The Elusive Section 179 Tax Break is Up for Changes. Again.
As the end of the year approaches we frequently get asked about the status of the Section 179 tax break, and as we experienced last year, we are stuck playing the game of guessing what will happen.
Congress once again holds the fate of this tax break each day until they adjourn on December 18th. Though the House voted earlier this year to make this tax break permanent and at $500,000, no one really knows if this will become law. If you recall, Congress raised the $25,000 expensing limit to $500,000 for the 2014 tax year with only 12 days left in the year. That’s not much time to make a large purchase and place the purchase in service before your tax year runs out.
It would be nice for Congress to end this yearly guessing game, but no one should hold their breath for that to happen. It has caused a lot of business owners to delay their purchasing decisions and impede forward motion. Many are tired of this moving target and have matured to a higher focus on the value an equipment purchase to their business.
Our job as a finance company is to make sure everyone knows their $1 buyout lease or an Equipment Finance Agreement is eligible for the Section 179 deduction, and since we are not tax experts, we always tell our customers to consult their tax person on the details. But our higher calling is to provide a meaningful service to our customers that helps them propel their enterprises forward with the fewest distractions possible. Reassure your customers what their equipment purchase will mean for their business and forego the distractions of the Section 179 guessing game!
Learn more about the GreatAmerica Speciality Markets Group or Contact Us to see how we can help you boost your sales with an effective finance program.
< Back to Blog List