Section 179 Tax Deduction
Do you own a small business and are looking to purchase Cadillac vehicles professional purposes? Under Section 179 you may be eligible to deduct up to 100% of your purchase price, and Jim Ellis Cadillac has your back. Contact our sales team at (770) 692-4446 to discuss your eligibility and options, and we can help source you the best vehicles to suit your need.
What is the Section 179 Deduction?
Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment and/or software purchased or financed during the tax year. That means that if you buy (or lease) a piece of qualifying equipment, you can deduct the full price from your gross income. It’s an incentive created by the U.S. government to encourage businesses to buy equipment and invest in themselves.
How Section 179 Works
It allows your business to write off the entire purchase price of qualifying equipment for the current tax year. Businesses have used Section 179 to purchase needed equipment right now, instead of waiting. For most small businesses, the entire cost of qualifying equipment can be written-off on the 2023 tax return (up to $1,160,000).There are caps to the total amount written off ($1,160,000 for ), and limits to the total amount of the equipment purchased ($2,890,000 in ). The deduction begins to phase out on a dollar-for-dollar basis after $2,890,000 is spent by a given business (thus, the entire deduction goes away once $4,050,000 in purchases is reached), so this makes it a true small and medium-sized business deduction.
Who Qualifies for Section 179?
All businesses that purchase, finance, and/or lease new or used business equipment during tax year 2023 should qualify for the Section 179 Deduction (assuming they spend less than $4,050,000). To qualify for the Section 179 Deduction, the equipment and/or software purchased or financed must be placed into service between January 1, 2023 and December 31, 2023.
For 2023, $1,160,000 of assets can be expensed; that amount phases out dollar for dollar when $2,890,000 of qualified assets are placed in service.
Please consult with your qualified tax professional for expert advice on eligibility and tax savings value for your business.
Qualifying Cadillac Models
-Lyriq Special EV Tax Savings
All information here was provided by www.section179.org. If you have any questions or need a hand determining whether or not you qualify, please reach out to us directly at (770) 692-4446.