Write Off the Full Purchase of Equipment in 2017!

IRS Section 179 Tax Deduction qualifications

• The deduction limit for Section 179 in 2017 is $500,000
• The 2017 Section 179 Deduction threshold for total amount of equipment that can be purchased is now $2,000,000
• Most new and used equipment, as well as some software, qualify for the Section 179 Deduction
• You can deduct an additional 50% of the amount over $500,000 in addition to your standard depreciation deduction. This applies to equipment acquired and put into service during 2016 and 2017. Then bonus depreciation will phase down to 40% in 2018 and 30% in 2019.
• When applying these provisions, Section 179 is generally taken first, followed by Bonus Depreciation