January 9, 2017
US SMBs will get bigger tax breaks in 2017.
Albuquerque Journal reported that SMBs are to get a “bigger deduction for equipment purchases”, with the article noting that the “Section 179 deduction will be $510,000 (€483,531)”, which is up by $10,000 (€9,481) from 2016 to account for inflation. This helps SMBs deduct their expenditure for office equipment rather than depreciating the cost, however this does not include air conditioning and heating equipment nor land and improvements to it.
Expenditure of more than $2,030,000 (€1,924,643) on equipment that “qualifies for the Section 179 deduction” will result in a reduction of the tax break by the amount that exceeds $2,030,000, although companies can “depreciate equipment that doesn’t qualify for the Section 179 break” so that they get a deduction any way.
Categories : Around the Industry