Section 179 – Getting a Tax Write off for Entire Purchase Cost
When your business buys certain items of equipment, it typically gets to write them off a little at a time through depreciation. For a $50,000 machine, it may get to write off $10,000 a year for five years. The whole purpose behind the Section 179 stimulus is to motivate American businesses to invest in growth. For most small businesses, the entire cost can be written-off on the 2016 tax return (up to $500,000). Learn more about Section 179.
Example Tax-Savings Calculation:
Cost of typical Presslink Closed-Loop Ink Control System: $65,000
Tax Dollars Saved (assuming 35% tax rate): $22,750
Bottom line Cost after savings: $42,250
