Buy Used and Save on Taxes!
Jordan Craig Machinery Home
Certified Appraisals
Contact Jordan Craig
Terms & Conditions
Add To Favorites
E-mail our site to a friend
New Listings
More About the MDNA
Jordan Craig Machinery
The Section 179 Deduction

Both the 'Tax Relief Act of 2010' as well as the 'Jobs Act of 2010' that passed in late 2010 affected Section 179 in a positive way for this 2012 tax year. Following are the highlights for the 2012 tax year:

2012 Deduction Limit = $139,000
Section 179 Deduction limit after adjustment for inflation has increased to $139,000 (maximum allowance would have been only $25,000 prior to the new legislation).

2012 Limit on Capital Purchases = $560,000
Section 179 Threshold for total of equipment & software that can be purchased has increased to $560,000 (threshold would have been only $200,000 prior to the new legislation).

2012 Bonus Depreciation = 50%
The new law allows 50% "Bonus Depreciation" on qualified assets placed in service during 2012

Please Note:

Section 179 Deduction is available for most new and used capital equipment, and also includes certain software.

Bonus Depreciation can be taken on new equipment only (no used equipment, no software)

When applying these provisions, Section 179 is generally taken first, followed by Bonus Depreciation - unless the business has no taxable profit in 2012.

For more information:

Jordan Craig Machinery Int'l LLC
151 N Main St Ste 203 • PO Box 737 • New City NY 10956
Tel: 845-398-0073     Fax: 845-398-0074