|
Section 179 (of the US Internal Revenue Code), currently allows businesses to write off 100% of the cost of equipment (up to $500,000) as an expense on their income taxes, as opposed to depreciating the equipment over several years. If you decide to finance the equipment, you still qualify for the full deduction! Essentially you are able to write off the entire cost of equipment (up to $500,000) without paying the full amount this year. By acting before the December 31st deadline, your savings in taxes can actually exceed the payments. In addition to the first-year write offs, all new equipment qualifies for a 50% bonus first-year depreciation deduction, which allows taxpayers to write off an additional half of the remaining depreciable amount above $500,000. Don’t put it off! Here’s why: Current Tax Benefits • Allows write off of up to $500,000 on the cost of new and used capital equipment purchased and put to service before December 31, 2013. • 50% bonus first-year depreciation deduction on new capital equipment purchased and put to service before December 31, 2013. Beginning January 1, 2014 • Write off scheduled to be reduced to $25,000 on the cost of new and used capital equipment. • Bonus depreciation scheduled to expire altogether. Every piece of equipment at Utility Fleet qualifies. We have new and remanufactured units on ground and available for immediate delivery before year end! 2013 Tax Savings Example Equipment Purchased:$650,000 First Year Write Off(max):$500,000 50% Bonus 1st Yr Depr. (150k x 50%):$75,000 Normal 1st Yr Depr. (75k x 20%):$15,000 Tax Savings (590k x 36% tax rate):$212,400 Equipment Cost After Savings.(650k less all tax deductions):$437,600 If you are considering buying or leasing bucket trucks, digger derricks, or related equipment, we strongly encourage you to do so before December 31, 2013. The current laws could increase both the cash flow and the growth of your business immensely, by adding cost-effective equipment solutions into service. This tax law allows businesses to maximize their purchasing power and we want everyone to take advantage of these benefits before they expire. Bock Mary is an associated editor of bucket trucks, which provides a huge inventory of digger derricks, and related equipment to the utility construction industry. It provides both new and remanufactured utility truck units across the USA.
Related Articles -
Boom bucket truck, Boom truck, Boom trucks, Bucket truck, Bucket truck dealers, Bucket truck rentals, Bucket trucks for sale, Used bucket trucks,
| 
