Section 179 Tax Deduction Limit For 2014
If you own a business, one of the most important tax codes you need to be familiar with is Section 179. It lets you deduct the purchase price of many types of equipment that is used for business. Over the years, this tax code has helped entrepreneurs and long-established business owners throughout the country write off a big portion of their equipment and technology purchases, thereby enabling them to save their cash.
According to the IRS, the Section 179 tax deduction limit as of January 1st 2014 is $25,000. This is a sharp drop from last year’s limit, but it still presents you with an opportunity to deduct a certain amount of your equipment, technology and software purchases when it comes time to do your business taxes. Here at Black Creek Leasing, we consult with business accountants throughout the year to get the very latest information pertaining to Section 179, and we make regular updates to our website to keep our customers and equipment vendors fully informed.
25,000 Reasons to look at Section 179
Last year, there was a certain amount of uncertainty regarding the Section 179 limit; it was discussed by Congress on several occasions and the IRS took a while to issue a final deduction limit. As it stands right now, the total 2014 deduction limit is $25,000. This means you can buy or lease up to $25,000 worth of equipment and deduct its cost in 2014, providing you place it into service this year. You may also elect to use Section 179 with more than one piece of equipment, as long as the total deduction amount does not exceed $25,000.
So, if you are in the market for new or used business equipment, talk to your tax advisor right away. They will let you know if the equipment you want to buy meets the Section 179 eligibility requirements that are set forth by the IRS.
Black Creek Leasing can help create a lease program that works for your business! Please contact us at 1-844-438-2522 or send us an email.