Section 179 Federal Income Tax Deduction for 2016
Section 179 Federal income tax deduction for 2016, allows a company to deduct the first $500,000 of equipment (Section 179 Property) purchased in 2016 from their taxable income.
2016 Deduction Limit = $500,000
This deduction is good on new and used equipment, as well as off-the-shelf software. This limit is only good for 2016, and the equipment must be financed/purchased and put into service by the end of the day, 12/31/2016.
2016 Spending Cap on equipment purchases = $2,000,000
This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar for dollar basis. This spending cap makes Section 179 a true “small business tax incentive”.
For additional information contact Intech Funding Corp, or go to SEC179.org