Don’t Miss the Dec.31st Deadline
The increasingly popular use of the year-end IRS Section 179 Deduction is for the purchase of business software and computer equipment. The current deadline for these 2018 deductions is December 31st 2018.
Section 179 was designed with businesses in mind. That’s why almost all types of “business equipment” and “packaged software” including the Fireline Systems DoorPack Service Software for QuickBooks qualifies for the Section 179 deduction.
All businesses need business equipment on an ongoing basis, be it machinery, computers, packaged software, office furniture, vehicles, or other tangible goods. It’s very likely that your business may have purchased many of these goods or plans to before year end. Section 179 is designed to make purchasing that equipment and software prior to year end financially attractive for tax deduction purposes.
Essentially, Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment and/or packaged software purchased or financed and put into use by December 31st.
That means that if you buy (or lease) a piece of qualifying equipment or software, you can deduct the FULL PURCHASE PRICE from your gross income. It’s an incentive created by the U.S. government to encourage businesses to buy equipment and invest in themselves. (Section 179 is not an automatic deduction – you must take action and elect to take it. We recommend that you contact your tax accountant today to take full tax advantage of this powerful deduction before year end.)
For any business owner, this type of deduction will help to reduce your business tax liability by taking full advantage of this available tax deduction up to $500,000 .
If you plan to purchase qualifying software and other equipment this year, don’t miss the deadline for this worthwhile Section 179 deduction by December 31st 2018. We suggest making your business purchases as soon as possible so you don’t forget. Financing options are also available by calling Paul at (661) 254-8511.
*** The above deduction requires that your equipment be placed in service prior to December 31st to deduct the qualified amount this year. If you don’t claim it, you cannot change your mind later by filing an amended tax return after the due date.
Notice: The above information is provided for general informational purposes, and is not intended to provide legal or tax advice. For additional information and details on the Section 179 current year expense deduction, please contact your tax accountant specialist.