The Tax Cuts and Jobs Act of 2017 improved the amount of depreciation businesses will be allowed in the year assets are purchased. The section 179 limit is increased to $1,000,000 for tax years beginning in 2018 and bonus depreciation has been increased to 100% for assets purchased after September 27, 2017. These changes will allow a business to be able to deduct almost any item of personal property and some real property in the year of purchase, if it is beneficial for the taxpayer. Perhaps there has never been a better time to invest in your business.
As always, check with the tax professionals at Ketel Thorstenson CPAs for these and other tax matters because each situation is different. Don’t navigate the difficult and ever changing tax codes and legislation on your own. KTLLP CPAs and tax professionals receive advanced training and continuing education all year long to keep our service on the forefront of the tax industry.