Did You Know This About Section 179?
The Section 179 Depreciation expense is a very effective method for businesses to acquire equipment at a significantly lower acquisition cost. Below is an example of how the expense affects the purchase price of a new Finn BB-5 Bark Blower:
Equipment Price: $95,000.00
Eligible Depreciation: $95,000.00
Tax Savings (35% Bracket): $33,250.00
Adjusted Equipment Price: $61,750.00
The expense is a tax expense only. The 100% deduction would not be reflected on your financial reporting, so there is no impact on valuation!!