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NEWS ALERT: SECTION 179 RESTORED TO ORIGINAL LIMITS FOR 2014

Jan 1, 2014   For the upcoming 2014 tax year, Section 179 has been restored to its original limits of $25,000 plus an adjustment for inflation.

Bookmark this page and check back for official details and easy-to-understand, up-to-date explanations regarding any changes to Section 179 for 2014.

Until April 15, 2014, all pages of this site, including the Section 179 Calculator, will remain with 2013 tax year preparation information. Afterwards, the site will be updated with the new Section 179 Deduction information for tax year 2014.

Here are the Section 179 Deduction Limits for 2013 and 2012 (retroactive)

Section 179 has been enhanced for *both* 2012 and 2013 tax years (2012 is retroactive, obviously). This is due to the passage of H.R.8: American Taxpayer Relief Act of 2012 (The "fiscal cliff / fiscal crisis" bill).

2013 Deduction Limit = $500,000

2013 Limit on Capital Purchases = $2,000,000

2013 Bonus Depreciation = 50%

Please note the above limits are as of 1/1/2013, and are for tax year 2013. In addition, 2012's old limit ($125,000 deduction) has now been raised to $500,000 as well. This means qualifying purchases you made in 2012 can now take advantage of the new, higher deduction limits.

Please Note:

Section 179 Deduction is available for most new and used capital equipment, and also includes certain software.

Bonus Depreciation can be taken on new equipment only (no used equipment, no software)

When applying these provisions, Section 179 is generally taken first, followed by Bonus Depreciation – unless the business has no taxable profit in the given tax year.

Also, many businesses are finding Section 179 Qualified Financing to be an attractive option in 2013.

Your Section 179 Deduction Questions Answered

Welcome to Section179.Org, your definitive resource for all things Section 179. We've brought together a large amount of information regarding Section 179, and clearly and honestly discuss the various aspects of IRS §179 in plain language. This will allow you to make the best possible financial decisions for your company.

Section 179 can be extremely profitable to you, so it is to your benefit to learn as much as possible. To begin, you may have a lot of questions regarding Section 179 such as:

We’ll answer all of these questions, and make certain that you come away with all of the knowledge you need to make smart business decisions in this 2013 tax year regarding equipment and/or software purchasing and Section 179. Why? Because, truth be told, if you’ve been thinking about buying or leasing new equipment and/or software...

2013 is the Year to Do It !

Due to the extension of Section 179 under the 'HIRE Act of 2010' - the enhanced limits under the 'Jobs Act of 2010' - and the extension of the enhancements into 2013 via the 'American Taxpayer Relief Act of 2012' - you can basically write-off 100% of the equipment and software your business needs to buy or finance up to $139,000 this year!

Free Tools that Make Calculating Section 179 Deductions Simple

Section 179 is really very simple. You buy, finance or lease qualifying equipment and/or software, and then take a full tax deduction on it this year (also, there are a few other things, which we’ll go over, but in a nutshell, that’s the idea). To give you an estimate of how much money you can save, here's a Section 179 Deduction Calculator to make computing Section 179 deductions simple, and we’ve also detailed the changes in Section 179 due to the various Stimulus Acts -- that have extended and further enhanced the Section 179 and Bonus Depreciation limits.

Successful businesses take advantage of legal tax incentives to help lower their operating costs. The Section 179 Deduction is a tax incentive that is easy to use, and gives businesses an incentive to invest in themselves by adding capital equipment. In short, taking advantage of the Section 179 Deduction will help your business keep more capital, while also getting needed equipment, vehicles, and software.

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This website was designed to answer your questions regarding the Section 179 Tax Deduction, and to explain the impact the various Stimulus Acts have had on Section 179. The information on this site will clearly explain the Section 179 Deduction in plain terms; will go over what property qualifies under Section 179 for the deduction; and will explore the myriad of ways the Section 179 deduction can impact your bottom line. In addition, there are IRS tax forms and also tools for you to use, such as the free Section 179 Deduction Calculator currently updated for the 2013 tax year.