our staff is standing by and ready to help!</p>\n
      \n
      \n
      \n
      <ul><li>Call: (804) 288-9000</li><li>Email: info@stonesoffice.com</li></ul>\n
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      \n
      \n
      \n
      <h4>Links to sites for reference</h4>\n
      \n
      \n
      \n
      <p><a href="https://www.section179.org/section_179_calculator/">Section 179.org</a></p>\n
      \n
      \n
      \n
      <p></p>\n
      """
    #_permalink: null
    #_next: []
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    +id: 3689
    +ID: 3689
    +post_author: "4"
    +post_content: """
      <!-- wp:image {"align":"center","id":3690,"sizeSlug":"large"} -->\n
      <div class="wp-block-image"><figure class="aligncenter size-large"><img src="https://www.stonesoffice.com/wp-content/uploads/2020/11/Taxes-960x640.jpg" alt="" class="wp-image-3690"/></figure></div>\n
      <!-- /wp:image -->\n
      \n
      <!-- wp:heading {"level":3} -->\n
      <h3>A Great Opportunity For Tax Relief While Acquiring New Office Technology</h3>\n
      <!-- /wp:heading -->\n
      \n
      <!-- wp:pullquote {"customMainColor":"#000","textColor":"blue","className":"is-style-default"} -->\n
      <figure class="wp-block-pullquote is-style-default" style="border-color:#000"><blockquote class="has-text-color has-blue-color"><p><strong>"Section 179 of the IRS tax code allows businesses to deduct the full acquisition price of qualifying office equipment and software purchased during the current tax year."</strong></p></blockquote></figure>\n
      <!-- /wp:pullquote -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>That's correct. By purchasing or leasing new office equipment by December 31, 2020, your business can reduce your tax liability for 2020. Section 179 of the IRS tax code allows for the immediate deduction of the expense to acquire depreciable equipment. Some of the hardware include:</p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:list -->\n
      <ul><li><strong><a href="https://www.stonesoffice.com/brands/sharp/">Copiers/Printers/MFP's</a></strong></li><li><strong>Desktop/Laptop Computers</strong></li><li><strong><a href="https://www.stonesoffice.com/products/digital-signage/">Digital Displays/White Board Displays</a></strong></li><li><strong>Paper Shredders</strong></li><li><strong><a href="https://www.stonesoffice.com/brands/sharp/">Production Print Systems</a></strong></li></ul>\n
      <!-- /wp:list -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>Just to name a few.</p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>This year, for 2020, Section 179 includes special opportunities to deduct qualifying COVID-19 purchases caused by the pandemic. If you purchased special equipment relevant to conforming to COVID-19 regulations, they might qualify. Items like:</p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:list -->\n
      <ul><li><strong><a href="https://www.youtube.com/watch?v=rb_UNb1LR_U&amp;feature=youtu.be">Temperature Check Stations or</a> <a href="https://www.youtube.com/watch?v=rb_UNb1LR_U&amp;feature=youtu.be">Kiosks</a></strong></li><li><strong>Plexiglass shields/dividers</strong></li><li><strong>Sanitizing Stations</strong></li><li><strong>Printed Signage</strong></li></ul>\n
      <!-- /wp:list -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>Since so many businesses have needed to meet pandemic regulations and guidelines, this year is the year to look for ways to make reopening your office safer. Businesses, places of worship, and schools look to items like the <a href="https://www.youtube.com/watch?v=rb_UNb1LR_U&amp;feature=youtu.be">Temperature Check Kiosks</a> to welcome employees and guests to their office while protecting employees from being in close contact with potential risk guests.</p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:heading {"level":3} -->\n
      <h3>What are the Deduction details in 2020?</h3>\n
      <!-- /wp:heading -->\n
      \n
      <!-- wp:paragraph {"fontSize":"medium"} -->\n
      <p class="has-medium-font-size"><strong>2020 Deduction Limits = $1,040,000</strong></p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>This deduction is good for NEW <em>and </em>USED equipment, as well as off-the-shelf software. To take the deduction for the tax year 2020, the equipment must be financed or purchased and put into service between January 1, 2020, and the end of the day on December 31, 2020.</p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:paragraph {"fontSize":"medium"} -->\n
      <p class="has-medium-font-size"><strong>2020 Spending Cap on Equipment Purchases = $2,590,000</strong></p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar for dollar basis. This spending cap makes Section 179 a true “<strong><em>small business tax incentive</em></strong>” (because larger businesses that spend $3,630,000 or more on equipment won’t get the deduction.)&nbsp; &nbsp;</p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:paragraph {"fontSize":"medium"} -->\n
      <p class="has-medium-font-size"><strong>Bonus Depreciation: 100% for 2020</strong></p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>Bonus Depreciation is generally taken after the Section 179 Spending Cap is reached. The Bonus Depreciation is available for both NEW <em>and</em> USED equipment.</p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:heading {"level":3} -->\n
      <h3>How can I look at my numbers?</h3>\n
      <!-- /wp:heading -->\n
      \n
      <!-- wp:paragraph -->\n
      <p>Are you interested in seeing what the numbers look like? Here is a link to the <a href="https://www.section179.org/section_179_calculator/">online calculator</a> to help you visualize the potential tax benefits of Section 179. </p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:heading {"level":3} -->\n
      <h3>Let Stone's Office Equipment help you navigate through year-end decisions.</h3>\n
      <!-- /wp:heading -->\n
      \n
      <!-- wp:block {"ref":2411} /-->\n
      \n
      <!-- wp:heading {"level":4} -->\n
      <h4>Links to sites for reference</h4>\n
      <!-- /wp:heading -->\n
      \n
      <!-- wp:paragraph -->\n
      <p><a href="https://www.section179.org/section_179_calculator/">Section 179.org</a></p>\n
      <!-- /wp:paragraph -->\n
      \n
      <!-- wp:paragraph -->\n
      <p></p>\n
      <!-- /wp:paragraph -->
      """
    +post_date: "2020-11-30 15:37:07"
    +post_excerpt: ""
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    +post_status: "publish"
    +post_title: "Cut Your Taxes Using Section 179"
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