Jan 4, 2012   Important tax planning implications updated for the 2012 tax year will be posted to this site soon.

Both the 'Tax Relief Act of 2010' as well as the 'Jobs Act of 2010' that passed in late 2010 affected Section 179 in a positive way for this 2012 tax year. Following are the highlights for the 2012 tax year:

The 2012 Section 179 Deduction limit after adjustment for inflation has increased to $139,000 (maximum allowance would have been only $25,000 prior to the new legislation).

The 2012 Section 179 Deduction threshold for total amount of equipment that can be purchased has increased to $560,000 (threshold would have been only $200,000 prior to the new legislation).

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

The new law allows 50% “Bonus Depreciation” on qualified assets placed in service during 2012. However, this can be taken on new equipment only.

When applying these provisions, Section 179 is generally taken first, followed by Bonus Depreciation – unless the business has no taxable profit in 2012.

Also, many businesses found Section 179 Qualified Financing to be an attractive option last year.

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 financial decisions possible 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 probably have a lot of questions regarding Section 179. Questions like:

We’ll answer all of these questions, and make certain that you come away with all the knowledge you need to make smart business decisions in this 2012 tax year regarding equipment and/or software purchasing and Section 179 -- because, truth be told, if you’ve been thinking about buying or leasing new equipment and/or software... 

2012 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' - you can basically write-off 100% of the equipment and software your business needs to buy or finance up to $139,000 this year!

Section 179 is really very simple – you buy 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.