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Section 179 is an attractive tax deduction for businesses. An increasingly popular use of the Section 179 deduction is for software. When you buy software or equipment for business uses, you can get tax deductions for buying and using them.
This year, the Section 179 limit has been increased to $2,500,000! With this tax update, many potential buyers are now very excited about the savings increase and ready to acquire new software and equipment to help grow their business.
It depends on how much qualifying equipment and software you purchase and put into use this year. To show you your expected tax savings, you can check this link to a Section 179 Calculator.
Section 179 always expires at midnight, December 31st. So to take advantage of Section 179 this year, you must buy (or lease/finance) your equipment, and put it into use, by December 31st of this year.
To enable you to leverage an affordable payment option, you can also use a Lease Finance option. To find out more, click here.
To elect to take the Section 179 Deduction, simply fill out Part 1 of IRS form 4562, available for download at Section179.org.
If you do not feel comfortable completing the form yourself, your tax preparer can easily take care of form 4562 for you. Your tax preparer may also be able to advise you of additional Section 179 Deduction and Bonus Depreciation savings that may be available to you.
If you’d like to take advantage of Section 179 before the end of the year and purchase your software now, contact your Microsol Resources Account Executive or email us at email@example.com.
For companies in a cash-flow crunch, the biggest advantage to lease-financing is the ability to hold onto their cash. In most cases, a company can get the technology investments it needs with little or no down payment, allowing it to preserve working capital and lines of credit for other uses. Lease-financing of technology purchases offers many potential benefits over conventional loans or paying cash. By lease-financing, companies are able to break down large technology acquisitions into manageable, fixed monthly payments over 12, 24, or 36 months.
Here are some reasons why companies use leasing, and some comparison to loans or paying in cash.
Why lease financing?
Leasing vs. conventional loans
Leasing vs. paying cash
If you have any questions about the best option for you, contact your Microsol Resources Account Executive or email us at firstname.lastname@example.org.
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