Through Section 179 of the federal tax code, businesses have an opportunity to generate a tax break on technology and equipment purchased, financed or leased in 2021.

The maximum amount a business can expense is $1,050,000 for the purchase or lease of equipment, with a “total equipment purchase” limit of $2.62 million. Businesses can take advantage of 100% bonus depreciation on both new and used equipment.

Communications systems, commercial building enhancements such as Wireless signal boosting, IT network infrastructure, and alarm & security systems qualify for immediate expensing. 

In addition, much of the equipment businesses purchased to conform to COVID-19 restrictions will qualify for the Section 179 tax Deduction. See details at: Section 179 and COVID-19.

Note: Purchased or leased technology equipment and solutions must be put it into use by midnight, December 31. 

Get more details and access a helpful Deduction Calculator here: www.Section179.org. 

Check in with your CPA today and then contact us for help in mapping out your investment and implementation of new technology: 800.787.4848 or jnolte@ctsmd.us.