Time is running out to leverage your Section 179 deduction for 2024.

The Section 179 deduction is a great tool to maximize your company’s financial flexibility. A part of the IRS tax code, it allows businesses to deduct the full purchase price of qualifying equipment bought or financed during the tax year.

This tax incentive is designed to encourage businesses to invest in the technology and equipment they need to grow, while also reducing their tax liability.

The Section 179 deduction for 2024 is $1,220,000. The deduction includes both new and used qualified equipment. In addition, businesses can take advantage of 60% bonus depreciation on both new and used equipment for 2024.

The Section 179 deduction applies to both leased and purchased equipment and software. When you buy, you can deduct the total amount from your taxes. When you lease, you pay the monthly lease payments, but you still get to deduct the total purchase price from your taxes.

Whether you choose to purchase or lease, you’ll need to put the equipment/software into service by the end of the day on December 31, 2024. Remember to keep supply chain issues and delivery times in mind when making your Section 179 purchases for 2024.

Follow this link for more information about Section 179, including a Savings Calculator.

Then reach out to TCI to discuss technology solutions that can help your business get ahead. Contact us today at (703) 321-3030 or info@tcicomm.com.