Take Advantage Of 2023 Section 179 Tax Credits
Now is your opportunity to take a Section 179 tax write-off so let the experts at LRI help you finance a new piece of equipment:
- Add more Capacity to your Business
- Finance with No Money Out of Pocket
- Write the Equipment Off
Businesses purchasing, financing or leasing (Capital or$1.00 types) new and used equipment in 2023 can elect to expense up to $1,160,000 under IRS Section 179. The Section 179 rules are designed for small companies, so the write-off is reduced dollar-for-dollar as total equipment purchases for the year exceed $2,890,000.
The Bonus Depreciation deduction has decreased to 80%. Businesses of all sizes can depreciate 80% of the cost of new and used acquired equipment good thru 2023. This will decrease by 20% each year until it expires at the end of 2026. Unlike Section 179 there is no cap on the amount that can be depreciated under this provision.
Tax Savings Example
To help you see how much money you can save, use the Section 179 Savings Calculator below. This will give you an accurate picture of just how much savings can be generated when utilizing the Section 179 deduction
To take advantage of the tax incentives, your business equipment or software must be put in use by year-end.
Section 179 is simple to use. All you need to do is buy (or finance) the equipment, and use IRS Form 4562.
Example: $50,000 Total Equipment Cost
| Equipment Cost | $50,000 |
| 2023 Section 179 Deduction | $50,000 |
|
Tax Savings *Assuming a tax bracket of 35% |
$17,500 |
|
Equipment Cost After Tax Savings *Equip Cost-Tax Savings |
$32,500 |
*The information presented above is not specific legal, tax, or accounting advice. Consult an accountant or other tax professional to confirm your eligibility for tax incentives andbenefits.
