KOM Networks reminded me that now is the time to consider all your upcoming IT investments and ensure you make smart choices before the year ends.
It’s important that you consider Section 179 of the Small Business Jobs Act to upgrade your obsolete or legacy technology.
Al Shaath, VP of Sales, KOM Networks, advised that Section 179 offers small and medium businesses an opportunity to maximize their purchasing power by doubling the maximum tax deduction on technology purchases from $250,000 to $500,000 for tax years 2010 and 2011.
Section 179 deduction is a most attractive option for small and medium-sized businesses needing a technology refresh enabling them to deduct the total cost of capital investments this year up to $500,000.
If you buy or lease a piece of qualifying equipment or software, you can deduct the full purchase price up to $500,000 from your gross income.
Businesses investing in or financing less than $2 million in new business equipment and software before December 31, 2010 should qualify for the Section 179 deduction and receive an additional 50% bonus depreciation. The low cost of a KOMpliance solution leaves more tax deductible dollars available to the business to invest in other capital equipment to take full advantage of this additional 50% bonus depreciation.
Almost all types of office furnishings, business equipment and software qualify. The equipment, furniture, vehicle(s), and/or software must be used for business purposes more than 50% of the time to qualify for the Section 179 Deduction.
Latest posts by Ramon Ray (see all)
- 4 Tips for Staying Safe on a Public Computer - January 20, 2017
- 5 Tips To Choosing Your Marketing Automation Provider - December 16, 2016
- GoDaddy Enhances Mobile Shopping With ApplePay and Shopping Cart Intelligence - December 14, 2016