Section 179 Tax Deduction for Construction Technology Equipment

The section 179 tax deduction is an immediate expense deduction that business owners can take for business equipment purchases instead of capitalizing and depreciating the asset over time. Qualifying purchases include those related to depreciable assets such as equipment, vehicles, and software. All Allenbuild instruments would be applicable to Section 179 tax relief.

The deduction can be taken for the full price regardless of if the piece of equipment is purchased or financed. The maximum deduction is $1,220,000 for the 2024 tax year.

Leasing and Equipment Financing

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Non-tax capital leases and equipment finance agreements qualify for Section 179 depreciation. With a lease or equipment finance contract, businesses can acquire and write-off up to $1,220,000 for the 2024 tax year.

Qualifications

  • Equipment purchases must be put to use by December 31, 2025.
  • Businesses may purchase new or used equipment, and/or retail software, to qualify under Section 179.
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Section 179 Deduction Basics

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  • Businesses are entitled to deduct up to $1,220,000 of the cost of qualifying equipment acquisitions.
  • Always check with your tax advisor for specific details related to your business.