Small business owners should take advantage of Tax Code 179 before it's too late. The tax break, which aims to help independent firms invest in their operations, is only available until December 31, 2012. Since most owners are busy managing daily operations and handling financial responsibilities, Five Point Capital has gathered the following information to help them make the most out of this opportunity.
Throughout 2012, small business owners can benefit from additional deductions for qualifying equipment and software purchases. Instead of using the standard five to seven year depreciation cuts, enterprises can write off as much as $139,000 of new and used equipment costs this year, according to Section179.org. There is also a 50 percent bonus first year depreciation break for new machine expenses.
If a firm spends $150,000 on qualifying equipment this year, they can save up to $50,960 with these tax deductions, the site points out.
The IRS introduced this limited-time code to support small firms' success and growth. Five Point Capital has similar aims, and can offer independent owners or entrepreneurs resources for financing their future purchases, such as small business loans or equipment leasing.