Reduce your Tax Burden When Purchasing Wheel-End Maintenance Equipment

Vischeck Services
Aug 23, 2017 · 2 min read

Starting a new business or purchasing a new piece of equipment can be costly. It’s important to take advantage of tax deductions available to you. Getting new machinery for your business entitles you to a number of benefits in Section 179 and helps you reduce your tax liabilities. You can take advantage of the provisions given by the government and reduce your tax burden.

Protecting yourself from tax hikes

Section 179 seeks to protect Americans from hikes in tax rates year after year. This Section still has a deduction limit of $500,000 for the year 2017. Businesses that purchase equipment in value of more than $2 million that qualify for the deduction under Section 179 are eligible for the dollar for dollar deduction phase out. This will be completely eliminated after reaching the $2.5 million mark. Additionally, the cap in Section 179 will be indexed to adjust for inflation in increments of $10,000 in the coming years. This is especially extremely helpful for those smaller businesses that want to invest in buying equipment for their operations. Before buying the machinery and equipment, verify that they fall within the scope of Section 179, i.e. ensure that they are eligible for deduction.

Buy within the due date

Section 179 is a great provision by the government that allows business owners to take advantage of the tax scheme and reduce their liabilities by making use of the deductions available on the purchase of certain qualifying equipment. While is this indeed very helpful especially for medium and small businesses, you should also ensure that your purchases are made and the equipment installed by midnight of December 31, 2017. Buying VIS equipment can help you take advantage of the benefits of this Section. Therefore, the sooner you make your purchases, the sooner you can start taking advantage of the tax break and add more value to your business. You will also be eligible to depreciate 50% of the total machinery and equipment cost in 2017.

Buy the right equipment

You can take full advantage of the provisions of Section 179 only if you buy the right equipment that qualifies for deduction. VIS has a number of equipment that qualifies for deduction under Section 179.

To know more information please click Wheel-End Maintenance Equipment.

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